“The pension reform will create a social disaster”

The reform of pensions and the unemployment insurance that the government wanted will disrupt our country and not only the world of work, believes the economist Michaël Zemmour. “It’s not just changing parameters, it calls into question our social pact. »

“The pension reform exists to compensate for corporate tax cuts”

But doesn’t the financing of pensions suffer from a danger of slippage?

Pension costs have stabilized and are even decreasing, while the number of pensioners will be greater in the future. We are not in the 90s, when it was necessary to prevent the explosion of pension costs. Today they are under control and even more so because retirees will touch it for less time…

Extension of working hours will therefore not be used to finance pensions?

I hear a lot that the pension reform exists to finance education, health, the energy transition… This reform is a public financial measure. It is the government’s strategy to lower taxes, especially production taxes on companies, as in 2020/21. This decrease will still be very significant in 2023/24: €8 billion per year. In the 2023 budget proposal, it is clearly written that the pension reform exists to compensate for corporate tax cuts!

So is it “always less retirement”?

Until 2015, despite the reforms, when the career was better, the pension level increased and the duration of retirement was extended. Since then, the reforms, such as the 42 annuitants to receive full pensions, have not yet had all their effects. For the 1973 generation, 43 will already be needed. Even without further reforms, the average retirement age will therefore continue to rise. While the system is deteriorating, a new reform will therefore accelerate the decline in benefits. This is a historic break!

Wanting to make the French work longer runs into the phenomenon of people already retiring while no longer working…

When the Ministry of Economy quantifies the new pension reform, for every euro of pension that is not paid out as a result of the new retirement age, it will be necessary to spend between 0.33 and 0.50 euros in additional social benefits for unemployment, illness, invalidity… make it worse social situation of those affected, as we have already seen when the age has increased from 60 to 62 years. By pushing back to 65, this risks becoming even more obvious and creating a social disaster. The labor market and the way of working in France are not at all adapted to the postponement of the retirement age, even already at 62! In addition, the generations approaching retirement are generally tired people who want to leave as soon as possible after a far less secure and coherent career than before with the crises of 1993, 2008 and the Covid period.

Through this reform, the idea that pensioners would be a burden and not a tool for our society passes…

Pension is a political issue, a societal choice. Our pensions have improved since 1945, both in terms of the level of pensions and their duration. Since the 1980s, a retirement lifestyle has been invented: leisure, tourism, community life, services for loved ones, children, grandchildren and relatives… What model of retirement do we want today? Either shorten the pension and think you can work longer, retirement only happens when you can no longer do it. Either choose to fund pensions with the wealth, as we did ten years ago, so that pensioners can live normally with an associated income, without being too tired. Moving the retirement age is not just changing a parameter, it also calls into question our social pact. A genuine, sensitive community model choice!

“The government wants to make the unemployment insurance fund an instrument that puts pressure

on the unemployed

Regarding the reform of the unemployment insurance fund, it usually seems to help jobseekers more when the market is weak and vice versa when many positions need to be filled, right?

This reform stems from a change in the vision of the social security fund. Historically, it is the right to retain part of the salary when one is involuntarily deprived of employment.

It gives you the opportunity to be socially secure and look for a job that matches your qualifications and competences. The government’s logic is to change this idea of ​​rights and security to make it an instrument of social and employment policies used to put more or less strong pressure on the unemployed. This is another vision for unemployment insurance… The effectiveness is not obvious, which puts pressure on wage levels, the unemployed are then more likely to accept a lower paying job, but this is unlikely to affect employment levels.

Ultimately, if these two reforms are passed, the social contract of the French with their rulers appears to be well damaged…

These are significant structural developments. The French social model is old and still retains many achievements.

Its transformation can be described as neoliberal: social protection is seen less as a right that cushions the shocks of life, making you feel safe, but more as a tool aimed at pushing people to adapt to labor market expectations. That’s quite a transformation!

};(function(d, s, id){ var js, fjs = d.getElementsByTagName(s)[0]; if(d.getElementById(id)) {return;} js = d.createElement(s); js.id = id; js.src="https://connect.facebook.net/fr_FR/sdk.js"; fjs.parentNode.insertBefore(js, fjs); }(document, 'script', 'facebook-jssdk')); //-->

Leave a Comment