2023-09-19 19:04:01
The socialist deputy for Essonne Jérome Guedj, during the Amfis of La France insoumise, in Châteauneuf-sur-Isère (Drôme), August 26, 2023. JULIEN MUGUET FOR “LE MONDE”
Exemptions from employer contributions are, once again, in the crosshairs. In a report made public on Tuesday September 19, the Renaissance deputy for French people abroad Marc Ferracci and the socialist deputy for Essonne Jérôme Guedj recommend removing these reductions when they apply to high salaries. The idea is not new but the fact that it is supported by two parliamentarians from opposing political families gives it visibility and suggests the emergence of the beginnings of a consensus « transpartisan »a few days before the presentation of the Social Security financing bill (PLFSS) for 2024.
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For around thirty years, successive governments – from the right to the left – have reduced the contributions that companies pay to “Secu”, the objective of this policy being to reduce the cost of labor in order to combat unemployment among mass – particularly among the least skilled workers. Various measures have been taken over time, first by reducing contributions for remuneration at or just above the minimum wage. Then the target gradually widened, until it included pay slips reaching 3.5 times the minimum wage.
Taken together, these decisions end up costing “crazy money”, as Mr. Guedj underlines, ironically using a phrase from Emmanuel Macron, in his foreword to the report. In 2022, these exemptions represented 73.6 billion euros, at the level of the general “Secu” system (and around 80 billion, if we take into consideration the social protection organizations, outside the general system, which are also affected by these mechanisms). The amounts involved have seen their weight increase, going from 1.1 points of GDP in 2004 to 2.8 points in 2022. As a general rule, the shortfall for “Secu” is compensated by the State.
Bruno Le Maire unfavorable
The problem is that these provisions appear to be ineffective in some cases. Thus, the reduction in family contributions for salaries between 2.5 and 3.5 minimum wage produces effects “almost zero” on employment and “difficult to detect on competitiveness” companies, write the two parliamentarians, citing several studies – including a note from the Economic Analysis Council published in 2019 and work carried out by renowned experts (economists Pierre Cahuc, Yannick L’Horty, Philippe Martin, etc.). This is why MM. Ferracci and Guedj propose removing this exemption, when it applies to remuneration above 2.5 minimum wage, while pleading for a “support for sectors that would be most strongly affected” by the disappearance of this aid.
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