PURCHASING POWER LAW 2022. The government’s purchasing power bill is subject to stiff competition, in particular from Nupes and Jean-Luc Mélenchon who presents a counter-project. Index point, pensions, minimum wage… We tell you everything.
[Mis à jour le 6 juillet 2022 à 13h58] The purchasing power bill must be present this Thursday in the Council of Ministers. In other words, a hell of a salvo of proposals concerning the purchasing power of French households, particularly in the face of the growing inflationary risk (5,8% in June 2022 over one year). Faced with this ambitious project evaluated at 25 billion euros, the opposition was quick to draw up its own project to block the government in place. This “counter-project” presented tuesday july 5 and led by Nupes of Jean-Luc Melenchon brings together various measures including the former leader LFI had already spoken. It includes in particular:
- Increase in minimum wage to 1 500 euros
- Pension of retirement minimum equal to minimum wage
- Fuel price freeze
- Index point thaw 10% (3.5% in effect since July 1)
- Supervision of rents reinforced
- Revaluation of APL by 10%
- Deconjugalization AHA
The Nupes proposes in particular to tax in a relatively significant way the “super profits” of large firms like Total. Discussions will continue this Thursday in the Council of Ministers, then before Parliament on July 18. At the same time, the current government’s purchasing power bill will not include the possibility for supermarkets to offer food promotions going up to 50% according to France Info. A proposal made by the Minister of Economy Bruno the Mayor discarded during a working meeting around the President of the Republic Emmanuel Macron, Tuesday, July 5. This meeting also brought together all the ministers concerned by this file, without forgetting the Prime Minister Elisabeth Borne. The themes of purchasing power, energy and public finances were discussed. The successive low price policies in supermarkets did not have the effect of convincing the majority of those present at this meeting, in particular because of the remuneration of farmers. What put an end to this proposal from the tenant of Bercy.
The rise in consumer prices is expected to continue in the coming months. INSEE predicts an increase between 5% et 5,4% next June, enough to push the government to act, by proposing a series of measures to try to support low-income households and low wages. In this sense, several proposals already mentioned by the executive for many weeks should indeed come into force in the event of an alliance between Together and another group present in the National Assembly. Here they are :
- Macron bonus: the Head of State intends to triple the amount of the exceptional purchasing power bonus to reach up to 6,000 euros in certain cases. It concerns employees whose salary does not exceed 3x the minimum wage.
- RSA: the active solidarity income should be conditional on a minimum of activity on the part of the beneficiaries. The most likely track remains 20 hours of training per month. A way for the executive to promote the return to employment. It will also be revalued by 4% on July 1, 2022 to take into account the galloping inflation of recent months.
- Unfreezing of the index point: The index point, used to calculate the gross salary of civil servants (teachers, police officers, etc.) will be increased by 3.5% from July 1, 2022. The increase will be visible in the month of August with retroactive effect to July 1. This is the first rise of this level in more than 37 years.
- TV fee: it was a campaign promise the audiovisual fee will be abolished in 2022. Its amount was 138 euros in mainland France and 88 euros in Overseas for each household with a television.
- Indexation of pensions to inflation: In addition to the introduction of a minimum pension of 1,100 euros, Emmanuel Macron wishes to index retirement pensions to the level of inflation to take into account the sharp rise in prices which should be durable. The increase will amount to 4% for basic pensions, but in no way concerns supplementary pensions.
- Fuel bonus: the government could extend the discount of 18 cents on a liter of fuel, and even set up new, more targeted aid for those who have no choice but to use their vehicle to get to their workplace. The fuel bonus of 18 cents should be extended until the end of 2022, as announced by Bruno Le Maire on Thursday June 29.
- APL: the APL will increase by 3.5% on July 1, 2022. A way for the government to support the most modest, students and families.
- Rents: limitation of the increase in rents to 3.5% in 2022.
- Food voucher: the food voucher will be paid from the start of the 2022 school year in the form of an automatic bank transfer. It will be intended for the poorest, and its amount will reach 100 euros plus 50 euros per additional dependent child.
As announced by the spokesperson for the current government Gabriel Attalthe various measures forming part of the purchasing power law should be announced “after the legislative elections“. A way of respecting the timetable that Emmanuel Macron had set for himself and his various media outings, regularly announcing the implementation of these measures by the summer. Having not obtained an absolute majority in the Assembly , the Ensemble group will have to compose and forge alliances to try to obtain it and pass its laws. The announcement of the purchasing power bill is scheduled for July 6, not sure that this deadline will be respected in given the fragmentation of the political landscape since the second round of legislative elections.
The amount of the civil service index point has been completely frozen since 2017. Indeed, for more than 5 years, no general increase in the remuneration of public officials has taken place. Only a few categorical increases have been implemented by Emmanuel Macron since his election as President of the Republic in 2017. But as of this year, the civil service index point will experience a further increase! An increase which should be between 1% and 4%. As a reminder, a general increase of 1% would cost the State 2 billion euros per year. The various unions were demanding an increase of between 3% and 20%. The final amount of the increase in the index point will be known on Tuesday, June 28, 2022.