Pension reform: a necessary flexibility

by time news

Une week before the official announcement of the pension reform, scheduled for January 10, Elisabeth Borne took on the role of deminer. Asked Tuesday, January 3 on Franceinfo, she set three milestones: the departure at 65 is not a totem; the contribution period to obtain full retirement will not exceed the 43 years provided for in the previous reform initiated by the socialist Marisol Touraine; the age for cancellation of the discount will remain set at 67 years.

At the same time, the Prime Minister pledged to listen to the unions by showing that she was capable of backing down on a provision relating to unemployment insurance which has deeply offended them: the project to reduce the duration of compensation when the unemployment rate drops below 6% of the active population is no longer appropriate. The subject is postponed to a future consultation.

By blowing hot after cold, Elisabeth Borne is trying to clear a narrow path to bring about the most risky reform of Emmanuel Macron’s second five-year term. Since the President of the Republic announced his intention to raise the retirement age from 62 to 65 as part of his re-election campaign, the government has failed to obtain any consensus on the topic. The reappearance of the deficit planned for this year by the Pensions Orientation Council (COR) has not moved the lines.

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As for Emmanuel Macron’s refusal to consider any other solution than an extension of the working life to reduce it, he contributed to creating a united trade union front against the project. The oppositions, in the forefront of which the National Rally, promise a tough battle against a reform rejected, as it stands, by a majority of French people.

A necessary adjustment

In this minefield, Elisabeth Borne seeks to lower the temperature as much as possible by giving pledges to listen to those who can help her. Step by step, the Prime Minister is approaching the solution recommended by the senators Les Républicains: a decline in the retirement age to 64 combined with an acceleration of the Touraine reform timetable. His hope is to avoid the use of 49.3 on the bill which will be discussed in Parliament in February. The price to pay is a necessary adjustment of the campaign commitment of the President of the Republic.

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Its other important interlocutor is the CFDT, which refuses any age measurement but is interested in the other aspects of the reform: the improvement of the system for long careers, the revaluation of minimum pensions, the consideration of hardship and the in-depth consultation that has been undertaken to promote the employment of seniors. The executive knows that he will not obtain the support of Laurent Berger. At least he can expect a lesser degree of hostility than that of the CGT.

There is no guarantee that Elisabeth Borne’s actions will prevent a new social eruption. The country oscillates between anger and resignation, and the parties and trade unions are overwhelmed. It is precisely because she is aware of this very great fragility that the Prime Minister took the exact opposite course to what one of her predecessors, Alain Juppé, had embodied when he hired in 1995 social security reform. Instead of being straight in her boots, Elisabeth Borne is flexible as a reed. It is, these days, the wisest posture.

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