Pension reform: legal age, minimum pension and special schemes… Elisabeth Borne's announcements

It's the end of a long suspense.

This Tuesday, Prime Minister Elisabeth Borne presented the main lines of the long-awaited – and already controversial – pension reform, during a press conference.

This campaign promise by Emmanuel Macron, which should have been unveiled in December, was finally postponed until the start of 2023. "Developing our pension system raises questions and fears among the French", admitted the tenant of Matignon.

Several arbitrations were eagerly awaited, in particular the retirement age, the conditions for benefiting from the minimum pension or the method of taking into account hardship.

For the Prime Minister, it is a question of “guaranteeing the future of our pensions”, thanks to a project “better than six months ago”, she assured.

Here are the main points to remember.

Starting age

It was one of the main expectations.

This Tuesday, Elisabeth Borne announced that the legal retirement age would increase to 64 years by 2030. To achieve this, it will be gradually raised and this from September 1, at the rate of three additional months per year.

This means that people born in 1968 will be the first to have to reach this age to consider leaving.

Read alsoRetirements: legal age, full rate, special schemes… 10 key questions to understand everything

"The 65 years, initially envisaged, have never been an end in itself", commented the Prime Minister to the press, wanting to be reassuring: "This project will not be implemented overnight".

Extension of the contribution period

The scenario of the legal retirement age at 64 having been retained, it is accompanied by an acceleration in the extension of the contribution period.

From 2027, it will be necessary to have worked 43 years to benefit from a pension at full rate.

The generation born in 1965 will be the first concerned by the 172 quarters required.

If the calendar of the Touraine law - named after the Minister of Health at the time - had been maintained, the generation born in 1973 would have been the first concerned.

In addition, the retirement age without discount will be maintained at 67 years.

The minimum pension

It was one of Emmanuel Macron's campaign promises.

The reform provides for the establishment of a minimum pension for a full career at 85% of the net minimum wage, or nearly 1,200 euros per month.

This corresponds to an increase of 100 euros per month compared to the current situation.

Moreover, this minimum will be indexed to the minimum wage at the time of retirement – ​​and no longer to inflation.

A measure that will apply to employees, tradesmen and farmers.

Long careers

The current system will be slightly relaxed, so that no one is forced to work over the age of 44.

Thus, those who started before the age of 16 will be able to leave from the age of 58, as long as they have contributed the required insurance period (according to their year of birth, but, ultimately, 43 years old) increased by one year - against two so far.

The main change concerns people who worked from 16 to 18 years old, “in particular apprentices” who can leave at 60.

Those who started contributing between the ages of 18 and 20 will be able to leave from the age of 62.

“A fair system means allowing those who started early to leave early,” commented the Prime Minister.

In addition, years spent as “carers” will now be counted, announced Élisabeth Borne, as will “career breaks to raise children”, said Olivier Dussopt, Minister of Labor.

Special regimes and civil servants

As expected, the special schemes are also affected by the pension reform.

Thus, those of the RATP, electricians-gas workers, the Banque de France, notary clerks and members of the Economic, Social and Environmental Council will switch to the general system.

“You have to make sure that the same profession gives the same retirement.

It's a question of fairness, ”explained Elisabeth Borne.

An advantage has nevertheless been granted: only new hires, recruited from September 1, 2023, will be concerned.

This is called the “grandfather clause”.

In addition, the increase in the retirement age and the acceleration of the extension of the contribution period will also apply to civil servants “without distinction”, assured Stanislas Guerini, but on the basis of their current salary.

“The characteristics specific to the public service scheme remain unchanged”, in particular concerning the management of hardship for the “active” categories whose length of service remains unchanged.

On the other hand, the autonomous regimes (of the liberal professions and lawyers) as well as those of sailors, the Paris Opera or the Comédie-Française will escape this rule and will not switch to the general regime.

Except for so-called “active” careers.

Employment of seniors

The employment of seniors will be "promoted" by the pension reform, according to Bruno Le Maire.

It should “make it possible to increase the employment rate” for this age category.

In particular via the creation of an index to make transparency in companies, but also the possibility of increasing pensions for retirees who want to resume an activity.

The Social Security financing bill, which contains the main measures announced, will be presented to the Minister's Council on January 23, then debated in Parliament.

“We want dialogue, we are open to discussion,” assured Élisabeth Borne, assuring that the government was even ready to “further develop” the project.

“I realize what working longer means to many,” she acknowledged.