LE FIGARO.
- The government has proposed raising the retirement age to 64, instead of the current 62.
Will this parametric adjustment save the PAYG system?
Jean-Thomas LESUEUR.
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It should be remembered that the pay-as-you-go system is based on intergenerational solidarity which is combined with the immediate present.
Today's contributions are used to pay today's pensions.
To maintain balance and not become overwhelming for workers, it needs a large number of contributors.
The figures are known and repeated at will with each new reform: while there were more than 4 contributors for 1 retiree in 1960, there are 1.7 today.
The demographic question is therefore absolutely central to thinking about the pay-as-you-go pension system and considering its future.
But forgetting demography, which can be seen as the "mother discipline" of politics (what need to think about the future of a human community...
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