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Pensions: what do Emmanuel Macron and Marine Le Pen offer? – BFM Business

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Along with purchasing power, this is the other big issue in this campaign. The two candidates also offer a radically different approach. The question of the reform of pension schemes constitutes a clear cleavage between the two candidates in the presidential election. If the two contenders share the desire to reform a system that has reached its limits, the methods for achieving this are very different. Comparative. • Age of departure The two candidates are diametrically opposed on this question. Marine Le Pen defends maintaining retirement at 62 as is currently the case. However, it wishes to allow French people who entered the labor market before the age of 20 to retire at age 60 if they have contributed at least 40 annuities. full pension from age 60, if he has contributed 160 quarters, ie 40 years. For those who started working after age 20 and before age 21.5, the legal retirement age would gradually increase. Those who started working at 21.5 and beyond will be able to leave at 62. According to Marine Le Pen’s campaign team, the cost of this measure when it comes into full effect, i.e. in 2027, is 9.6 billion euros. For Emmanuel Macron, it is now impossible to maintain the legal retirement age at 62. His reform, at least initially, consists of gradually lowering the legal retirement age from 62 to 65. For the En Marche candidate, it is a matter of raising the legal retirement age by 4 months per generation. Concretely, a worker born in 1961 could retire at the age of 62 and 4 months in 2023 or 2024. The generation born in 1969 would retire at 65. This means that the reform would be fully applied in 2030. Nevertheless, faced with the icy reception of this reform, Emmanuel Macron said on Monday he was ready to “move” on the pension reform and “open the door” to a postponement starting age at 64, rather than 65, “if there is too much tension” and it can build consensus.” “65 is not a dogma,” added the president-candidate by answering questions during a walkabout, also evoking a “review clause in 2027”. 20 years old) an “advantage” allowing them to leave earlier, at 62. But above all offers, as in 2019, an “individualized” system with an analysis of the arduousness of the tasks that each has accomplished during their career. would be negotiated with the unions. For Marine Le Pen, those who started working early are the e more often those who work in so-called “arduous” jobs. Given that its reform proposes a start at age 60 for those who started before age 20, it intends to put an end to the professional prevention account. Those who exercise a “difficult” job started after 20 years will therefore not benefit from an earlier departure. • Cancellation of the discount On this point, the two candidates seem to agree. It will always be necessary to wait 67 years to retire at the full rate if the worker has not contributed enough quarters. who suffers from too many exceptions, judges the candidate who wants this revaluation to take place “as quickly as possible”. For Emmanuel Macron, we must also continue to rely on this system but make it more reactive. While this revaluation normally occurs once a year in January, the candidate offers, if he is re-elected, a boost in July to take account of the sharp increase in prices currently. Remember that these revaluations concern the basic pension and not supplementary pensions, the revaluations of which are decided by the social partners. • Minimum pension threshold The two candidates agree on this theme: the minimum pension must be raised for a full career on low incomes (minimum old age). This minimum is now approximately 906 euros net per month. Emmanuel Macron proposes to raise this minimum to 1100 euros per month. His opponent is aiming for 1,000 euros per month and also proposes to increase the Solidarity allowance for the elderly (Aspa) to 1,000 euros against 916.78 euros today. • Special regimesEmmanuel Macron believes that these regimes “no longer suit reality of the country” and therefore wishes to phase them out (without having specified whether all the special schemes were concerned). The principle would be that of the “grandfather clause”, i.e. the maintenance of benefits for existing employees and their abolition for new entrants. Marine Le Pen spoke out against the abolition of these special schemes. According to Marine Le Pen , the cost of its reform when it fully comes into force in 2027, is 9.6 billion euros. For Emmanuel Macron, the net gain of raising the age to 65 would be 7.7 billion euros per year of 2027, i.e. 9 billion euros less 1.3 billion in costs due to the increase to 1100 euros per month of the minimum old age. The gain would be 18 billion euros from 2032, the year of full and complete entry into force of the reform, according to the evaluation of the Montaigne Institute in partnership with Les Echos.Olivier Chicheportiche Journalist BFM Business

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