France to lower state pension age

Graham_Devon

Seeing Hollande at work here. Some thought he might turn back on what he stated, but seems he isn't.

lans are being put in place to reduce the state pension age down to 60.

The plans come at the same time that the EU warns that France will not be able to meet it's targets if it does not reduce spending. Interesting to watch it increase it instead.

New French president Francois Hollande has unveiled details of a plan to lower the retirement age to 60 for some workers - a key election pledge.

His predecessor, Nicolas Sarkozy, had faced strong opposition when he raised the retirement age by two years to 62.

The move in 2010 sparked weeks of strikes across the country, mainly by public service workers.

The decision comes as the EU warns that France will struggle to meet its fiscal targets without spending cuts.

http://www.bbc.co.uk/news/world-europe-18337884

Interesting to watch the retirement age between us and France move in seperate directions.

Thrugelmir

those who started their working lives at 18, as well as mothers of three or more children and older unemployed people, can draw a state pension at 60 instead of 62

Typical Beeb , read the detail and not as the headline suggests.

The_J

A timely reminder of what bad unions can do to an economy.

The pension timebomb is the next big recession.

lvader

'"for some workers"

I'm guessing the new plans don't apply to most people and that the changes undo some future changes that had been put in place by the previous government rather than letting people retire early.

chucky

It's not for everyone who retires.

I'd like to know if he did lower the age, where he would be getting the extra money from for pensions and recover the tax revenues of the people who should be working but are now retired.

Pimperne1

Loving seeing one of our main competitors making decisions that will make them less competitive.

Wookster

Lets see hoe the bond markets like this.

If they don't like it, no doubt, he'll just ask Germany to stump up some cash.

ash28

When French retirement ages are mentioned by the press here they always say it is 60 or changed to 62 and reverting back to 60, that is only partly true.

There are 2 retirement ages in France - the one being changed back to 60 is for early retirement and a partial pension.

When Sarkozy increased the pension ages to 62 and 67 in 2010 he also increased the number of contribution years from 37 to 40 for a partial pension. It was probably only the rise to 62 that was reported over here. You don't need as many years contributions when you retire at 67.

If you started work at 16 you can retire earlier than 62 if you worked for 41 years but you will have a partial pension.

If you want a full state pension then you wait until you are 65 (probably 66 now), the increase to 67 is staged like here.

I don't think Hollande has done anything with the retirement age for a full pension.

http://travail-emploi.gouv.fr/textes-reglementaires,1651/circulaires-et-textes-legislatifs,1641/loi-no-2010-1330-du-9-novembre,12570.html

These are Sarkozy's changes to retirement ages - sorry it's in French.

But basically it outlines the changes from 60 to 62 and from 65 to 67 and when the transition starts - if you're born before 1951 you aren't affected.

MacMickster

chucky wrote: »

It's not for everyone who retires.

I'd like to know if he did lower the age, where he would be getting the extra money from for pensions and recover the tax revenues of the people who should be working but are now retired.

Well, I'd imagine that he will still get the same tax revenues. The jobs will still exist, but should be filled by the unemployed. The savings on out of work benefits will help to fund the pensions.

Additionally, young people looking to make a mark in a new job may be more productive than the over 60s.

pqrdef

If it's pensions vs youth unemployment, it should be a no-brainer. Just keep chucking out the oldest workers until every school-leaver gets a job.

People complain about house-blocking by boomers. Why on earth would we want boomers being forced to block jobs that they can't wait to get away from?

CLAPTON

pqrdef wrote: »

If it's pensions vs youth unemployment, it should be a no-brainer. Just keep chucking out the oldest workers until every school-leaver gets a job.

People complain about house-blocking by boomers. Why on earth would we want boomers being forced to block jobs that they can't wait to get away from?

yes, of course the public sector does exactly this; older workers are given generous pensions and redundancy deals to encourage them to retire early.

however, it appears that some people think that this is wrong and that the retirement age ought to rise due to the acute shortage of workers to pay for the pensions.....