Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.
Factsheet for measure FR-2022-27/2866 – measures in France
|Country||France , applies nationwide|
|Time period||Temporary, 01 July 2022 – 31 December 2022|
|Context||War in Ukraine|
|Type||Legislations or other statutory regulations|
Responses to inflation
– Increasing income in general
|Author||Frédéric Turlan (IRshare) and Eurofound|
|Measure added||14 September 2022 (updated 09 November 2022)|
Pensions and social benefits are revalued each year, on 1 January or 1 April, in line with inflation. The very sharp rise in prices since the beginning of 2022 has led the government to bring forward this annual revaluation in order to preserve the purchasing power of their beneficiaries. to cope with inflation. With effect from 1 July 2022, several social benefits have been revalued by 4%.
With effect from 1 July 2022, several social benefits will be revalued by 4%. These include old-age and disability pensions, pensions paid under the occupational injury and disease insurance scheme, the RSA (revenu de solidarité active/active solidarity income), family allowances and disabled adults' allowances (AAH).
This early revaluation compared to the usual dates of 1 January or 1 April will not be cumulative but will be applied to the next annual revaluation of the benefits concerned.
Deputies (National Assembly) voted unanimously minus two votes to increase social benefits and pensions by 4% during the first reading of the bill.
This measure to improve purchasing power will benefit:
|Applies to all workers||Does not apply to businesses||
People on social benefits
People on low incomes
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|Form||Consultation through tripartite or bipartite social dialogue bodies||Consultation through tripartite or bipartite social dialogue bodies|
Social partners' role in the implementation, monitoring and assessment phase:
No detailed information. As the representative social partners participate in the management bodies of the social security branches, they are necessarily consulted, even if it is simply a formality.
About all the measures adopted to increase the purchase power of workers, all the trade union organisations, and in particular the five representative trade union confederations and the organisations representing young people, denounced, in a declaration of 21 July, the legislative measures announced by the government, including the generalisation of profit sharing.
They consider 'that wages are part of the sharing of wealth' and they 'are unanimous on the fact that the priority issue must be to increase wages, pensions, minimum social benefits and student grants'. However, the trade unions denounce the fact that 'a succession of one-off measures, mainly financed by the State, cannot constitute a sufficient package to respond to the emergency'. Moreover, the trade unions and youth organisations point out that 'these exemptions and reductions in contributions are undermining our collective social protection system'.
Employers’ organisations have not reacted to these measures.
Eurofound (2022), Early increase of social benefits, measure FR-2022-27/2866 (measures in France), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/FR-2022-27_2866.html
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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.