Pensions Conclave: Blockages Remain

The negotiations "did not move forward," complained Yvan Ricordeau, the CFDT representative, just before the lunch break, raising the spectre of failure.

"I don't know how it will end this afternoon, but if lunchtime doesn't allow the bosses to return to a more humane situation, I think that this (Tuesday) evening we will have a problem," Pascale Coton, the CFTC representative, also regretted at that time.

"We don't agree on... everything," added Christelle Thieffine, a CFE-CGC negotiator, after returning from lunch. Negotiations resumed early in the afternoon, with a theoretical end scheduled for the evening.

In an attempt to smooth things over, Prime Minister François Bayrou said on Monday he was prepared to grant "a few more days" to the five remaining participants: CFDT, CFTC, CFE-CGC on the union side, and MEDEF and CPME on the employers' side.

But the unions insisted that they did not want to continue discussions if the MEDEF, the main employers' representative, did not put new proposals on the table.

"Unbearable for us"

The unions want in particular to ensure that hardship and wear and tear are taken into account in order to be able to retire before the age of 64, the legal age set by the Borne reform of 2023.

The CFDT, in particular, wants to obtain the possibility of early retirement for handling heavy loads, difficult postures or exposure to mechanical vibrations, within the framework of an already existing hardship account (C2P).

The employers' association is currently rejecting such a measure. It would be "unbearable for us," Eric Chevée, the representative of the CPME (employers' association for small and medium-sized enterprises), declared Tuesday morning upon arriving at the meeting.

The CPME has instead proposed a system that would consist of creating "wear points" for people "who have to carry heavy loads, endure difficult postures or mechanical vibrations", giving "the right to training and retraining assistance".

But the unions accuse employers of favoring retraining rather than early retirement.

Among the other "hard points", the CFTC also set as a "red line" - an imperative objective - the increase to 66 years of retirement age without reduction (compared to 67 years), also rejected by the employers.

Seniors' bonus "not mentioned"

"This is a mandate I have from my organization, we can't do otherwise," said Pascale Coton, representative of the CFTC.

The unions have, in any case, buried the proposal François Bayrou pulled out of the hat on Monday for a "bonus" to encourage older employees to delay their retirement.

"This is neither a request from a union nor from an employers' organization. It has not been the subject of any costing or feasibility study, and for the moment, it has not been discussed," Yvan Ricordeau stressed at midday.

Although it was no great mystery from the beginning, the Medef (French employers' association) confirmed on June 10 that it would not budge on the retirement age of 64.

This doesn't necessarily mean a complete rejection for the unions. It will all depend on what employers give up in terms of women's careers, arduous work, or increased social security contributions.

"If there is an agreement (at the conclave), there will be a debate in Parliament, but I will not restart work if there is no agreement," François Bayrou declared before the National Assembly on Tuesday.

The end of the conclave is a moment of reckoning for the Prime Minister. He had pledged at the beginning of the process to present a possible agreement from this consultation to Parliament.

The Prime Minister launched this new format of discussions after a compromise reached with the Socialists to avoid censure of the government.

"We have always been extremely clear: if Parliament did not have the final say (on pensions), it was censure," Arthur Delaporte, spokesperson for the Socialist Party group in the National Assembly, reminded the press on Tuesday.

The idea behind this conclave was also to make the 2023 Borne pension reform, which gradually raises the retirement age from 62 to 64, less unpopular. While also attempting to return to financial balance, given that the system is projected to have a deficit of €6,6 billion by 2030.