It is prohibited by intellectual\nproperty law or in any way illegal use of this article, with heavy civil and\ncriminal penalties for the offender.<\/em><\/em><\/p>\n\n\n\n The history of the French social security-pension\nsystem<\/strong><\/strong><\/p>\n\n\n\n Historically France belongs in the first countries to implement a social security-pension scheme starting in 1673 on the reign of Louis XIV (1638-1715). The then original social-security pension system of France comprised only the staff of the Royal French Navy. It was then extended to civil servants on the eve of the French Revolution, as a forced “decompression policy” of wrath prevailing in the French people.<\/p>\n\n\n\n In 1831 and after the completion of the Napoleonic Wars the French state,\ndue to the many wounded and orphaned children of the dead of the French\nmilitary in the Napoleonic wars, incorporated into its social security-pension\nsystem and the staff of the French Army. Private sector employees were included\nin the French social security-pension system in 1930.<\/p>\n\n\n\n The objectives of the Social security reforms in France<\/strong><\/strong><\/p>\n\n\n\n The French government last week launched a process of public consultations with the social partners trying to highlight its positions on social security reforms while persuading French employees that these reforms are the highly necessary that the French social security-pension system needs in order to survive in the long run.<\/p>\n\n\n\n The high degree of difficulty presented by this project of the French\nPresidency is that until today no President of France has carried out the\nsocial security-pension reform due to the strong large social reactions.<\/p>\n\n\n\n The objectives of the social security-pension reform and as presented by\nthe French government are to simplify the system as much as possible with a\nview to optimum savings in the long term. This and always according to the\nFrench government can be achieved by consolidating the 42 existing social\nsecurity-pension funds.<\/p>\n\n\n\n The French government’s proposals include extending working life by two\nyears, i.e. from 62 years to 64 years in order to save funds from the state\nbudget that currently state expenditure for the payment of pensions annually\nreaches a level of 14% of GDP (four points higher than in Germany).<\/p>\n\n\n\n In addition, the adoption of a single pension system for all workers is\nproposed. Pensioners are also given the opportunity to continue their working\nlife collecting part of their pension and increase the level of their normal\npension, through the social security contributions they will pay as they work.<\/p>\n\n\n\n Premiums to those who are long-term unemployed and want a few years of work\nto retire. If the specific unemployed find work with lower wages than those\neligible the social security-pension system will subsidies the difference in\ntheir social security contributions.<\/p>\n\n\n\n The unions of workers in co-operation with the leftist opposition and the\nrespective organizations\u2019 and in cooperation with the yellow vests have launched\na series of strikes to suspend the eighteen-month period of public consultation\nthat has announced by the French government on the specific issue of sociality\nreforms.<\/p>\n\n\n\n The Proper reforms for a robust social security-pension system<\/strong><\/strong><\/p>\n\n\n\n First of all, we believe that the consolidation of all 42 social security pension funds into one and unique social security-pension-carrier fund will create the required economies of scale that will save resources by covering any deficits in some of these social security pension funds but will not create those market conditions that will lead to competition in order to achieve lower social security contributions and for the same level of social security and pension services as always provided.<\/p>\n\n\n\n More specifically, the number of 42 social security funds is certainly very\nlarge and should be reduced by mergers among them. A number close to eight to ten big social security funds\nwould be appropriate for the French social security-pension market since these\nsocial security funds would then be the pillars for an open market in which\ncompetition between those with a view to the ever-increasing annexation of\ninsured in their coffers and for the same always offered social\nsecurity-pension benefits would lead to a reduction in the level of the amount\nof social security contributions and up to a floor level.<\/p>\n\n\n\n In this case, workers’ disposable incomes would increase due to lower\nsocial security contributions for the same level of social security healthcare\nand pension services equally.<\/p>\n\n\n\n Every employee in this case and irrespective of his or her profession and\nthe union of employees belonging to it will have the opportunity, based on their\nown working life, to choose on the basis of his interest to transfer from his\nexisting social security fund his social security rights and contributions\nuntil then to that social security fund which will offer him better benefits\nwith less-than-a-size social security contributions.<\/p>\n\n\n\n In addition, France should lengthen the working life of workers from 62\nyears to 65 and 67 years for women and men respectively (age pension limits\nrelating to heavy and unhealthy professions should not be altered).<\/p>\n\n\n\n In such a type of age elongation the benefit to the state budget due to the\nincreased social security contributions paid by employees and employers from\nthe delay in the award of pensions and after taking into account the foreseen\nincreased expenditure related to unemployment and healthcare for insured will\nbe in the order of \u20ac47billion.<\/p>\n\n\n\n![\"\"](\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2019\/10\/BattleOfTexel.jpg\")
Artist Willem van de Velde the Younger (1633-1707)
https:\/\/en.wikipedia.org\/wiki\/Public_domain
After this Battle introduced the first social security pension system in France<\/em><\/figcaption><\/figure><\/div>\n\n\n\n![\"\"](\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2019\/10\/180px-S\u00e9curit\u00e9_sociale_Rennes.jpg\")
Photo by 01.camille, https:\/\/en.wikipedia.org\/wiki\/Public_domain<\/figcaption><\/figure><\/div>\n\n\n\n![\"\"](\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2019\/10\/Emmanuel_Macron_in_2019.jpg\")
Photo by The White House from Washington DC
https:\/\/en.wikipedia.org\/wiki\/Public_domain<\/figcaption><\/figure><\/div>\n\n\n\n