but what is it about?

2024-01-31 15:53:42

This is a measure in the hunt for “inactivity traps”. It is with these words that Gabriel Attal justified that the unemployed at the end of their rights will no longer receive ASS, the specific solidarity allowance. This will be abolished and its beneficiaries will therefore switch to RSA. The measure clearly targets seniors who are looking for work.

Around 25,000 of them benefit from the specific solidarity allowance (ASS). Most of these are long-term job seekers (at least 3 years) aged 50 or over. As unemployment has fallen in recent years, their numbers have also fallen. But the dynamic was regarding to reverse.

“As unemployment insurance reforms have reduced the duration of rights,” explains Bruno Coquet, economist specializing in the labor market, “we are on the verge of an increase in the number of ASS beneficiaries.”

Towards a reduction in pension spending

In the short term, the elimination will not generate savings for the State. The transition to RSA will cost approximately as much as paying the allowance, i.e. around 1.5 billion euros per year. But the gain for public finances should be felt in the long term.

“The fundamental difference [entre les deux aides], is that the ASS gives the right to quarters of retirement, which is not the case with the RSA, poses Bruno Coquet. As a result, this will produce savings for the retirement system because people will accumulate fewer quarters and will therefore have lower pensions.”

During his general policy speech, the Prime Minister also recalled that the employment of seniors was still the subject of negotiation between social partners until March.

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