Contributions: the Constitutional Council censorship pact … – Le Parisien

Contributions: the Constitutional Council censorship pact … – Le Parisien

<- Length: 0.016561031341553 sec -> The reduction of employee contributions promised by the government as part of its pact of responsibility, and entered in the Amending Budget for Social Security, was dismissed Wednesday by the Constitutional Council. <- pubComplementsArt ->
                  <- duration: 0.0059311389923096 sec -> This is a bitter blow for François Hollande. The president made this pact liability announced during his vows in 2014, a major focus of its economic policy.

Article 1 of the bill, which provides for a sliding drop of employee contributions affecting between 1.3 and SMIC SMIC, was deemed “unconstitutional” by the Sages, especially because it “violates the principle of equality.” This reduction represented 520 euros per year for a full-time job at minimum wage (EUR 1 445.38 monthly gross). The amount would then decrease to 1.3 times the minimum wage.

5.2 million employees and 2.2 million civil servants involved

Measurement which should apply to 1 January 2015, concerning 5.2 million employees and 2.2 million civil servants, at a cost of € 2.5 billion.

In its decision, the Constitutional Council considers that these provisions establish “a difference of treatment which is not based on a difference between the situation provided the same social security system.” Salary pension insurance and health insurance contributions “are payments mandatory opening of entitlements and benefits paid by the old branches and disease,” he says. However, the bill in the state “kept unchanged for all employees, the basis of these contributions and the benefits and advantages which those contributions entitle”. Thus, “the same social security system continue (…) to fund, for all of its policyholders, the same benefits despite the absence of payment by nearly one-third of these, the entire employee contributions. “

Government promises ‘alternative measures’

The Government will propose to the return of” alternative measures of the same magnitude “as the relief employee contributions censored by the Constitutional Council, assured Wednesday Ministries of Finance and Social Affairs. These measures support the purchasing power will “amplify” the next year “means tax cuts already announced” by the executive under the pact responsibility is it said in a statement.

Finance Minister Michel Sapin, the Minister of Social Affairs Marisol Touraine and the Secretary of State for the Budget Christian Eckert, who signed the document set, ensure that the government “remains committed to increasing the purchasing power employees, and more broadly households with low incomes and resources. “

This censorship is a blow to the pact of solidarity and responsibility carried by the executive and the president Francois Hollande, who mixes significant cost savings and business support efforts, as well as some support measures of purchasing power from a counterweight. MM. Fir and Eckert and Ms. Touraine however welcome the green light from the Constitutional Council last supplementary budget and an income tax relief for low-income households.

Council also retoqué part of Article 2 concerning the reduction of employer contributions for certain jobs at home.

These provisions were adopted by the Parliament in the review of the amending budget social Security. For the Constitutional Council, they “were introduced in new reading when they were unrelated to the provisions still under discussion.” “Having been adopted by a procedure contrary to the Constitution,” they are also considered “unconstitutional.”

Article 2 provided the doubling (from 0.75 euro to 1.5 euro of time) on 1 September for childcare and care for dependent elderly or disabled, the relief contributions that since 2013 have individual employers.

First reactions

 . Gérard Bapt, MP PS This decision is “very damaging because it was very significant at the minimum wage, representing almost the equivalent of a half 13th annual additional months.”

 . Christian Paul, MP PS slinger : “The reduction of employee contributions was the only part of the text which had a positive effect on the purchasing power of workers’
.
 . Denis Baupin, MP environmentalist (on twitter): “The Constitution of the Fifth (Republic) would therefore reduce employer contributions and employee contributions not?? Strongly the Sixth! “

 . Jean-Claude Mailly , Secretary General of Workers Force (on twitter): “We had to increase the minimum wage: + + fair and simple” ..

VIDEO. April 2014: When Valls evoked a decisive impetus related pact responsibility

Constitutional Council validates the Finance Act Amendment 2014

The Constitutional Council approved Wednesday the Finance Act (LFR) for 2014, especially considering that the economic assumptions on which it is based “not tainted with an intention to distort the outline of his balance. “

The Sages had been seized by over sixty members of the opposition, who challenged his sincerity, which provides four billion euros in savings, 1.6 billion from the state budget, to further reduce the public deficit to 3.8% of GDP.