Political parties, including the National Rally and La France Insoumise, have strongly opposed the Labor Minister’s proposal to tax certain retirees to fund Social Security. RN Vice President Sébastien Chenu called the idea outrageous and threatened a vote of no confidence if it appears in the budget. Labor Minister Astrid Panosyan-Bouvet suggested that up to 40% of retirees could be affected, but reactions varied, with some supporting the idea while others deemed it unacceptable.
Opposition from Political Parties on Retirement Tax Proposal
On Wednesday, both the National Rally and La France Insoumise voiced their staunch disapproval of the Labor Minister’s recent suggestion to involve certain retirees in funding Social Security. This proposal has faced backlash even from those within the government.
“Imposing taxes on retirees who receive a pension of 2,000 euros is absolutely outrageous,” declared RN Vice President Sébastien Chenu. He added, “If this makes it into the budget, I will advocate against its approval,” during his appearance on TF1, hinting that this could become a basis for a vote of no confidence against the government.
Mixed Reactions to the Proposal
Labor Minister Astrid Panosyan-Bouvet introduced the idea on Tuesday, suggesting that certain retirees could help finance social protection measures. She noted that this contribution might apply to “retired individuals who can afford it,” proposing that up to 40% of retirees could be affected based on their pension levels. However, it was clarified from Matignon that this idea represents Ms. Panosyan-Bouvet’s personal viewpoint.
Chenu expressed that this matter is rapidly becoming a crucial issue, perceiving such taxation as a form of “seizure” of the hard-earned income of retirees. Former Prime Minister Michel Barnier’s earlier stance on revising the general indexing of pensions to inflation also played a role in the RN’s rationale for a potential government censure.
From the opposite end of the political spectrum, LFI coordinator Manuel Bompard shared his outrage, stating on BFMTV that it is “incredibly dishonorable” to target retirees earning 2,000 euros a month under the guise of tax justice, while advocating for a tax reform that ensures wealthier individuals contribute more.
The proposal stirred varied responses among government supporters as well. Horizons Vice President Christian Estrosi labeled the suggestion “unacceptable,” warning that it could lead to further encroachment on the pensions of the most vulnerable retirees. In contrast, MP Perrine Goulet from MoDem considered it “not inappropriate” to explore retirees’ contributions towards financing elderly care, emphasizing the need for shared responsibility across all demographics.
Patrick Martin, the head of Medef, backed the idea, asserting that “everyone must participate in the effort” to alleviate budgetary deficits.