Retirement made easier thanks to the reform of the time savings account?

The government plans to reform the time savings account (CET) to make it universal. This measure should be accompanied by new possibilities of use, in particular to retire earlier.

The CET soon open to all workers

Currently, the CET is an optional system which only benefits a minority of private sector employees and public officials. The executive wants to generalize it to all assets.

The objective is twofold:

• Expand access to the time savings account
• Allow new uses, including early retirement

Several options for using saved rights

In their report, the General Inspectorate of Social Affairs (Igas), the General Inspectorate of Finances (IGF) and the General Inspectorate of Administration (IGA) studied different avenues.

First of all, it would be maintain the current possibilities for early departure thanks to the CET :

• Gradual cessation of activity via part-time work
• Permanent termination by taking leave of 6 months maximum

Then, the inspections offer three new uses :

• Use the CET to directly buy back quarters of retirement
• Articulate CET and progressive retirement to supplement income
• Combine CET and C2P rights to leave earlier

A majority of permanent departures

Today, the majority of CET beneficiaries (70% to 80%) choose to use their saved rights for a definitive cessation of activity. They take leave of up to 6 months ending on their retirement date.

Fueling reform negotiations

The government wishes to consult with the social partners before reforming the CET. This report aims to fuel discussions and shed light on future negotiations.

The objective is to reach an agreement between employers’ organizations and unions on this issue.