Table of Contents
- 0.1 7 hours of additional work without pay
- 0.2 Small pensions protected from the partial freeze of pensions
- 0.3 No increases in employer contributions on low wages
- 0.4 Sodas, gambling, tobacco… Increased “behavioral” taxes
- 0.5 The return of the “rabbit tax”, to fight against unfulfilled medical appointments
- 1 **How will the proposed “solidarity contribution” requiring seven unpaid hours of work annually impact employee well-being, considering the current economic climate and rising cost of living?**
After a week of debates, senators completed their examination of the Social Security financing bill for 2025 (PLFSS) on November 23. The text, which must still be the subject of an overall vote by the Senate on November 26, should then be modified within the framework of the joint committee scheduled for the next day, to arrive at a compromise version between deputies and senators.
In the National Assembly, the examination of the PLFSS could not be completed. It is therefore the government’s copy, without the modifications adopted by the deputies, which was studied and amended by the upper house. We summarize the main changes made to the text.
At the opening of the debates, the Minister of Health Geneviève Darrieussecq began by announcing a reduction in the reimbursement of medicines and medical consultations for 2025. The “moderator ticket”, that is to say the part which remains the responsibility of insured, will increase by 5%. In 2025, medical consultations will therefore be reimbursed at 65%, for medicines the reimbursement rates set at 65%, 30% and 15% will also decrease by five points. However, these developments do not appear in the text examined by parliamentarians; they will be taken by ministerial decree on a date that is still unknown.
7 hours of additional work without pay
Faced with the scale of future Social Security expenditure with the aging of the population, the Senate is asking employees to make a new effort, in the form of a “solidarity contribution”. Employees will therefore have to work 7 hours more per year, unpaid. The 2.5 billion euros generated by these additional working hours will directly supplement the “autonomy” branch of Social Security, which finances the care of dependent elderly people and people with disabilities.
Like the solidarity day already in force, the terms of application of this measure remain relatively flexible. The annual distribution of the seven hours of work over the year will be decided by a company agreement, a convention or a branch agreement.
The proposal, put forward by the Senate Social Affairs Committee, sparked deep disagreements in the chamber. However, its chances of survival in the final version of the text, following the joint committee, remain slim. In recent weeks, the government closely studied the Senate measure, but ultimately chose not to support it in session.
Small pensions protected from the partial freeze of pensions
This is the Senate’s other major modification in the government’s project. By an amendment from the Social Affairs Committee, the upper house proposes to protect pensions below the minimum wage from the savings measures envisaged by the executive. In presenting its budgetary decisions, the government had in fact proposed to postpone until July 1 the revaluation of retirement pensions in line with inflation, to limit the increase in social spending. A measure allowing savings of 3.6 billion.
The proposal sparked a lot of debate, including within the political forces supporting the Barnier government, to the point that an alternative solution was finally proposed in mid-November. The measure, favorably received by the government, was announced by the leader of the Les Républicains deputies Laurent Wauquiez but could not be examined in the Assembly. After coldly welcoming their colleague’s initiative, the majority senators finally proposed this compromise measure themselves during the debates.
No increases in employer contributions on low wages
This was one of the Barnier government’s most divisive proposals in the PLFSS: reducing the reductions in employer contributions that exist today for salaries around the minimum wage. Concretely, for 2025, the executive proposes to reduce by two points the contribution reductions enjoyed by employers on salaries ranging from 1 to 1.3 SMIC. Secondly, in 2026, further reductions in contribution reductions are planned, this time for salaries between 1.3 and 1.8 SMIC. The measure, with which the government hopes to achieve 4 billion euros in savings, has been largely reworked by the senatorial majority.
In the version of the bill adopted in the Senate, contribution reductions are preserved for salaries close to the minimum wage. For the Social Affairs Committee, which defends this rewriting of the text, the measure makes it possible to “preserve employment” in sectors of activity which rely on these low salaries, such as cleaning companies or even the home help. To financially compensate for the measure, senators put an end to other reductions in contributions paid by employers, family contributions for salaries from 3.1 SMIC and health insurance contributions for salaries from 2 .1 minimum wage.
As voted by the Senate, the measure makes it possible to generate three billion euros in additional revenue, or one billion less than the government’s initial proposal. However, the Senate’s adjustments were received rather favorably by the government. In the hemicycle, Minister of Labor Astrid Panosyan-Bouvet did not officially take a position in favor of the amendment, but welcomed the “extremely interesting” proposals from the general rapporteur of the social affairs committee Élisabeth Doineau.
Sodas, gambling, tobacco… Increased “behavioral” taxes
Like last year, the Senate introduced several amendments into the PLFSS to increase “behavioral” taxation, aimed at deterring consumption practices that harm health and lead to addictions among consumers through price increases. “Drinks with added sugars” will thus be taxed more, progressively depending on the level of sugar contained in the products, at a rate of 4 cents per liter for the least sweet beverages and up to 35 cents per liter for the most. sweet. In the National Assembly, a similar provision had already been adopted, but with a lower tax increase.
Senators also voted for a significant increase in tobacco taxes. If the upper house’s measure is included in the final text, the average price of a pack of cigarettes would increase to 12.70 euros next year. The increase in taxation also concerns “pouches”, these sachets of nicotine in gums or beads whose consumption is spreading particularly among young people. A measure taken against the advice of the Minister of Health, who indicated that she preferred “to prohibit than to tax”. In total, this increase in taxation should bring in 200 million euros in 2025.
While the increase in taxes on gambling was rejected in the Assembly, the Senate for its part voted in favor. The amendment made by the Social Affairs Committee thus provides for an increase in taxes on various games and their advertising. The tax on the gross product of automatic games in casinos would thus increase from 11.2 to 11.9% and from 0.2 to 10% on the gross product of online poker games. The Senate’s proposal, however, protects the horse racing sector from these tax increases. Sports betting is also largely spared, while the Social Affairs Committee proposed a 4.4% increase in taxes for the sector, this was ultimately limited to 1%.
The return of the “rabbit tax”, to fight against unfulfilled medical appointments
As during the examination of the PLFSS in 2024, the Senate again adopted a “rabbit tax”, which aims to financially penalize patients who do not honor their medical appointments or cancel them too late. If the measure is retained in the final version of the text, the amount of the penalty would be set by decree. Its retention in the law still raises questions, the Minister of Health having expressed an unfavorable opinion against the proposal.
In total, according to government estimates, the various measures added or deleted by the Senate during the examination of the PLFSS would reduce the Social Security deficit to 15 billion euros. This is better than the government’s initial copy, which hoped to reduce the deficit to 16 billion euros.
**How will the proposed “solidarity contribution” requiring seven unpaid hours of work annually impact employee well-being, considering the current economic climate and rising cost of living?**
## Interview: Decoding the Senate’s Social Security Bill Amendments
**Introduction:** Welcome to World-Today News. Today, we delve into the recent Senate amendments to France’s 2025 Social Security Financing Bill (PLFSS), with two esteemed guests, Professor Sophie Dubois, a healthcare policy expert, and Jean-Claude Martin, a labor economist.
**Section 1: Balancing the Budget – A Delicate Act**
* **World-Today News:** The Senate suggests a ”solidarity contribution” requiring employees to work 7 hours more unpaid annually. Professor Dubois, what are your thoughts on this proposal as a means to address Social Security’s financial challenges? Does this approach place an undue burden on employees, especially considering the rising cost of living?
* **World-Today News:** Mr. Martin, how do you assess the potential economic implications of this measure? Could it lead to reduced productivity or increased strain on already stretched workforces?
**Section 2: Protecting Pensions & Minimum Wage Earners**
* **World-Today News:** The Senate has proposed protecting pensions below the minimum wage from a proposed freeze. Mr. Martin, what’s your take on this amendment? Does it strike a fair balance between fiscal responsibility and protecting vulnerable pensioners?
* **World-Today News:** Professor Dubois, how accessible are pensions in France to individuals earning minimum wage? Would this amendment significantly impact their financial well-being?
**Section 3: Employer Contributions and Job Creation – Finding Common Ground**
* **World-Today News:** The Senate significantly reworked the government’s proposal to reduce employer contribution reductions for low wages. Professor Dubois, how might this Senate amendment impact job creation in sectors heavily reliant on these positions, like cleaning services or home care?
* **World-Today News:** Mr. Martin, what are the broader economic implications of these changes in employer contributions? Do you foresee potential for increased employment in specific sectors, or could it lead to wage stagnation?
**Section 4: Behavioral Taxes – A Tool for Public Health or Government Overreach?**
* **World-Today News:** Professor Dubois, the Senate has proposed increased taxes on sugary drinks, tobacco, and gambling. Do you agree with using “behavioral taxes” to discourage unhealthy habits?
* **World-Today News:** Mr. Martin, what are your views on the economic impact of these taxes? Does the potential revenue generated justify the burden placed on consumers, particularly those who might be struggling financially?
**Section 5: Seeking Solutions: A Path Forward**
* **World-Today News:** Professor Dubois, what are some alternative solutions to address the Social Security deficit without resorting to potentially controversial measures?
* **World-Today News:** Mr. Martin, what are your final thoughts on the Senate’s amendments? Do you anticipate significant changes during the upcoming joint committee review? Where do you see the conversation heading next?
**Conclusion:** Thank you, Professor Dubois and Mr. Martin, for sharing your valuable insights. This complex debate underscores the challenges facing Social Security systems worldwide. We look forward to further developments on this crucial topic.
