Overview
- The scheme applies to people aged 67 and over in jobs subject to social insurance, excluding civil servants, the self-employed, tradespeople, and agricultural and forestry workers.
- Earnings under the allowance will still incur employee and employer social-security contributions, which the finance ministry says will support health and pension systems.
- The government estimates an initial annual revenue loss of about €890 million, while external assessments reported by outlets put the figure closer to €1.4–€1.7 billion.
- Leaders present the measure as a response to demographic decline and labor shortages that are weighing on sectors such as construction, education and health.
- Coverage highlights the political sensitivity of pension changes in Europe, noting France’s suspension of its 2023 reform until after 2027 under pressure.