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Employment of the elderly: no penalty for companies, except in the case of non-publishing of an index

Financial sanctions will be directed at companies that do not respect the obligation to publish the index released by the government. Considered for a while, coercive measures for lack of results do not hold at this stage.

Labor Minister Olivier Dusspot announced on Monday a system of sanctions for companies with more than 300 employees that do not publish the index of older people. After the Council of Ministers where the text of the pension reform was presented, Olivier Dussopt gave more details about this index created with the reform. “It will make it possible to promote good practices and denounce bad ones,” according to Prime Minister Elisabeth Borne.

This involves measuring the number of older people employed by a company and observing changes in this number from year to year. Because the employment rate of 55-64 years is 56% in France, below the European average (60.5%).

No penalty for companies where the employment of older people does not progress

If the refusal to provide information is sanctioned, no reprisals are foreseen for companies in which the labor insertion of the elderly does not progress, except for the reinforced obligation to negotiate a social agreement to improve the situation.

“[Elles seront, ndlr] in the same amounts that are foreseen for the index of professional equality between women and men. It is 1% of the contribution, therefore 1% of the payroll. For companies with an unsatisfactory position or development, it is an obligation to negotiate an agreement on the employment of older people”, continues the Minister.

However, the day before, the government spokesman did not close the door on possible economic sanctions for companies that did not play the game.

He even insisted, before the presentation of the bill to the Council of Ministers on Monday: “it is precisely one of the aspects of the law in which we say: we are open to proposals that parliamentarians can make”, on restriction measures of the employment of older people.

A card up the government’s sleeve

A few hours before, it was the Minister of Public Accounts who suggested a modification to this index. In the columns of Le Parisien, Gabriel Attal said that he was “very open to proposals on incentives, recycling and looking without taboo at coercive measures for companies that would not play the game.”

However, at the end of the Council of Ministers, Olivier Dussopt ruled out this option, insisting, after questions from journalists, that the sanctions would only affect for the moment companies with more than 300 employees that refused to publish the index.

Before detailing the terms: “The principle of the index will be established in the law and its application to the indicators, the criteria and the terms will be the subject of a decree that will be subject to consultation.”

Author: sophiane aklouf
Source: BFM TV

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