The number of unemployed 60 and 61 has more than doubled in 7 years

The number of people aged 60 and 61 receiving unemployment benefit rose from 38,000 in 2008 to 88,000 in 2015. The lower retirement age partly explains this increase.

More than the increase in the retirement age, the pension reform has caused an increase in the number of unemployed seniors. , the lowering of the retirement age has generated a doubling of the number of unemployed people receiving benefits aged 60 and 61 and over between 2008 and 2015, according to a study by Unédic cited by the Pension Orientation Council ( HORN).

According to this report on which the COR is based, responsible for making proposals to ensure the financial soundness of pension systems, and consulted by AFP, the number of people aged 60 receiving unemployment benefit has increased from 20,000 in 2008 to 50,000 in 2015 and for those aged 61 from 18,000 to 38,000.

“This development is explained first of all by a sharp increase in new beneficiaries at these ages”. The flow of beneficiaries at 60 or 61 has indeed tripled, from 10,000 in 2008 to around 30,000 in 2015, writes the COR in a document consulted by AFP.

“Before 2010, this flow corresponded only to benefit recipients who did not have the insurance period required to liquidate at the full rate, even when they had reached the legal age. With the reform, have been added people eligible for unemployment insurance before the new legal age for entitlement to retirement, ”set today at 62 years, he underlines.

This increase is also explained by people waiting to liquidate their rights at the full rate, who “under the effect of the increase in the duration of insurance and the legal age, must wait longer”. Thus, in 2008, 57% of recipients leaving compensation at age 60 retired. In 2015, 46% of them aged 61 were to retire at the end of their unemployment benefit.

Indirect effect on beneficiaries aged 57 to 59

In addition, the 2010 reform had an indirect effect on benefit recipients aged 57 to 59, in particular for the end of an employment contract after a contractual termination or dismissal. Before 2010, the peak of entitlement to unemployment compensation was at the age of 57 – the age from which, after three years of compensation, a person could liquidate his retirement. With the postponement of the retirement age from 60 to 62, the peak has shifted to 59 years.

According to another study, this time from the Treasury, produced at the request of the COR and consulted by AFP, the increase in the retirement age would lead, for each year of postponement, to an increase. of gross domestic product (GDP) by 0.7 point and the creation of nearly 200,000 long-term jobs.

According to Treasury simulations, “the decrease in the number of retirees and the increase in activity would result in a drop in the weight of retirement pension expenditure in the GDP by 2060”.

However, in the short and medium term, there would be “a greater risk of a temporary rise in the unemployment rate (…) if the speed of absorption of surplus labor by the labor market is insufficient”.