French Senate Proposes Reinstating Pension Reform Amid Budget Disputes

On November 15, 2025, the French Senate's Social Affairs Committee took decisive steps to revise the 2025 Social Security budget by proposing to overturn several measures passed by the National Assembly. Central to the Senate's position is the reinstatement of the controversial retirement reform that raises the legal retirement age to 64, which the National Assembly had suspended until January 2028. This suspension, initially accommodated to appease left-wing parties, met strong opposition from the Senate's right and center majority, who view the move as financially unrealistic and harmful.

Senator Pascale Gruny criticized the funding approach for the suspension as relying unfairly on retirees. Senate rapporteur Elisabeth Doineau emphasized the Senate's consistent support for the reform, highlighting the stark political divide. Left-wing senators such as Bernard Jomier condemned the Senate's stance as a refusal to compromise and a hardening of positions.

Beyond the retirement age issue, the Senate sought to address the soaring Social Security deficit, projected by Labor Minister Jean-Pierre Farandou to exceed €24 billion. The Senate aimed to reduce this deficit to €15.1 billion, surpassing the government's initial target of €17.5 billion. To achieve this, they reinstated unpopular austerity measures, including freezing social benefits in 2026 and reinstating pension freezes, while exempting pensions below €1,400.

Furthermore, the Senate rejected a proposed increase of the CSG tax on capital income, a measure that had been expected to generate €2.8 billion in 2026, indicating their preference to avoid raising taxes on capital.

These developments highlight deep divisions between the Senate and National Assembly on managing the Social Security budget and the future of pension reforms. The Senate's public sessions will continue to review amendments and solidify their approach in coming days, suggesting further political contention in this critical social policy domain.