2009 budget passed after pension row

THE National Assembly has voted through the social security budget for 2009, despite opposition over a retirement clause.

UMP deputy Denis Jacquat gave the bill some last minute controversy with an amendment to extend the right to work until 70 years old on a voluntary basis.

While some in the opposition Socialist Party said this was a first breach in a system which allows retirement at 60, others, such as Paris Mayor Paris Bertrand Delanoë, said the move was “dishonest” because the possibility of working until 70 already existed.

The Socialist Party voted against the budget in protest at the amendment but both were passed.

A further addition, affecting the rights of pilots and cabin crew to retire before 65 was passed, paving the way for strikes later this month.

The Senate will examine the budget on November 12.

Included in the social security budget is a new tax on companies that provide mutuelles - top up health cover. This is a move to try to reduce the deficit of spending on social security which next year is predicted to be €8.6 billion.

Photo:Afp