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Volumn 23, Issue 2, 2000, Pages 113-136

'Defrosting' the French welfare state

(1)  Palier, Bruno a  

a NONE

Author keywords

[No Author keywords available]

Indexed keywords

SOCIAL POLICY; WELFARE PROVISION; WELFARE REFORM;

EID: 0033940343     PISSN: 01402382     EISSN: None     Source Type: Journal    
DOI: 10.1080/01402380008425369     Document Type: Article
Times cited : (82)

References (43)
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    • note
    • Family benefits were frozen in 1996, and it was planned to make them taxable in 1997 and means-tested in 1998 (the Jospin government means-tested them in 1998, but removed the measure for 1999). Resources have been raised through the increase in health insurance contributions for unemployed and retired people by 2.4 per cent in 1996; and the introduction of a new tax, levied at the rate of 0.5 per cent on all revenues, earmarked for the repayment of the debt accumulated by the social security system.
  • 38
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    • This has been done regularly in autumn 1997, 1998 and 1999
    • This has been done regularly in autumn 1997, 1998 and 1999.
  • 40
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    • note
    • In both cases, these Prime Ministers tried to raise social benefits in order to boost private consumption and then economic activity. They both ended up with large public deficits, negative trade balances and increases in interest rates. In both 1976 and 1982, their economic policies had to be switched to a restrictive monetarist one.
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  • 43
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    • note
    • All these reforms have been made in the name of the distinction between insurance and assistance (called 'national solidarity' in French). Trade unions wanted this rationalisation in order to preserve their realm of social insurance, whereas governments and civil servants expected more responsibilities in social protection through these changes. RMI was seen by the left as a means to deliver money and social help (vocational training for instance) through the contract, while the right supported the RMI since it was money given in return for an effort made by the contracting beneficiary. The left supported CSG because it was a fairer tax than social contributions for employees, whereas the right supported this as means for lowering social charges for employers; civil servants supported CSG because it was leading to state control over the expenses financed by this new tax, whereas employers and the CFDT argued that it would allow the social partners to preserve the purity of social insurance, non-contributory benefits being financed by this new tax.


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