Increase in small pensions: the great incomprehension of retirees deprived of revaluation

Some retirees with low incomes do not understand why, contrary to what they hear, their pension will not be increased. The fault lies in the rather complex rules for applying the measure.

René* does not hide his disappointment. This retiree expected to benefit from the increase in his small pension. But that won’t be the case. However, he had inquired long before. “I had three contacts from the Carsat (Retirement and Occupational Health Insurance Fund, Editor’s note) who confirmed to me that I will indeed be entitled to an increased pension”he says. He is not worried when he realizes that he is not part of the first batch of retirees who benefited from an increase in their pension on September 1, 2023, a measure provided for by the latest pension reform.

With the responses from retirement advisors, he naturally thinks that he will be part of the second wave – nearly 850,000 retirees – who will see his September pension increase on average by 50 euros and also benefit from a one-year catch-up of these unpaid increases, from September 25. So these last few days, he’s been scrutinizing his bank account, but doesn’t see anything coming. He therefore contacted his pension fund again and it was a cold shower. “My contact looks at my file and tells me that I am not entitled to this increase because I did not retire at full rate. It’s a deception because in total, with my basic pension and my supplementary pension, I earn 995 euros”he gets carried away.

A complexity that creates incomprehension

This incomprehension is mainly due to the speech that was made during the discussions on pension reform in 2023. The message was however clear: no retiree who has worked their entire career should have a pension below 85% of the minimum wage (i.e. around 1,200 euros net). But in practice, the measurement is much more complex. “There are different calculations which are complicated to detail”notes Diane Buisson, associate lawyer in the social law department of the Redlink lawyers firm. Thus, to benefit from this revaluation, it is necessary fulfill a certain number of criteria. You must touch a full pensionthat is to say without reduction, having contributed (worked) at least 120 quarters and not exceeding a certain level of resources. Your basic pension must not be greater than 847.57 euros gross per month and all of your pensions (basic and supplementary) must not exceed 1,352.23 euros gross per month.

As a result, many retirees who thought they would see their pension increase do not always understand why this is not the case. “I receive a pension of 770 euros with all my quarters, but I have not received any catch-up and I would like to know why”asks Jean*. Same questioning from Colette* who, with a total pension of 700 euros, including 600 euros of basic pension and the full rate, has not received anything. And the limits that have been set to pay this revaluation can also be annoying. “Who are we kidding! I have worked all my life and contributed more quarters than necessary. But as I receive a basic pension of 848.28 euros, or 71 cents too much, I cannot benefit from this increase.protests Claire*.

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Possible recourses

If in total, this measure made it possible to almost 1.5 million retirees to benefit from an average increase in their pension of around 50 euros per month, it nevertheless leaves a lot aside. For those who believe that they meet all the criteria to see their pension increase or who contest the amount of the increase, solutions exist. “If you are in doubt, the first step is to ask your pension fund to tell them that you think an error has been madeadvises Diane Buisson. If the response given to you is not satisfactory, you then have two months to refer the matter to the amicable appeal committee.she explains. Please note that if you do not receive a response from this commission within two months of referral, “this constitutes implicit rejection”warns the lawyer.

* First names have been changed