Role and Key Figures 2013

Role and
Key Figures
2013
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Role and
Key Figures
2013
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France’s largest pension scheme
Legal framework
France’s pay-as-you-go pension system was founded in 1945 and operates on
the principle of the solidarity between the generations.
Parliament and Government
Parliament sets general guidelines for the social security system and votes the annual social security budget.
The pension contributions paid into the system by workers and employers finance the pensions paid out to
retirees each month. Through their contributions, workers accrue pension rights, entitling them to claim a
pension when they retire. Their pensions will be financed by the contributions paid in by a future generation
of workers.
The national pension office – Caisse nationale d’assurance vieillesse (Cnav) – manages the retirement
insurance section of the social security general scheme. This is the base pension scheme for employees in
the trading, manufacturing and service sectors, who also pay contributions into compulsory supplementary
schemes managed by Agirc, Arrco and Ircantec.
Agricultural employees and the self-employed (farmers, wholesale and retail traders, tradespeople and
professionals) pay into industry-specific supplementary schemes. In addition, there are special schemes for
certain other categories of employees (chiefly public-sector employees and employees of large state-owned
companies…).
The government introduces the necessary regulations to reach the targets set by Parliament. In particular,
the government sets the annual percentage increase in pensions and the caps on pension contributions. The
ministries in charge of social affairs and the budget have oversight over the social security schemes. They sign
agreements on targets and management with the national social security offices.
Cnav Board of Directors
The board of directors of Cnav elects a chair and a vice-chair for five-year terms.
The board consists of:
30 members with voting rights
•13 representatives of social security insurees
•13 representatives of employers
BREAKDOWN OF CONTRIBUTORS
TO THE MAIN SCHEMES
AT 31 DECEMBER 2013
•4 people qualified in Cnav’s areas of expertise appointed by the state
BREAKDOWN OF PENSIONS PAID OUT
BY THE MAIN SCHEMES
AT 31 DECEMBER 2013
1.8%
4 consultative members
•1 representative of the national union of family associations (UNAF)
•3 Cnav employee representatives
The board approves Cnav’s financial statements and budget; outlines social action policies for general-scheme
retirees; and issues opinions on draft laws and decrees that could affect pensions. The board can also propose
any measure it considers appropriate.
4.7%
4.4%
8.5%
9.4%
7.8%
Agreements on targets and management
9.9%
8.6%
Cnav signs multi-year agreements on targets and management with the state. Implementation of the agreements
is governed by multi-year contracts between Cnav and the regional pension offices. These agreements set forth
the targets, operating resources and respective roles of the parties.
2.0%
2.6%
6.8%
68.7%
10.5%
Total contributors: 25.8 million
Total pensions paid out: 23.93 million
General scheme
General scheme
Agricultural employees
Agricultural employees
Farmers
Farmers
Traders, tradespeople, professionals, clergy
Traders, tradespeople, professionals, clergy
Public-sector employees and military personnel
Public-sector employees and military personnel
Local government employees
Local government employees
Other special schemes
Other special schemes
54.4%
Cnav director
The government appoints the director of Cnav at a cabinet meeting, taking into account the opinion of the chair
of the board of directors.
The director is tasked with the day-to-day operation of Cnav. He therefore has overall and exclusive responsibility
for staffing. He organizes work, drafts budgets and authorizes expenditure. He ensures that the national office
carries out its coordination and supervisory roles in relation to the regional offices, principally through the
multi-year management contracts.
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Role and
Key Figures
2013
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Our role
Keeping records of employees’ work histories
As soon as someone starts working in France, an individual
retirement account is opened in their name. The details of salaries
and contributions are added to the account every year on the basis
of the social security declarations filed by employers.
The retirement insurance section of the general scheme managed
73.2 million careers in 2013.
Assisting vulnerable retirees
The retirement insurance section of the general scheme also has a diversified social action policy to help elderly
people cope with the effects of ageing and reduced autonomy. In 2013, 375,210 retirees benefited from assistance
from retirement insurance.
The social action policy is aimed at enabling elderly people to continue living in their own homes through
individual assistance (individual assessment and action plans, carers, housing grants, assistance with returning
home after a stay in hospital).
The retirement insurance section also funds construction, upgrades and equipment for elder-care facilities.
Supporting employers
Through its network of regional offices, Cnav offers a range of
services for employers. Through direct contacts and information
meetings, Cnav keeps employers informed of developments that
affect their employees and assists them to implement measures
to facilitate employment of senior workers.
Providing statistical and legal expertise
Cnav is actively involved in technical and financial
evaluations of the French pension system in the
short, medium and long term. As the operator of
the largest base pension scheme, Cnav plays a
major role in designing tools and techniques for
simulation and forecasting.
Helping insurees prepare for retirement
Cnav staff work closely with government
departments to draft the annual social security
budget, as well as legislation and regulations
relating to pensions. They also contribute to
forecasts by France’s Pensions Advisory Council
(COR).
Employees can view their career records free of charge at any time on www.lassuranceretraite.fr or request
a copy by mail. An accurate reflection of the employee’s work history, the career record is an itemized account
of all the salaries on which contributions were levied, and the number of quarters accrued towards a pension
as well as equivalent periods such as unemployment, disability or sick leave. The career record contains the
information used to calculate the employee’s pension when he/she retires.
To publicise its work, Cnav posts a quarterly
electronic newsletter called Cadr’@ge, and in 2013
set up a dedicated website for studies, research
and statistics. Cnav also publishes studies and
analyses by pension experts, researchers and
academics in its journal Retraite et société, which
addresses economic, demographic, sociological,
statistics, legal and other aspects of pension
issues.
mployees can find answers to all their questions about retirement on www.lassuranceretraite.fr.
E
As well as viewing their career records, they can:
•view an estimate of their future pension (employees aged 54 and over),
•find out the mandatory retirement age that applies to them,
•apply for a pension online,
•view their file or find answers to their questions via the extensive FAQ.
To help insurees prepare properly for retirement, Cnav and the regional offices offer face-to-face appointments
at their 279 reception centres.
Ensuring regular payments
Through careful preparation of employees’ files, the retirement insurance section of the general scheme
guarantees insurees a smooth transition to retirement with no disruption in income.
The average timeframe for processing an application for a pension is currently 18 days. Pensions are paid out
on a monthly basis.
A file is kept on every insuree throughout their retirement, so that any changes in status or new rights can be
taken into account.
International relations
In response to demand from other countries in the field of social security, and particularly pensions, Cnav sends
staff on assignment through tenders and calls for experts. To facilitate these exchanges, Cnav has created a
pool of technical, generalist and manager profiles.
Cnav also has opportunities to share experience and promote the French model of social security when it hosts
foreign delegations.
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Role and
Key Figures
2013
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Key Figures (at 31 December 2013)
13.5 17.72
million retirees
million contributors
Our network
Pensions are managed by regional Retirement Insurance and Occupational Health Offices (Carsat), General Social
Security Offices (CGSS) in the overseas départements, and the Social Security Office (CSS) in Mayotte. In addition
to its national coordination role, Cnav directly manages pensions in Île-de-France.
RETIREMENT INSURANCE REVENUE IN 2013
Together, these organisations make up the retirement insurance section of France’s social security general scheme.
0.3%
The retirement insurance section of the general scheme has assigned trained staff to the regional offices to
facilitate relations with pension organisations in other countries that have a social security agreement with France
or that come under EU regulations. Each regional office is thus equipped to process the files of insurees who live
or have lived in France and in one or more other countries.
0.5%
0.8%
4.9%
€105.38 73.2
billion paid out in retirement
a n d s u r v i v o r ’s p e n s i o n s i n m o r e
t h a n 15 0 c o u n t r i e s
million work
histories
managed
Branches in metropolitan France: 279
Reception centres in metropolitan France: 728
Branches in CGSS/CSS: 15
Reception centres in CGSS: 26
10.9%
19.2%
€3.14
billion in deficit
13.386
staff serving retirement
of new retirees
satisfied with the
services provided
20 branches
18 reception centres
Contributions paid
by the state
Write-backs from
provisions
CARSAT
Pays de la Loire
www.lassuranceretraite.fr
375.210
beneficiaries of social action assistance, including
beneficiaries
of individual
action plans
13 branches
53 reception centres
17 branches
23 reception centres
CARSAT
Centre-Ouest
0.6%
11 branches
13 reception centres
0.2%
CARSAT
Auvergne
7 branches
35 reception centres
0.6%
CARSAT
Rhône-Alpes
15 branches 112 reception centres
1.2%
CARSAT
Aquitaine
1.4%
15 branches
58 reception centres
4.8%
CARSAT
Midi-Pyrénées
91.2%
The retirement insurance section of the general
scheme received more than €112.5 billion in
revenue, almost 63.4% of which came from pension
contributions paid in by insurees and employers.
Expenditure totalled almost €115.7 billion, almost
93% of which consisted of benefits paid out (retirement
and survivor’s pensions and social action).
CARSAT Bourgogne
& Franche-Comté
RETIREMENT INSURANCE EXPENDITURE IN 2013
12 branches
37 reception centres
Financial results
14 branches
13 reception centres
CARSAT
Centre
13 branches
44 reception centres
Transfers
11 branches
27 reception centres
CARSAT
Nord-Est
50 branches
50 reception centres
16 branches
18 reception centres
Other revenue
CARSAT
Alsace-Moselle
CNAV
Île-de-France
CARSAT
Bretagne
Allocated taxes
million
visitors to
273.200
Social security contributions
25 branches
184 reception centres
CARSAT
Normandie
€112.5 billion in revenue
Contribution from the
old-age solidarity fund
91% 3
CARSAT
Nord-Picardie
63.4%
CARSAT
Sud-Est
CARSAT
Languedoc-Roussillon
27 branches 20 reception centres
13 branches
23 reception centres
€115.7 billion in expenditure
Pensions (retirement and
survivor’s)
Overheads
Provisions
Transfers (compensatory
transfers, transfers to
special schemes)
Payments to electricity
and gas utilities
Social action
Other expenditure
CGSS1
Guadeloupe
3 branches
9 reception centres
CGSS1
Guyane
1 branch
3 reception centres
CGSS1
Martinique
4 branches
6 reception centres
CGSS1
Réunion
5 branches
8 reception centres
CSS2
Mayotte
2 satellites or
reception centres
1. General Social Security Office | 2. Social Security Office
110 avenue de Flandre
75951 Paris Cedex 19
Find us on: www.lassuranceretraite.fr,
Facebook the Retraite Sécu mobile app, an
Twitter.
Ref. 10002 – 07/2014 – Oversight and coordination: Cnav, Communications Division – Design and layout: PCA/PARIMAGE
Photos: Patrick Sagnes – Cover photo: Christine Née, Île-de-France Retirement and Social Action Division – Printed by: Cnav –
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