Major Changes in Unemployment Insurance Agreement

Under a new unemployment insurance agreement, social partners have reached several decisions that affect the retirement age and benefits for job seekers. One of the key changes is the increase of the retirement benefit age by two years, now set at 55, which will allow for longer indemnities. This also affects the rate of declining benefits for executives. Furthermore, compensation will now be calculated over 30 calendar days, which reduces benefits by 5 to 6 days per year. For new job seekers, the eligibility conditions have been softened, requiring only 5 months of work in the past 24 months to qualify for allocations. In response, employers have agreed to postpone any reduction in contributions. Additionally, around 77,000 cross-border workers will see a revision in their benefit calculation. The government aims to save €2.4 billion over four years, targeting €600 million annually, although initial savings are estimated at around €180 million for 2025. This reform is seen as an effort by social partners to restore parity in decision-making. The government is expected to confirm these changes, with implementation set for January 1st. This agreement may also pave the way for future discussions regarding pension reforms.