Cap on Daily Benefits: Decree Postponed

The planned reduction in the cap on daily sick leave benefits—originally scheduled for January 1, 2025—has been postponed following the resignation of Michel Barnier’s government. This decision will benefit employees who would have been affected by this budget-cutting measure.
 

A Cut in Daily Benefits Averted for Now
The draft decree aimed to lower the wage cap used to calculate daily benefits from 1.8 times the minimum wage to 1.4 times the minimum wage. In practice, all employees earning more than 1.4 times the minimum wage would have seen their daily benefits reduced starting in 2025. The Ministry of Labor has confirmed that there will be no reduction in daily benefits as of January 1, unless the new Prime Minister revives the proposal to stay on schedule.
 

A budget issue involving 600 million euros
This measure would have allowed the government to save 600 million euros in the Social Security budget. The postponement of the decree means that, for the time being, these savings will not be realized, thereby deferring the issue of Social Security funding to the next government led by François Bayrou.
 

Calculation of Daily Benefits Remains Unchanged
Currently, employees on sick leave receive benefits equal to 50% of their base daily wage after a three-day waiting period. The base daily wage is calculated as the average of the gross wages received during the three months preceding the leave, divided by 91.25, with a cap set at 1.8 times the minimum wage.
 

Thus, employees earning more than 3,180.46 euros gross per month receive a maximum daily benefit of 55.28 euros. If the decree had been implemented, this amount would have been reduced to 41.44 euros, significantly impacting the income of the affected employees during their sick leave.
 

An Uncertain Future for the Reform
Although the bill has been postponed, it could be reconsidered by the new government. Finding ways to cut costs in the Social Security budget remains a major concern, and measures such as lowering the cap on daily benefits or extending the waiting period—currently three days for private-sector employees—could be considered.
 

Employees Remain Vigilant
This postponement offers some relief to employees who may be affected, but uncertainty remains. Labor unions and employees remain vigilant regarding future decisions that could impact their purchasing power in the event of sick leave.