Press Release: State aid: Commission approves financing of retirement pensions of public-service employees working for France Telecom subject to certain conditions

After in-depth analysis, the Commission has ruled that the scheme for financing the retirement pensions of France Télécom’s public‑service employees has, to date, been compatible with the EU rules on state aid, given that the reduction in pension contributions was offset by a €5.7 billion cash payment from France Télécom to the French State made in 1997. This ruling, however, remains subject to France Télécom bringing the calculation for its contribution fully into line with that of its competitors from July 2012. The decision does not, in any way, affect employee contributions or the level of their retirement pensions.