Wednesday, 8 December 2021

French parliament approves Macron’s labour reforms

Emmanuel Macron

PARIS: France’s parliament on Wednesday adopted a bill allowing the government to fast-track changes to the labour code, the first major reform of Emmanuel Macron’s presidency which aims to slash unemployment.

After weeks of at times heated debate between lawmakers, the Senate approved a bill allowing the government to loosen the labour laws after negotiations with unions and employers’ groups.

Liberalising France’s labour market — long a demand of its eurozone partners led by Germany — was one of the central planks of the centrist Macron’s election manifesto.

The upper house Senate adopted the final version of the text by 225 votes to 109, completing its adoption.

Former investment banker Macron wants to give employers more power to negotiate conditions with workers at the company level rather than being bound by industry-wide agreements.

France’s 39-year-old leader also wants to cap the compensation awarded by courts in dismissal cases.

Employers cite the current lack of visibility on the amount of damages awarded by courts as a disincentive to hiring.

With nearly 3.5 million people out of work, Macron has made job creation his top priority, pledging to cut unemployment from a projected 9.4 percent this year to 7 percent by 2022.

The government says the labour reforms, which have been the subject of several rounds of negotiations with employers and trade unions, will benefit both bosses and workers.

Check Also

Cryptocurrencies tumble amid China crackdown

REUTERS/Dado Ruvic/Illustration/File Photo TOKYO – Cryptocurrencies tumbled on Monday as China’s crackdown on bitcoin mining ...

Leave a Reply