Emmanuel Macron won a highly anticipated ruling on his plan to raise the retirement age, giving the French president a boost in his attempt to turn the page on an episode that has left him deeply unpopular.
(Bloomberg) — Emmanuel Macron won a highly anticipated ruling on his plan to raise the retirement age, giving the French president a boost in his attempt to turn the page on an episode that has left him deeply unpopular.
France’s Constitutional Council, made up chiefly of former politicians and senior civil servants, approved the core elements of the law in their decision, including the key contested provision that would increase the minimum retirement age by two years to 64.
While the green light from the court is a source of relief for Macron, he still faces deep opposition to the pension reform. Labor unions have remained unusually united through the protests with opinion polls showing a majority of French people oppose raising the retirement age and support the strikes that started in January.
Even before the ruling, Macron tried to show he’s ready to move on to other issues, inviting unions, “without preconditions,” to meet at the Elysee on Tuesday for discussions. However, in a statement on Friday evening, leaders of the major labor movements said they wouldn’t accept any meetings before May 1, which is Labor Day in most of Europe and when they have planned their next major protest.
“This evening there is neither a winner nor a loser,” Prime Minister Elisabeth Borne tweeted after the ruling, adding that the pension plan had “reached the end of its democratic process.”
Macron now has two weeks to enact the law. He’s previously said he intends for it to be applied in September, a timeline confirmed by Labor Minister Olivier Dussopt after the ruling.
Macron’s government says raising the pension age is vital to boost employment rates and halt the build-up of deficits in the massive public retirement system as the population ages. Unions say changing the age thresholds to claim a full pension will disproportionately penalize the least well-off and that there are other options to balance the system, including higher taxes on business and the wealthy.
Police said as many as 10,000 people may protest in Paris late Friday, according to Agence France-Presse.
“One can’t govern a country against its citizens,” said Sophie Binet, the head of France’s far-left CGT union, speaking at a protest in front of Paris’ city hall after the ruling. “We are calling on the president to get away from his stubborn, obstinate dogmatism.”
Opposition lawmakers who requested a Constitutional Council review of the law argued the government had used an inappropriate vehicle for the reform, as well as tools that hastened the process and made debates unclear and insincere. Unions and protesters were particularly angered by Macron’s use of a provision to bypass a vote on the bill when it became clear he lacked a majority in the National Assembly.
In its decision, the court also rejected one of two opposition-backed demands for a process that could lead to a referendum on keeping the age cutoff at 62 — a move that would have prolonged political and legal uncertainty. It will issue a ruling on the second request on May 3.
Some peripheral provisions of the retirement law were struck down, but that is unlikely to force a wholesale revision and the measures could still be included in other bills.
“We can’t expect the Constitutional Council to fix a problem that’s purely political — it never wanted to play that role,” said Samy Benzina, a law professor at the University of Poitiers. “The court doesn’t want to engage in politics, or say whether or not the reform is a good one.”
The measures that were struck down include an obligation for large companies to disclose employment rates of older workers and the creation of a new contract to encourage hiring over-60s. The removed provisions, which were concessions the government made to try to get the support of opposition groups, can still be adopted in separate legislation.
The court said it considered that the French constitution calls for a solidarity policy for retired workers but gives lawmakers latitude to decide on the concrete arrangements. It also said that the aim of raising the retirement age was meant to ensure the financial equilibrium of the pension system and that “it took into account in particular the lengthening of life expectancy.”
–With assistance from Gaspard Sebag and Tara Patel.
(Adds comment from labor unions in fourth paragraph.)
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