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News > World

France: Pensioners Protest Higher Income Tax, Unions to Strike

  • Pensioners and Workers march against Macron's reforms.

    Pensioners and Workers march against Macron's reforms. | Photo: Reuters

Published 16 March 2018
Opinion

Measures that affect workers and retirees follow reductions in wealth and capital gains taxes, leading many to argue Macron is governing for the rich.

Thousands of pensioners took to the streets of Paris and other cities and towns across France on Thursday to denounce President Emmanuel Macron and his government’s tax and pension reforms.

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Pensioners are opposed to a new 1.7 percent hike in taxes on salaries and pensions that go towards France’s social security system. The measure will affect 60 percent of France’s 15 million pensioners, who will pay roughly US$31 more every month.

According to Michel Salingue, member of the General Federation of Public Pensioners they can’t afford the hike because the average monthly pension in France is only 1,300 euros, or US$1,600. This hike, they argue, adds to a hike in diesel prices and reductions in social welfare.  

Pensioners, who are a critical voting block in France, argue an extra deduction in their pensions amounts will contribute to a further loss of purchasing power.

“We’ve had enough of being bled dry the whole time,” said 75-year-old Mado Gurard, who voted for Macron last May. “Us retired people, we vote. He has to listen to us.”

"Take from the poor to give to the rich" | Photo: Reuters

The pensioner's protest came a week before a planned walkout by the country's unions scheduled for March 22 to oppose reforms that would end job stability and early retirement for national rail workers of the National Society of French Railways (SNCF), and allow for foreign competition.

On Wednesday, Macron approved a series of reforms to “prepare” France’s railways for foreign competition, scheduled to enter the country next year. The announcements led to the SNCF to warn the government they would launch a wave of strikes against what they call privatization. One rail worker told FranceTVInfo “Better three weeks of strikes than 30 years of privatization.”

The measures that affect workers and retirees have been adopted after the government reduced wealth and capital gains taxes, which has led many to argue Macron is governing for the rich.

Civil servants who protest low wages and the rise of part-time contracts in the public sector will also join the March 22 nationwide walkout.

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