Sunday, October 24, 2010

French Senate Pass Pension Reform Bill

                This weekend started out with controversy in France, as the French senate approved President Sarkozy’s pension plan, BBC news reported.  The plan is to change the minimum retirement age from 60 to 62, and the full state pension age from 65 to 67.  Sarkozy’s plan is said to avoid the collapse of the current pension plan. 
                Though the new bill was just approved by the senate this Friday, the protests and strikes by union workers have been ongoing for weeks.  Unions have stated that it is a hard earned right to be able to retire at the age of 60.  Unef, a union that represents students, are encouraging students to hold a sit-in this upcoming Tuesday, but may be struck by the half term holiday which began Friday and will run until November 4th.
                With strikes seen amongst the fuel industry, many of filling stations have been left empty, with reports by Prime Minister Francois Fillon stating it may take several days before the fuel supplies rise to normal levels.
                Unions are meant to protect the rights of the employees from unfair laws and orders put in place by their employers; however, it can seem at times when the government or any business are put in tough economic situations, that they may stand in the way of what is best for the people themselves.  When a current pension plan will not be sustainable in the upcoming years, it would seem obvious that change must be put in places where there is room for it to be made. 
                Though at sudden changes unionists may look at it as two years they are being cheated out of retirement to earn their pension, the next generation of employees will be able to fund for those currently retired and onward.  The good of the citizens of France relies on rebuilding a broken system, and to improve the situation, sacrifices will always have to be made for the greater good of the country.  Let’s see if it all ends up working out.  For the full article, follow here.

1 comment:

  1. This is a good example I think of how unions can tend to be inefficient. They mean well for their members at a given point in time, but they often neglect the welfare of future generations, the labor market, and the economy as a whole.

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