French PM Faces Tough Wage Hike Talks With Unions

leprogres.fr (French) —

Prime Minister Sébastien Lecornu hosts a social conference Monday with unions and employers to address wage increases, facing pressure after weeks of protests demanding higher pay. The government can only act on the minimum wage (Smic), currently €1,477 net monthly. Unions demand increases up to €150, while the minister warns excessive hikes could harm employment. Real private-sector wages fell 1.1% annually after inflation. Employers oppose combining wage hikes with planned cuts to payroll tax relief. Economist Eric Heyer proposes a major reform shifting certain social contributions to a broader CSG tax, arguing the state currently subsidizes private-sector wages.


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