French President Emmanuel Macron has long campaigned for an increase in the pension age. Reuters
French President Emmanuel Macron has long campaigned for an increase in the pension age. Reuters
French President Emmanuel Macron has long campaigned for an increase in the pension age. Reuters
French President Emmanuel Macron has long campaigned for an increase in the pension age. Reuters

Macron rides into union battle with plan to raise French pension age


Tim Stickings
  • English
  • Arabic

France's President Emmanuel Macron will ride into a fierce political battle on Tuesday as his government asks the French to work longer into old age.

Raising the pension age from 62 to 64 is a flagship goal of Mr Macron's second term. But he faces bitter resistance from trade unions and MPs on the left and right.

“Emmanuel Macron is leading a real war against the French people,” far-right leader Jordan Bardella said.

Prime Minister Elisabeth Borne on Tuesday outlined plans to raise the legal retirement age to 64 by 2030.

“I’m aware that changing our pension system raises questions and fears,” she told a news conference in Paris.

“Today, we are presenting a plan of balance for our retirement system, a plan of fairness, a plan that brings social progress.”

Ms Borne also accelerated other planned pension system changes that will extend the careers of many workers if they want to retire with a full pension, framing the move as vital to prevent the system from collapsing under the weight of deficits.

“Leaving these deficits to grow would be irresponsible … It would lead inevitably to a massive increase in taxes, a reduction in pensions and would pose a threat to our pensions system,” she said.

The President has long argued that the French need to work more to fund the welfare state, as people live longer.

His first attempt at pension reform was derailed by the Covid-19 pandemic in 2020, and his second was pushed back from last year to buy time for discussions.

Mr Macron has offered concessions such as guaranteeing a minimum pension for new recipients.

Paul Midy, an ally of Mr Macron in parliament, said there would be sweeteners for people with especially long working lives.

First lady Brigitte Macron weighed into the debate on Monday by telling young people the reform was necessary “so that you will have a pension”.

But unions have promised to mobilise if the reforms go ahead, adding to a regular drumbeat of strikes in transport, health and education.

French unions have promised to mobilise against Mr Macron's pension reforms. AP
French unions have promised to mobilise against Mr Macron's pension reforms. AP

Some opponents have said the reform is unnecessary because the pension budget was a projected €3.2 billion ($3.43 billion) in surplus last year, although experts predict a deficit in years to come.

“The raising of the legal pension age is a brutal and profoundly unjust measure,” said Marylise Leon, the deputy secretary general of France's largest trade union, the CFDT.

The far-right National Rally campaigned against increasing the pension age at last year's presidential election, at which its candidate Marine Le Pen was beaten by Mr Macron.

His authority was weakened at subsequent parliamentary elections, where his centrist bloc failed to win an absolute majority.

Mr Macron could get the changes through the National Assembly if the centre-right Republicans, who have long called for reform, side with the government.

Nicolas Sarkozy, the most recent centre-right president, raised the pension age from 60 to 62 more than a decade ago.

Republican leader Eric Ciotti has said he will back the increase if certain conditions are met, such as phasing it in over 10 years with an initial rise to 63 in 2027.

But he said Mr Macron had “chosen to carry out this reform at a time of extreme tension”.

If Mr Macron cannot get a majority, there are powers in the constitution that allow the government to overrule MPs in certain cases — although this would be sure to aggravate opponents.

Any such move would be a “denial of democracy”, said left-wing MP Alexis Corbiere.

Speaking to The National last month, French politics expert Paul Smith said the reform battle was likely to be a “long, difficult process”.

“The various opposition parties, whether it's the left, the traditional right or the far right, will try to make as much political capital as they can out of Macron's discomfort,” he said.

The bio

Date of Birth: April 25, 1993
Place of Birth: Dubai, UAE
Marital Status: Single
School: Al Sufouh in Jumeirah, Dubai
University: Emirates Airline National Cadet Programme and Hamdan University
Job Title: Pilot, First Officer
Number of hours flying in a Boeing 777: 1,200
Number of flights: Approximately 300
Hobbies: Exercising
Nicest destination: Milan, New Zealand, Seattle for shopping
Least nice destination: Kabul, but someone has to do it. It’s not scary but at least you can tick the box that you’ve been
Favourite place to visit: Dubai, there’s no place like home

Director: Laxman Utekar

Cast: Vicky Kaushal, Akshaye Khanna, Diana Penty, Vineet Kumar Singh, Rashmika Mandanna

Rating: 1/5

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Ferrari 12Cilindri specs

Engine: naturally aspirated 6.5-liter V12

Power: 819hp

Torque: 678Nm at 7,250rpm

Price: From Dh1,700,000

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The internal combustion engine is facing a watershed moment – major manufacturer Volvo is to stop producing petroleum-powered vehicles by 2021 and countries in Europe, including the UK, have vowed to ban their sale before 2040. The National takes a look at the story of one of the most successful technologies of the last 100 years and how it has impacted life in the UAE. 

Read part four: an affection for classic cars lives on

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Read part two: how climate change drove the race for an alternative 

Trump v Khan

2016: Feud begins after Khan criticised Trump’s proposed Muslim travel ban to US

2017: Trump criticises Khan’s ‘no reason to be alarmed’ response to London Bridge terror attacks

2019: Trump calls Khan a “stone cold loser” before first state visit

2019: Trump tweets about “Khan’s Londonistan”, calling him “a national disgrace”

2022:  Khan’s office attributes rise in Islamophobic abuse against the major to hostility stoked during Trump’s presidency

July 2025 During a golfing trip to Scotland, Trump calls Khan “a nasty person”

Sept 2025 Trump blames Khan for London’s “stabbings and the dirt and the filth”.

Dec 2025 Trump suggests migrants got Khan elected, calls him a “horrible, vicious, disgusting mayor”

CHELSEA SQUAD

Arrizabalaga, Bettinelli, Rudiger, Christensen, Silva, Chalobah, Sarr, Azpilicueta, James, Kenedy, Alonso, Jorginho, Kante, Kovacic, Saul, Barkley, Ziyech, Pulisic, Mount, Hudson-Odoi, Werner, Havertz, Lukaku. 

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Israel Palestine on Swedish TV 1958-1989

Director: Goran Hugo Olsson

Rating: 5/5

Surianah's top five jazz artists

Billie Holliday: for the burn and also the way she told stories.  

Thelonius Monk: for his earnestness.

Duke Ellington: for his edge and spirituality.

Louis Armstrong: his legacy is undeniable. He is considered as one of the most revolutionary and influential musicians.

Terence Blanchard: very political - a lot of jazz musicians are making protest music right now.

Tips to keep your car cool
  • Place a sun reflector in your windshield when not driving
  • Park in shaded or covered areas
  • Add tint to windows
  • Wrap your car to change the exterior colour
  • Pick light interiors - choose colours such as beige and cream for seats and dashboard furniture
  • Avoid leather interiors as these absorb more heat
MATCH INFO

Uefa Champions League, Group C
Liverpool v Red Star Belgrade
Anfield, Liverpool
Wednesday, 11pm (UAE)

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In numbers: China in Dubai

The number of Chinese people living in Dubai: An estimated 200,000

Number of Chinese people in International City: Almost 50,000

Daily visitors to Dragon Mart in 2018/19: 120,000

Daily visitors to Dragon Mart in 2010: 20,000

Percentage increase in visitors in eight years: 500 per cent

Our legal consultants

Name: Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

UAE SQUAD

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Updated: January 10, 2023, 5:26 PM