Macron’s Reforms

 
 
 

Vocabulary

hire	breathe	short-term
risk	goal (2)	bankruptcy
end up	fluctuate	volume (3)
benefit	order (3)	severance pay
cap (2)	pay out	trade union
sum	mark (2)	regulation
reform	negotiate	make or break
faith	capital (3)	climate (2)
hope	constant	on the side of
unjust	demolish	safety net (2)
dispute	just (2)	critical (2)
curtail	right (4)	a step back (2)
critics	severance	open the door (2)
so far	stem (3)	legislation
adapt	pension	operating costs
deficit	massive	go far enough
faze	to employ	competitive

 
 
 
 

Video: Macron’s Economic Reforms

 
 
 
 

Transcript

For a few months, Loic Gauthier felt like he could breathe again: he can finally hire people when he needs to meet short-term production goals without risking bankruptcy.

Order volumes at his small electro-mechanical company fluctuate constantly.

Loic Gauthier, Eoz Managing Director: “Severance pay settlements are now capped. Before you didn’t know what sums you might have to pay out. In a dispute, it could very easily end up about the one-hundred-thousand euro (€100,000) mark.

That would have been make or break for my business.

Now we are able to take the risk — and we’ve just employed someone.”

Macron’s severance pay reform and others such as the lowering of taxes on capital have given employers faith in the government.

Loic Gauthier, Eoz Managing Director: “Macron has given us hope, and not just reforms: the business climate is simply better. With Macron, for the first time, our country has someone in power who is on the side of business.”

Trade unionists are critical of Macron’s reforms. They say he is rapidly demolishing the country’s safety net.

Fabrice Agei, CGT Trade Union: “These policies are socially unjust that benefit only the richest in the country. For example he is raising taxes on retirees, but lowered capital tax.

That’s a step back to the nineteenth century.

He’s curtailing workers’ rights, and opening the door for employers to negotiate directly with the workers.”

But the unions won’t let that happen without a fight.

But the business community says the reforms have not gone far enough.

Loic Gauthier, Eoz Managing Director: “You can’t ask a small business to step itself like a big company, following thousands of regulations, which stem from who knows where.

There has to be legislation adapted to small business, to lower our operating costs, if we’re going to be internationally competitive — and France has a massive trade deficit.”

So far, France’s young president has not been fazed by his critics.

But the most critical reforms — the public services and pensions — haven’t even begun yet.

 

 

Questions

1. Small business owners feel more positive and optimistic. True or false? What two examples does the managing director of the small electro-mechanical company give?

2. Has this been good, bad, neither or both for companies and workers?

3. “Macron has given us hope, and not just reforms: the business climate is simply better.” What does this mean? Is Macron pro-business, pro-labor, both, neither or in-between?

4. Everyone agrees with and supports Macron’s reforms. Is this right or wrong? What does the trade unionist think? Are they going to sheepishly accept Macron’s proposals?

5. “But the business community says the reforms have not gone far enough.” Why is this the case? What does this mean?

6. “He’s opening the door for employers to negotiate directly with the workers.” Is this advantageous, disadvantageous, both, neither or in-between?

7. “But the most critical reforms — the public services and pensions — haven’t even begun yet.” Why is this the case? What does this imply?

 

A. What do you and your colleagues think of Emmanuel Macron and his policies?

B. Can you think of other leaders similar to Macron?

C. Is there a big divide in society regarding economic and social policies?

D. What will happen to Macron and France?

E. In your opinion what sort of reforms should there be?