Negotiations on pension reform in France have reached an impasse, increasing the chances of the government’s resignation if opposition parties unite and pass a vote of no confidence on Wednesday.
The public is demanding that the increase in the retirement age be cancelled, but the budget deficit is preventing this from happening. French Prime Minister François Bayrou promised to change the pension reform and even began negotiations with trade unions and political parties.
However, the parameters of the agreement were never defined, and negotiations were suspended for four months. The authorities categorically refused to lower the retirement age to 62, but in return proposed to fix the increased retirement age at 64 over several years and lower the threshold for people engaged in heavy physical labour.
Bayrou now has to decide whether to include these proposals in the bill and send it to parliament for a vote or do nothing. In either case, there is a risk of a vote of no confidence in the cabinet.
On Monday, left parties called on all parliamentary forces opposed to Macron’s pension reform to immediately dismiss the government. To reduce the budget deficit, the authorities must cut spending and raise taxes.
According to officials, France will need to save another €40 billion in the 2026 budget to curb the deficit in the coming years. A decision on the budget must be made by mid-July. This, in turn, could hasten the resignation of the cabinet.
If the resignation happens, it will be the second one in six months. The last time the retirement age was raised in the country was two years ago, in 2023, but disputes and public unrest over this issue continue to this day, including in the country’s parliament.
In 2025, the French state pension fund deficit reached €6.6 billion (610 billion roubles). By 2035, the deficit could more than double, according to the French Court of Auditors.
In 2035, the French pension system’s deficit will reach €15 billion, and in 2045, €30 billion. If the retirement age had not been raised, the deficit would have grown much more rapidly, according to the agency’s analysts.
Jean-Luc Mélenchon, leader of France Unbowed (LFI), also joined the discussion on pension reform on X:
“Mexico LOWERS the retirement age for teachers.Left-wing President Claudia Sheinbaum signed a law lowering the retirement age from 58 to 53 for women and from 60 to 55 for men by 2034. Meanwhile, in France, Medef and Macron supporters want to postpone the retirement age to 64.”
Regarding the minister’s support, he also wrote:
“Alarm bells are ringing. RN has disappeared. His silence speaks volumes. Between his unconditional support for Trump or Netanyahu, he doesn’t know what to choose. And it’s no longer between supporting Bayrou or censorship. RN is useless except to help Macron stay in power.”
