Pension Reform Standoff: A Major Negotiation Hurdle in France

Caretaker French Prime Minister Sebastien Lecornu has underscored the considerable challenge posed by President Emmanuel Macron's pension reform proposal, labeling it as a critical hurdle in forming a new government. This hotly contested reform is proving to be a significant sticking point in political negotiations.

During an appearance on France 2 television, Lecornu emphasized the necessity for constructive debate on the issue. The proposed changes include an increase in the legal retirement age from 62 to 64, a move that has sparked widespread debate and uncertainty.

Highlighting the financial implications, Lecornu noted that suspending the reform would cost the nation's Treasury an estimated 3 billion euros by 2027. This fiscal concern adds to the urgency of finding a path forward amidst the political contention.

(With inputs from agencies.)