# Factbox-What’s next for France’s pension reform? Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2023-04-14 Category: INVESTING Category URL: https://financedigest.com/category/investing Meta Title: What's next for France's pension reform? Verdict Meta Description: Learn about France's pension reform verdict, potential referendum, and possible outcomes. Stay informed on the latest developments with Reuters. URL: https://financedigest.com/factbox-whats-next-for-frances-pension-reformhtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2023-04-14t082250z2lynxmpej3d02prtroptp4france-pensions-protests-1736814150156-compressed.jpg) (Reuters) – France’s Constitutional Council is due to deliver its verdict on Friday on a deeply unpopular bill which will delay retirement by two years to 64, and on plans for a referendum to challenge it. Here is why this matters and what could happen: ## VERDICT ON THE PENSION BILL \\* The Council can strike down the bill altogether if it considers it breaches the [Constitution.](https://www.financedigest.com/queen-elizabeth-meets-sturgeon-after-new-push-for-independence-vote.html) Opposition parties have asked it to do so, for choosing to tack the pension reform onto a [social security](https://www.financedigest.com/31972social-engineering-in-the-financial-services-people-are-the-weakest-link-in-the-security-chain.html "Social engineering in the Financial Services : People Are The  Weakest Link in the Security Chain") budget bill, setting a tight deadline on debates and then bypassing a final vote in parliament. This would be a stinging defeat for President Emmanuel Macron and a surprise win for unions and protesters. Macron would have the option of starting from scratch with a new bill or moving on. However, constitutional experts – and government sources – [say the Council is unlikely to block the overall reform](https://www.financedigest.com/post-brexit-insurance-reform-clear-before-december-says-boes-woods.html "Post-Brexit insurance reform clear before December, says BoE’s Woods"), which it has rarely done in the past. \\* If the Council sees nothing wrong, the government could enact the legislation in the [coming days](https://www.financedigest.com/have-multi-asset-funds-had-their-day-or-is-their-best-yet-to-come-new-whitepaper-from-camradata-explores.html "Have multi-asset funds had their day or is their best yet to come? New whitepaper from CAMRADATA explores"), which officials hope would progressively put an end to protests. \\* Alternatively, and more likely [constitutional](https://www.financedigest.com/queen-elizabeth-meets-sturgeon-after-new-push-for-independence-vote.html) experts and government sources say, is that the Council approves the raising of the legal retirement age, but strikes down some measures designed to boost [employment for older workers](https://www.financedigest.com/more-than-half-of-workers-are-open-to-leaving-their-current-employers.html "MORE THAN HALF OF WORKERS ARE OPEN TO LEAVING THEIR CURRENT EMPLOYERS") on the grounds that they do not belong in a social security budget bill. ## REFERENDUM Even if the [Constitutional](https://www.financedigest.com/queen-elizabeth-meets-sturgeon-after-new-push-for-independence-vote.html) Council gives its green light – with or without caveats – this may not be the [end of the road](https://www.financedigest.com/exclusive-nissan-seeks-tech-tie-up-without-renault-as-alliance-nears-end-of-road.html "Exclusive-Nissan seeks tech tie-up without Renault as alliance nears end of road"). Opposition Parliament members want to [organise a so-called citizens’ referendum on capping the retirement age](https://www.financedigest.com/how-fs-organisations-can-enter-the-new-age-in-digital-banking.html "How FS Organisations Can Enter The New Age in Digital Banking") at 62. To do so, they would [need to jump through hoops that have so far prevented](https://www.financedigest.com/action-is-needed-to-prevent-payments-disruption-from-incoming-eu-funds-transfer-regulation-says-new-deutsche-bank-whitepaper.html "Action is needed to prevent payments disruption from incoming EU Funds Transfer Regulation, says new Deutsche Bank whitepaper") one from being organised in France since the concept was introduced in 2015. The first step – having enough backing from members of Parliament – is already met. The [second is getting the Council’s green light](https://www.financedigest.com/unicredit-gets-ecbs-green-light-for-second-1-billion-euro-share-buyback.html "UniCredit gets ECB’s green light for second 1 billion euro share buyback"). But then, the [next condition is getting a tenth of registered voters to sign](https://www.financedigest.com/france-next-on-the-map-for-adtech-vendor-adnami-following-the-signing-of-new-partnerships-with-ad4good-and-tf1.html "France next on the map for adtech vendor Adnami following the signing of new partnerships with Ad4Good and TF1") a petition calling for the plebiscite. That is a tall order, and must be achieved within nine months. Some unions have asked the government not to publish the law before that deadline has lapsed. If the threshold is met, the Senate and Assembly have six months to examine the proposal to cap the retirement age to 62. If Parliament does not respond, the president must submit it to referendum. (Reporting by Elizabeth Pineau in Paris and Ingrid Melander; Writing by Ingrid Melander; Editing by Aurora Ellis) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---