The Revolution Will Not Be Realized

By Alexandra I. Prokhorova
Posted April 14, 2006


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Why France needs to revamp its labor laws or face the consequences

In France, revolts and protests are as common as baguettes and croissants. Ever since the French Revolution in 1789, the country has defended its reputation as the Motherland of Revolutions with much fervor. In America, people go to the park on weekends. In France, they trot to the Champs-Elysees or Sorbonne for a few hours of casual revolt—so you’d think the world would be indifferent about yet another French discontent.

Nevertheless, something about the recent strikes and marches by students against the new labor laws seems different. Historically, the French have been driven by change and progress. The French Revolution brought an end to absolute monarchy and liberated the bourgeoisie. In May 1968, student revolts challenged the status quo and brought about much needed change in the outdated, sexist and racist higher education system. But lately, the French have begun to protest against change, attempting to hold on to their current labor situation of early retirement, 35-hour workweeks and job security.

On one hand, I cannot blame the French for defending these comforts; leisure remains high on their priority list. On the other hand, France may be playing with fire. This constant struggle to maintain the status quo reveals several alarming aspects of French society. Recent protests not only reinforce the image France projects of socio-economic stagnation, but they also carry important consequences for the future of the nation and the European Union at large.

French President Jacques Chirac has been attempting to shrink the massive French government for some time now. During his first term as president, he faced strong opposition from French workers’ unions for attempting to cut budget spending and job programs. Now, in his second term, the fiscally conservative (by French standards) president has been fighting off accusations of infringing on the rights of the French people. Simultaneously, though, he faces criticism for high unemployment rates and a stagnant economy.

Current labor laws in France make it virtually impossible for employers to fire their workers. They must go through a tedious process of hearings and dole out generous severance packages. The newly proposed law – the CPE – is aimed at making the employment process more flexible. Its implementation would give employers a two-year period in which they would be able to fire workers under 26 years old without giving a reason. This risk of job loss would encourage French youth to compete for jobs and to perform better in their workplaces. It would also create an incentive for employers to hire new, more efficient workers, while reducing the penalty of being saddled with poor workers, whom they would be able to dispatch quickly under the new law. Despite these benefits, the reaction to this proposal remains less than enthusiastic.

There may be several reasons for this reaction. The French people find this law overly capitalistic, and the majority in France does not like capitalism. In a recent poll, only 36% of French citizens expressed enthusiasm for a free-market system. Perhaps this anti-capitalism phenomenon is an attempt, in a way, to ‘stick it up to the man’ – the American man. The French, threatened by Americanization, do as much as possible to challenge American influence, especially where industry and economics are concerned. However, this complex has created a conflict of interest: the need to economically challenge the US (most likely through capitalism) stands at odds with the desire to remain “un-Americanized.”

It is hard to argue for socialism or highly-restricted capitalism as an efficient economic system. Yet France holds on to it as a comfort blanket, refusing to wake up to the dynamism of globalization, while rejecting the integration of global markets. As a result and despite its status as the fifth-largest in the world, the French economy has been lagging behind the United States, and even many of its European peers, as of late.

France has cornered itself. It insists on remaining one of the leading European powers, but it does not set an example for other members of the European Union. The EU is meant to act as a balance against the US economic hegemony. However, the EU finds itself in serious trouble. Many member states face economic stagnation or minimal growth, with France leading the pack. Perhaps France should look to its southern neighbor, Spain, for advice instead of stubbornly holding on to old-world ideals.

Recently, Spain has been embracing efficiency and economic growth rather than comfort and the traditional leisurely lifestyle there. Siesta, the traditional two-to-three hour lunch break, has recently been eliminated in all government institutions, a measure expected to raise the economy by 8.9%. The Spanish government has also addressed the problem of inflexible employment, allowing temporary work contracts for the youth. This reform has helped reduce unemployment from 17% to 8.7%. Now, Spain, one of the poorest member nations when it joined the EU, is beating out France, whose unemployment rate hovers above 9%.

France needs to pay attention to the growing need for national competitiveness in a global economy, as Spain is. It cannot remain one of the strongest economies in Europe with its current policies. It faces a hard choice, but it should recognize the high opportunity cost of keeping this relative security. If France wants to grow, contribute to the European Union and act as a strong leader in the EU, it has to get on the ball. If it will not do so, some other nation will. Perhaps, the driving force behind these protests is simply the revolutionary ideal that the French hold as dear to their hearts as France’s vast government. However, something remains flawed in this nostalgic sentiment. The students may adopt symbols and slogans of true revolutions (Sorbonne and May 1968 slogans), but they do not possess the same thirst for reform, risk, and change. I suppose only one aspect of the revolutionary ideal remained: the need to challenge the “repressive” government.

And so the common people triumphed once again as President Chirac agreed to withdraw the CPE law. The tyrant is subdued! Sleep safely, France! However, don’t be surprised that when you wake up, your socialist comfort blanket may have very large holes in it.

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