For anyone not to date on the French Election, briefly sent the euro to a six-month high against the dollar, as markets reacted to the victory by the pro-EU candidate.
Mr. Macron promises is to overhaul the labor market, simplify the tax and pension system. It is an important time for the French Economy as they try to recover from rising unemployment and diminishing competitiveness.
Macron new plan is stated to correct the causes of France economic troubles and many independent economist agree it can accomplish this goal.
Without going into much detail:
- 35-hour workweeks will remain with firms negotiating deals with their employees on working hours and pay.
- Slowly unify pension plans and have payouts tied to contributions people pay in during their working lives.
- Cut corporate tax rates.
Even with necessary backing, it is important to note that this new strategy will not have immediate results. This slow buildup could be linked to Macron wishing to reduce the risk of street protest but has many feeling the result will come to late to help the economy.
Emmanuel Macron also plans for France to remain in the eurozone. He has plans in place requiring German support and backing to help reform the eurozone. This plan is pending German elections, so at the moment he is focusing on domestic policies.