Hollande hits cautious note on labour costs

France’s socialist government moved to damp expectations of 'shock' action demanded by business to reduce high employment costs as it grappled in the autumn of 2012 with how to tackle the country’s waning international competitiveness.

Jean-Marc Ayrault, Prime Minister, convened on the 22 October 2012 the first of two ministerial meetings of the week on labour reforms ahead of a much-anticipated report on competitiveness by Louis Gallois, former head of aerospace group EADS, due to be published on 5 November 2012. Mr Gallois had called in July for a 'competitiveness shock' based on a big cut in France’s high labour costs.

ESO: Background information: Hollande faces questions on tax pledge http://www.europeansources.info/record/hollande-faces-questions-on-tax-pledge/

ESO: Background information: French ‘pigeons’ in flutter over tax rise http://www.europeansources.info/record/french-pigeons-in-flutter-over-tax-rise/

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