Macron suffers major ratings decline: only 40% of French support him / AP

French Prime Minister Edouard Philippe presented the final version of the country's labour reforms on Thursday. Now, companies with fewer than 50 employees – about 95% of companies and half the country's workforce – will be able to negotiate terms with workers without unions, while larger companies will be able to negotiate more detailed agreements with unions. The reform and a reduction in unemployment (currently 9.5%, twice the average for major EU economies) are the central promises of President Emmanuel Macron. Two of France's three largest unions have reluctantly agreed to the reforms, and a third is calling on the French to take to the streets in large numbers on September 12. Macron has seen his approval ratings plummet: only 40% of the French support him.

Trade unions are deeply embedded in the French economy, especially in critical sectors such as railways and oil refining, explains Arnaud Dubien, director of the Franco-Russian think tank Observo. "There are few of them, and to compensate for their weakness, they make a lot of noise and strikes. We don't have a culture of compromise, unlike in Germany."

Emmanuel Macron prepares to present labor reform

Economy / World Economy

Macron's predecessor François Hollande had already tried to carry out this reform, but failed. Macron's chances are high, but there are many stones in the way, Dubien continues. "He is not an accidental president, but he won under extremely favorable circumstances. In the first round, he took 24%, and in the second, any candidate would have beaten Marine Le Pen, so even winning the presidential election does not mean that he has the support of the majority." The bet on the political center from a trump card turned into a trap for Macron, the expert continues. The left will criticize him for the reform itself, affecting the rights of employees, and the right - for its half-heartedness - during the development of the reform, trade unions received many concessions, and it turned out to be far from radical. "Macron won because he pulled liberals from both the right and the left into his camp and blurred the traditional divide between them. Now, on the contrary, the border around him will be tightened from all sides," Dubien concludes.

French President Launches Unpopular Reforms