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| Sarkozy discusses pension reform | |
| (about 3 hours later) | |
| French President Nicolas Sarkozy has met key union leaders to discuss controversial plans to reform the country's pensions system. | |
| The government wants to cut the pension burden on the state, with one option being raising the retirement age. | The government wants to cut the pension burden on the state, with one option being raising the retirement age. |
| However, unions have already voiced their opposition to any such move and threatened a major dispute. | However, unions have already voiced their opposition to any such move and threatened a major dispute. |
| The retirement age in France is currently 60, much lower than in many other European countries. | The retirement age in France is currently 60, much lower than in many other European countries. |
| In Germany and Denmark, the retirement age is 67, while Britain is planning to increase it to 68. | In Germany and Denmark, the retirement age is 67, while Britain is planning to increase it to 68. |
| The French government has said its pension deficit will be 10.7bn euros ($14.6bn; £9.3bn) this year, and rise to 50bn euros by 2020. | The French government has said its pension deficit will be 10.7bn euros ($14.6bn; £9.3bn) this year, and rise to 50bn euros by 2020. |
| "If we want to save our pension system, we can no longer put off the decisions [on reform]," said Mr Sarkozy after the meeting. | |
| However, he said he "was not going to push through [changes] by force". | |
| Baby boom | Baby boom |
| Mr Sarkozy had hoped to postpone pension reform until after the next presidential election in 2012, but the global downturn has forced the issue back up the political agenda. | Mr Sarkozy had hoped to postpone pension reform until after the next presidential election in 2012, but the global downturn has forced the issue back up the political agenda. |
| France's growing national debt level means the government needs to cut spending levels. | France's growing national debt level means the government needs to cut spending levels. |
| The problem is compounded by the large number of people set to retire in the coming years. | The problem is compounded by the large number of people set to retire in the coming years. |
| "It's urgent now because of the demographics," Professor Laurent Marouani at HEC Business School told the BBC. | "It's urgent now because of the demographics," Professor Laurent Marouani at HEC Business School told the BBC. |
| "Now, many people born between 1945 and 1952 are going to retire, so it's becoming urgent because how are we going to pay for these people in two to three years?" | "Now, many people born between 1945 and 1952 are going to retire, so it's becoming urgent because how are we going to pay for these people in two to three years?" |