Blow for de Villepin as Chirac alters law
While some unions celebrated what they called "a great victory", students who had planned more demonstrations appeared cautious, saying their movement would continue for now.
Prime Minister Dominique de Villepin, who devised the law, had faced down protesters for weeks, insisting that its most divisive provision a so-called "first job contract" was necessary to reduce high unemployment rates among French youths by making it easier for companies to hire and fire young workers.
But, acting on advice from de Villepin, his longtime protege, Chirac "decided to replace" the provision with one aimed at "youths in difficulty," the president's office said.
Top lawmakers from Chirac's ruling conservative party presented a new plan to parliament yesterday. The proposal emerged after talks the legislators held last week with unions and student groups to find ways of ending the crisis.
A sombre de Villepin, in a television appearance, explained his original legislation was designed to curb "despair of many youths" and strike a "better balance... between more flexibility for the employer and more security for workers".
"This was not understood by everyone, I'm sorry to say," de Villepin said.
The crisis has discredited Chirac and devastated de Villepin and his presidential ambitions and thrown into question the government's ability to push through painful reforms to help France compete in the global economy. The new measures increase the government's role in the workplace instead of decreasing them, as de Villepin had sought.
Students and other opponents had feared the previous measure would erode coveted job security and some unions trumpeted the retreat by Chirac and his prime minister.
The labour law "is dead and buried," said Jean-Claude Mailly of the Workers Force union.
"The goal has been achieved."
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