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Macron meets with unions to present his labour law reforms

French President Emmanuel Macron on Tuesday met with trades union leaders to discuss the sweeping labour law reforms he plans to introduce this summer, which were a key element of his election manifesto and which include making hiring and firing easier, moving wage bargaining to company level and capping financial awards to employees by labour tribunals.

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French president Emmanuel Macronhas presented to unions his plans for landmark labour reforms, a flash point issue that sparked violent protests last year, amid signs the economy is finally gaining traction, reports The Telegraph.

During his electoral campaign, Mr Macron, 39, made loosening labour market regulations a top priority, saying he would seek parliament's approval over the summer for powers to push through legislation by means of executive decree.

The Europhile centrist wants to make hiring and firing easier and to move France's collective bargaining on wages and working time from the industry to the company level, as well as placing a cap on severance packages awarded by industrial tribunals.

Unions and the Left have expressed concerns the changes could weaken workers' protections.

The previous socialist president François Hollande's timid attempts at labour reform led to blockages and mass street protests last year, many of which turned violent, resulting in several measures being watered down.

Despite this, they caused deep rifts within the Socialist Party, prompting the government to bypass parliament to ram through the law. In this case, Mr Macron wants to use a less extreme form of decree that will require parliamentary approval at the start and end of the process.

Analysts say the success of his five-year presidential term could stem from his ability to keep on track with labour reforms, which could largely hinge on whether he wins a parliamentary majority next month.

"At the slightest spark or faux-pas, [Macron] could find himself with millions of French in the streets," warned Serge Raffy of L'Obs magazine, who said the president was "walking on eggshells" ahead of next month's legislative elections.

"The danger? A social crisis slap bang in the middle of the electoral campaign that could prove devastating for his Le République en Marche movement."

Bosses unions are keen to press on with the reforms as soon as possible.

"The labour market reform must be tackled quickly. It's essential to be quick on this major French problem," Pierre Gattaz, the head of the Medef group of employers, said, adding that speed was essential to give confidence to investors.

Optimism among French companies has shown signs of growing since Mr Macron's election on May 7th.

Read more of this report from The Telegraph.