French assembly okays ‘yellow vest’ tax cuts

Paris: The French National Assembly approved a package of emergency concessions first announced by President Emmanuel Macron in a bid to end the violent “yellow vest” protests.

The tax cuts for low-income workers were put forward by Macron in a televised address earlier this month to help cool weeks of protests that brought major disruption to the country.

The measures provide a “quick, strong and concrete response” to the crisis, said the labour minister Muriel Penicaud in a debate which lasted into the early hours of yesterday morning.

The measures include the removal of a planned tax increase for a majority of pensioners and tax-free overtime pay for all workers.

Economists estimate the cuts will cost up to 15 billion euros (RM71.68bil).

The concessions will now move to the Senate for approval.

Tens of thousands of people joined rallies across France on consecutive Saturdays in a movement which sprung up over fuel tax hikes but snowballed into broader opposition to Macron.

Police this week said they would start removing barricades at roundabouts and on motorways after the demonstrations began to run out of steam.

The protests, which at times spiralled into violence, took a toll on the economy, with businesses counting the cost of supply disruptions, smashed property and a dearth of shoppers and tourists who stayed away from city centres.

On Thursday, the president told critics of the fuel tax hikes “you’re right” after 1.15 million people signed a petition suggesting several other ways to fight fossil fuel pollution.

Macron called the petition a “citizens’ act”. — AFP