San Francisco Chronicle - (Sunday)

President’s run for re-election hits turbulence

- By Sylvie Corbet and Angela Charlton Sylvie Corbet and Angela Charlton are Associated Press writers.

PARIS — French President Emmanuel Macron held his first big rally Saturday in his race for re-election, promising the French more “progress” and “solidarity” over the next five years, but his campaign has hit a speed bump.

It’s been dubbed “the McKinsey Affair,” named after the American consulting firm hired to advise the French government on its COVID-19 vaccinatio­n campaign and other policies. A new French Senate report questions the government’s use of private consultant­s and accuses McKinsey of tax dodging. The issue is energizing Macron’s rivals and dogging him at campaign stops ahead of France’s April 10 firstround presidenti­al vote.

Macron, a centrist who has been in the forefront of diplomatic efforts to end the war in Ukraine, has a comfortabl­e lead in polls so far over far-right leader Marine Le Pen and other challenger­s.

“We are here to make possible a project of progress, of independen­ce, for the future, for our France,” Macron told a crowd of about 30,000 at a stadium that usually hosts rugby matches. “I see difficulti­es to make ends meet, situations of insecurity ... and so much more to accomplish to turn back extremism.”

Speaking to those who see “all their salary go into gasoline, bills, rent” as the war in Ukraine is driving up food and energy prices, Macron promised to let companies give a tax-free bonus to employees of up to 6,000 euros ($6,627) as soon as this summer.

He also promised to raise the minimum pension to 1,100 euros ($1,214) a month for those who have worked full time — up from about 700 euros now. The retirement age will need to be progressiv­ely raised from 62 to 65 to finance the plan, he said.

But for those trying to unseat Macron, the word “McKinsey” is becoming a rallying cry. Critics describe the French government’s

1 billion euros spent on consulting firms last year as privatizat­ion and Americaniz­ation of French politics and are demanding more transparen­cy.

The French Senate published a report last month investigat­ing the government’s use of private consulting firms. The report found that state spending on such contracts has doubled in the past three years despite mixed results, and warned they could pose conflicts of interest.

The report says McKinsey hasn’t paid corporate profit taxes in France since at least 2011. McKinsey issued a statement saying it “respects French tax rules that apply to it” and defending its work in France.

 ?? Francois Mori / Associated Press ?? President Emmanuel Macron greets his supporters at a campaign rally in Paris. France’s first round of the presidenti­al election will take place April 10, with a possible runoff on April 24.
Francois Mori / Associated Press President Emmanuel Macron greets his supporters at a campaign rally in Paris. France’s first round of the presidenti­al election will take place April 10, with a possible runoff on April 24.

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