Should French Retirement Age Be Raised?

Although Spain and Germany have much later retirement ages, France is digging in her heels regarding increasing the official retirement age from 60 to 62. French unions went on strike for a full day right before parliament met to debate on raising the retirement age. French President Nicolas Sarkozy was historically low in public polls and needed something to save face for a little longer. 2.5 million people across France, a quarter million in Paris, protested, clogging up train travel and flights.

So the question arises: Should the current pensionable age be maintained, or should the French government try to do something about the $14 billion debt of the French pension system? The truth is, modern medicine and healthier reproduction have increased the human lifespan significantly within the past ten years alone, not to mention the past fifty years. Retirement age is past 60 for many comparable countries, nobody seems to be complaining, and this deficit in the pension system is quite alarming. Lifespans for future pensioners will most likely increase by 2050 and the current deficit can easily be ten times as much. Essentially, the question is: Should we prioritize current pension plans or future ones?

Well, the most likely candidate for effective prioritization is future pension plans. Considering the growth in population, the ever-increasing lifespan of first-world citizens, and the current debt of the French pension system, it certainly seems that the economy should be given first priority and the pensionable age second.

However, who am I to argue with the French and the way they want to run their country? Obviously, the French citizens care enough about the current problem to stage a widespread strike which would bring Mr. Sarkozy to his knees. Will they regret this decision in twenty years, when the deficit has increased, retirement age may have been increased anyway, and their futures are not readily sustained? Perhaps not. Perhaps being in debt and lowering country status and credit value among international peers is the trend and must be followed. At this point, one has to ask: Who will suffer more in the future? French citizens or international prospects? Interesting question.

Any thoughts on this would be welcome.

Sources:

http://www.nytimes.com/2010/09/08/world/europe/08france.html?hp