Hard to believe this article appeared in Newsweek but it did.
It’s a stretch, but what is happening today in France is being compared to the revocation of 1685. In that year, Louis XIV, the Sun King who built the Palace of Versailles, revoked the Edict of Nantes, which had protected French Protestants – the Huguenots. Trying to unite his kingdom by a common religion, the king closed churches and persecuted the Huguenots. As a result, nearly 700,000 of them fled France, seeking asylum in England, Sweden, Switzerland, South Africa and other countries.
The Huguenots, nearly a million strong before 1685, were thought of as the worker bees of France. They left without money, but took with them their many and various skills. They left France with a noticeable brain drain.
Since the arrival of Socialist President François Hollande in 2012, income tax and social security contributions in France have skyrocketed. The top tax rate is 75 percent, and a great many pay in excess of 70 percent.
As a result, there has been a frantic bolt for the border by the very people who create economic growth – business leaders, innovators, creative thinkers, and top executives. They are all leaving France to develop their talents elsewhere.
And it’s a tragedy for such a historically rich country. As they say, the problem with the French is they have no word for entrepreneur. Where is the Richard Branson of France? Where is the Bill Gates?
“Do you see that man in the corner? I’m going to kill him. He’s ruined my life!”
This angry outburst came from a lawyer friend who is leaving France to move to Britain to escape the 70 percent tax he pays. He says he is working like a dog for nothing – to hand out money to the profligate state. The man he was pointing to, in a swanky Japanese restaurant in the Sixth Arrondissement, is Pierre Moscovici, the much-loathed minister of finance. Moscovici was looking very happy with himself. Does he realize Rome is burning?
Granted, there is much to be grateful for in France. An economy that boasts successful infrastructure such as its high-speed rail service, the TGV, and Airbus, as well as international businesses like the luxury goods conglomerate LMVH, all of which define French excellence. It has the best agricultural industry in Europe. Its tourism industry is one of the best in the world.
But the past two years have seen a steady, noticeable decline in France. There is a grayness that the heavy hand of socialism casts. It is increasingly difficult to start a small business when you cannot fire useless employees and hire fresh new talent. Like the Huguenots, young graduates see no future and plan their escape to London.
The official unemployment figure is more than 3 million; unofficially it’s more like 5 million. The cost of everyday living is astronomical. Paris now beats London as one of the world’s most expensive cities. A half liter of milk in Paris, for instance, costs nearly $4 – the price of a gallon in an American store.
Part of this is the fault of the suffocating nanny state. Ten years ago this week, I left my home in London for a new life in Paris. Having married a Frenchman and expecting our child, I was happily trading in my flat in Notting Hill for one on the Luxembourg Gardens.
At that time, prices were such that I could trade a gritty but charming single-girl London flat for a broken-down family apartment in the center of Paris. Then prices began to steadily climb. With the end of the reign of Gaullist (conservative) Nicolas Sarkozy (the French hated his flashy bling-bling approach) the French ushered in the rotund, staid Hollande.
Almost immediately, taxes began to rise.
I did not mind, initially, paying higher taxes than in Britain in exchange for excellent health care, and for masterful state-subsidized schools like the one my son attends (L’Ecole Alsacienne – founded by some of the few remaining Huguenots at the end of the 19th century).
As a new mother, I was surprised at the many state benefits to be had if you filled out all the forms: Diapers were free; nannies were tax-deductible; free nurseries existed in every neighborhood. State social workers arrived at my door to help me “organize my nursery.” My son’s school lunch consists of three courses, plus a cheese plate.
But some of it is pure waste. The French state also paid for all new mothers, including me, to see a physical therapist twice a week to get our stomachs toned again. Essentially it was seen as a baby-making opportunity (your husband is not going to touch you if you still have your baby fat – how very French!) after World War I, when so many young men were killed in the trenches.
When I began to look around, I saw people taking wild advantage of the system. I had friends who belonged to trade unions, which allowed them to take entire summers off and collect 55 percent unemployment pay. From the time he was an able-bodied 30-year-old, a cameraman friend worked five months a year and spent the remaining seven months collecting state subsidies from the comfort of his house in the south of France.
Another banker friend spent her three-month paid maternity leave sailing around Guadeloupe – as it is part of France, she continued to receive all the benefits.
Yet another banker friend got fired, then took off nearly three years to find a new job, because the state was paying her so long as she had no job. “Why not? I deserve it,” she said when I questioned her. “I paid my benefits into the system.” Hers is an attitude widely shared.
When you retire, you are well cared for. There are 36 special retirement regimes – which means, for example, a female hospital worker or a train driver can retire earlier than those in the private sector because of their “harsh working conditions,” even though they can never be fired.
But all this handing out of money left the state bankrupt.
At the World Economic Forum each year at Davos, France is always noticeably underrepresented. Last year, one junior minister, Fleur Pellerin, came because, apparently, she is the only fluent English speaker in the government. “The French don’t like to speak English,” one of her aides admitted wearily. “So they don’t like to come to Davos.”
The most brilliant minds of France are escaping to London, Brussels, and New York rather than stultify at home. Walk down a street in South Kensington – the new Sixth Arrondissement of London – and try not to hear French spoken. The French lycee there has a long waiting list for French children whose families have emigrated.
I grimly listen to my French friends on this topic.
From a senior United Nations official who is now based in Africa: “The best thinkers in France have left the country. What is now left is mediocrity.”
From a chief legal counsel at a major French company: “France is dying a slow death. Socialism is killing it. It’s like a rich old family being unable to give up the servants. Think Downton Abbey.”....
François Hollande made his first trip to China only when he became head of state in 2012 – and he’s 58 years old. The government is so inward looking and the state fonctionnaires who run it are so divorced from reality that it has become a country in denial. Rest of article
Of course if we had any sense, and we don't, we would quickly change our immigration laws to poach the best and brightest from France. Governor Jindal could promote a little campaign to come to Louisiana. We have no problems allowing millions of uneducated poor immigrants to illegally walk across the border but heaven forbid we should make it much easier for the doctors, engineers, and businessmen of France to move to America. What is funny is the reaction of the French President. He wants to rule by decree. Who needs a Congress or Parliament? Chavez anyone? Les Echos reported:
The first cabinet meeting of the year was held on Friday. François Hollande recalled the objective of reducing public deficits, without new taxes.
To get things done despite a 2014 parliamentary calendar constrained by elections (local and European), Hollande called on ministers to pass laws only when strictly necessary, and to advance policy in other ways: by decrees or orders, said Najat Belkacem-Vallaud, minister of women's rights and governments spokesperson, leaving the first Council of Ministers.
The decree is an instrument made by the President or the Prime Minister, which specifies the conditions for the application of a law.
The order is mentioned in the Article 38 of the Constitution: "the Government may, for the implementation of its program, ask Parliament for permission to make orders for a limited time, measures that are normally the domain of the law." An order comes into force upon its publication, but gets legislative value when it is ratified by Parliament.
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4 comments:
Obama and his liberal buddies view France as the apex of success. This is where we are headed my brothers. Hope you like cake, because there will be no bread to eat.
I doubt anyone would object to modifying immigration law in order to allow the efficient recruitment and transfer of professional and well educated foreign nationals to our suffering economy. However, our enlightened elected officials are far more intent on ensuring that the illiterate, un-skilled entitlement seekers go to the front of the line in order to buy future votes.
Democracy and socialism have nothing in common but one word, equality. But notice the difference: while democracy seeks equality in liberty, socialism seeks equality in restraint and servitude.
Alexis de Tocqueville
EU Minister Nigel Farage(UKIP) nails Hollande to the cross!
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