Protestors against the French government’s pension overhaul took over the Paris headquarters of the luxury giant LVMH Thursday, a day after shares in the conglomerate—which owns brands like Louis Vuitton and Christian Dior—reached an all-time high.
Protestors invade the LVMH headquarters in Paris Thursday.
Copyright 2023 The Associated Press. All rights reserved.
Key Facts
Protestors—opposing French President Emmanuel Macron’s plan to increase the retirement age by two years to 64—are seen opening flares and waving flags as they entered LVMH’s headquarters, located near the Arc de Triomphe in Paris.
LVMH announced a 17% increase in first-quarter sales over the previous year Wednesday, causing its share price to reach an all-time high of $965.
Fabien Villedieu, a French union leader and protestor, told CNN that if Macron needed funding to finance the overhauled pension system, “he should come here to find it.”
Paris police chief Laurent Nunez said protestors would “hit out, often against what they see as capitalist signs.”
Protestors invade the LVMH headquarters.
The protests come amid an increase in first-quarter sales for LVMH.
One protestor said “if Macron wants to find money to finance the pension system,” he should come to LVMH.
A man at left looks on as striking railway workers invade French luxury group LVMH’s headquarters.
Forbes Valuation
Bernard Arnault, CEO and chairman of the luxury conglomerate, is the richest person in the world with a net worth of $233 billion, according to our most recent estimates. His net worth increased by nearly $12 billion since LVMH announced its first-quarter sales.
Tangent
CFO Jean-Jacques Guiony said the increase in sales was complemented by China’s decision to ease its Covid-19 restrictions, according to the Wall Street Journal. First-quarter sales increased by 14% over the previous year in Asia, which LVMH said represented a “significant rebound.” Guiony said the conglomerate had experienced “some pretty nice pick up in China, which bodes well for the rest of the year.”
Key Background
Protests emerged in France earlier this year after Macron and Prime Minister Elisabeth Borne announced the country would overhaul its pension system, which would increase France’s retirement age to 64 by 2030. The overhaul would require French workers to complete 43 years of work, beginning in 2027, to receive a full pension. The French government argued for the pension overhaul, suggesting it was necessary because French workers—who all receive a government pension—are living longer.
What To Watch For
France’s Constitutional Council will meet Friday to discuss whether the pension reform plan violates the French Constitution.