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Friday 24 September 2010

Spaniards are bracing for transport disruption in a general strike called for Wednesday


14:19 |

Spaniards are bracing for transport disruption in a general strike called for Wednesday, but the work stoppage will not be big enough for the Socialist government to reconsider austerity plans.

Spanish labour groups have called the first general strike in eight years to protest against spending cuts the government says are needed to allay concerns the country could slide into a debt crisis that would threaten the unified euro currency.

Just 9 percent of Spain's workers, according to a poll in El Pais newswpaper, definitely plan to walk off the job on Sept. 29, not enough to create a political crisis for Socialist Prime Minster Jose Luis Rodriguez Zapatero.

The strike is unlikely to derail Zapatero's 2011 budget, which he presents on Friday after striking deals with lawmakers over deep cuts in public spending.

"(The strike) certainly won't topple the government, which will be able to say life goes on. At the same time, the unions will save face because quite a lot of people will take part," said Charles Powell, professor at Madrid's CEU-San Pablo University.

With one in five people out of work in Spain, a majority view the strike as justified and turnout could get a boost from workers put off from facing public transport chaos.

The strike comes on the heels of protests against austerity measures and pension reform in France and Greece, as governments around Europe impose post-recession budget trimming.

Labour groups in Brussels, Athens and other cities around Europe plan protests on Sept. 29 in solidarity with Spain.

UNIONS PREPARE FOR MONTHS

Turnout was poor at a June strike of Spain's government workers, whose salaries will be cut by 5 percent, as workers saw cuts as inevitable after fellow EU-leaders pressured Zapatero to reduce the deficit.

The Sept. 29 action is seen as a test for union credibility.

Leaders of the two largest unions, the CCOO and UGT, which together represent 2.4 million of Spain's 23 million workers, have spent months travelling around the country holding rallies.

To promote the strike, UGT ran a YouTube video series featuring a caricatured abusive boss who patronises his workers, makes sexist remarks and plays games in his office.

"The forecast is for the general strike in Spain to be more successful than France's, where 2.5 to 3 million workers went on strike," Toni Ferrer, the UGT's secretary for union action, told Reuters.

Unions hope to tap into the discontent over Zapatero's reform to the labour market to make hiring and firing cheaper and plans to delay retirement to 67 from 65 years of age.

Heavily unionised transport -- planes, trains and buses -- will be badly disrupted, although unions agreed to maintain 20-40 percent of international flights. Some teachers and doctors' unions have said they are not joining the strike.

NO U-TURNS

Back in May, the threat of a general strike heightened market jitters on Spain as investors fretted that weaker euro zone countries could face the same fate as Greece.

Now the strike is seen as more symbolic than a sign of sustained anger that could force policy change.

"It's only if unions seem to not be in control of the crowd, if the strikes and demonstrations were to go on for days, that investors would really take fright," said Gilles Moec, economist at Deutsche Bank.

"When you look at the polls, it seems that the people to some extent are resigned, that they understand that there is a lack of alternative for Spain at the moment."

There is potential for tension, however, in northern and northwestern Spain where coal miners have been protesting for weeks over unpaid wages. Their subsidised sector is under threat from European Union rules on free trade and the environment.

The government has said it will not be forced into any U-turns in its commitment to bringing its deficit down to the EU target of 3 percent by 2013.

"I think the unions that have called the strike are defending the interests of workers but perhaps they haven't taken into account the economic circumstances at the moment," Economy Minister Elena Salgado said in a radio interview.


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