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Date:         Tue, 3 Dec 1996 11:27:17 +0000
Reply-To: Forum on Labor in the Global Economy <[EMAIL PROTECTED]>
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Subject:      French truckers win [Reuters]
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After French truckers win, analysts ask who's next

Source: Reuters

PARIS, Reuters. By paralysing French roads and causing economic
disruption across western Europe, France's truck drivers have won a
victory that could whet other appetites in a country with a long
tradition of street protests.

 In 12 days of blockades, the truckers forced employers and Prime Minister
 Alain Juppe's government to concede retirement at 55 instead of 60,
 payment for loading, standby and compulsory rest time and a special 3,000
 franc ($600) pay bonus.

 To most French people, opinion polls showed, it was a deserved victory for
 a harshly exploited group of workers, won in heroic revolutionary style by
 barricading the streets.

 ``They won,'' was the triumphant banner headline of the Communist party
 daily L'Humanite, echoed by the left-wing daily Liberation, which said the
 strike proved ``struggle pays.''

 Yet to many industrialists and supporters of conservative President Jacques
 Chirac, it was an alarming example of the willingness of a weak government,
 haunted by last year's 24-day public transport strike, to pay almost any price
 to prevent another bout of widespread labour unrest.

 What Juppe called a ``balanced outcome'' looked suspiciously to them like a
 surrender to a special interest group with the power to bring France to a
 standstill.

 The deal conceded new social rights and regulations at the very time when
 the government, warning that France is pricing itself out of international
 competition, is trying to loosen labour market regulation and curb a lavish
 welfare system.

 ``The truckers' strike illustrated to a tee this 'French sickness'. It is always
 the same: a group of workers who have the power of blackmail take the
 country hostage and force the state, which can ill afford it, to intervene and
 hand them victory,'' lamented Franz-Olivier Giesbert, editor of the
 conservative daily Le Figaro.

 The main question among French commentators this weekend was which
 group of workers will be next to demand the sort of concessions the lorry
 drivers won.

 It was the third time in four years that determined strikers have forced a
 conservative French government to retreat. In 1993 it was Air France
 workers who forced the scrapping of a rescue plan for the loss-making
 airline involving job cuts.

 Last year, it was transport workers who forced Juppe to withdraw a plan to
 streamline the indebted SNCF state railways and make public employees
 work longer for a full pension.

 The conflict illustrated again that France's anxious conservatives do not share
 the determination of former British prime minister Margaret Thatcher or U.S.
 president Ronald Reagan to set a precedent by taking on and defeating
 organised labour.

 If Juppe ever contemplated using the police to clear the roads, he quickly
 dropped the idea, sensing it would trigger the very national labour revolt
 which he is desperate to avoid.

 Now France's fragmented and relatively small trade unions are celebrating a
 rare victory in the private sector and pondering how to capitalise on their win
 for other workers.

 Already oil refinery workers plan industrial action next week and their
 demands include retirement at 55. But they lack the truckers' power to
 paralyse the country.

 Meanwhile, some in the financial markets are wondering about Juppe's
 resolve to stick to any policy -- including the budget austerity required to
 qualify France for a single European currency -- in the face of the threat of
 disruption.

 That is unfair, say his supporters, who argue that the prime minister is going
 to such lengths to avert trouble precisely to preserve the government's central
 aim of meeting the conditions and deadline for European monetary union in
 1999.

 ``It may look messy but it preserves the essentials,'' one Juppe aide said. ``If
 it gets us through to the new year without a major social explosion, it will
 have been worth it.''

 That may be a big ``if.'

 [12-01-96 at 08:42 EST, Copyright 1996, Reuters America Inc.]

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