Thomson Financial

France

October 21, 2007

Labour minister Xavier Bertrand said he will meet with unions and state-owned corporations this week to discuss the proposed reforms to certain public-sector pension schemes that sparked strike action last week.

The government wants to end by 2012 an arrangement that allows workers in certain state sectors to draw a full pension after 37.5 years of contributions, bringing them into line with the 40 years required elsewhere in the public sector.
The 500,000 workers concerned include train drivers, miners as well as more obscure corners of the public sector, such as employees of the Paris Opera House.

The government claims the status quo is unfair to other state employees and has said that while it is willing to negotiate the details of the reforms, it will not give way over the extension of contributions to 40 years.

Unions meanwhile object to what they see as the demonization of a relatively small number of workers and say constructive talks are being hampered by the government's insistence on dictating the number of years of contributions required.

Bertrand said on Canal Plus television today that he will discuss the reforms with representatives of the the major CFDT and CGT unions on Wednesday and with other unions later in the week.

Tomorrow he will hold talks with the public corporations concerned.
'Negotiation is indispensable,' Bertrand said, adding: 'we need to talk to find the right solutions.'

Unions at the state rail operator SNCF are to meet tomorrow and those of Paris transport operator RATP on Tuesday to discuss any possible follow-up to the 24-hour nationwide strike held last Thursday.

In an interview with weekly Journal du Dimanche today, Bertrand outlined a number of compromises he is considering, including the creation of a top-up retirement fund to add to the state pension and adapting jobs for workers nearing the end of their career.

He said this would give workers 'more freedom of choice over the age of retirement.'

But yesterday, Bertrand repeated that 'the target of moving 37.5 years of retirement contributions to 40 is not negotiable.'

 

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