France hit by transport chaos as unions confront Sarkozy UPDATE

France hit by transport chaos as unions confront Sarkozy UPDATE

	Published : Wed, 14 Nov 2007 10:50 By : Agencies Print this Story

(updates with hints of a compromise)

PARIS (Thomson Financial) - France plunged into travel chaos for the second time in a month as striking transport workers halted trains and buses in their face-off with President Nicolas Sarkozy over reforms.

Train drivers at the state SNCF rail company stopped work last night, with the shutdown extended today to Paris metro trains and the state gas and electricity companies, causing 300 kilometres of traffic jams on roads heading into Paris, twice the daily average.

However, despite the chaos, the first signs of a possible compromise emerged today, as the biggest rail union -- the General Labour Confederation (CGT) -- agreed to sector-by-sector talks on the future of the 'special' pension systems.

Labour Minister Xavier Bertrand met union leaders during the morning, and Jean-Louis Malys of the French Democratic Labour Confederation (CFDT) said 'there is room for manoeuvre. A trial of strength is not going to help the workers.'

Several newspapers predicted that the strike could end quicker than expected, arguing that it was not in the unions' interests to push too hard.

The government has said it will not budge from plans to overhaul the so-called 'special' pension systems enjoyed by 1.6 mln rail, energy and other workers.

Sarkozy has begun moves to lengthen contribution periods for these workers from 37.5 years to 40, closer to other public and private sector employees. Today some railway staff can retire on a full pension at 50.

Hours before the rail strike began, Sarkozy re-asserted his determination to see the reforms through, arguing that he had a strong electoral mandate to enact the changes.

'I will carry out these reforms right to the end. Nothing will put me off my goal,' he told the European Parliament during a visit to Strasbourg.

'The French people approved these reforms. I told them all about it before the elections so that I would be able to do what was necessary afterwards.'

SNCF unions gave notice of an open-ended strike, which meant the disruption could extend for several days. Some organisers hope that the stoppages will last to Nov 20, when a separate strike by civil servants against state sector job cuts is planned.

Officially, the Paris metro strike is for only 24 hours, and the president of the RATP operator Pierre Mongin said he would do everything to ensure a 'normal or near-normal service from Thursday'.

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