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PENSIONS

Christmas mayhem feared as French transport strike continues

France reeled under a crippling public transport strike for a 10th day Saturday aimed at forcing the government to scrap a pension revamp, as fears grew of travel mayhem during Christmas.

Christmas mayhem feared as French transport strike continues
French Prime Minister debates the pension reform with teachers on Friday. Photo: Jean-Christophe Verhaegen/AFP
Train traffic was severely disrupted with only one out four TGV high speed long-distance trains and three of 10 regional trains running across the country.
   
But Paris and its environs remained the worst hit. Nine metro lines in the capital remained closed and there were skeletal transport services between the city and its suburbs. Only 60 percent of the city's bus services were running.
 
   
Strikers have warned of similar disruptions on Sunday and Monday and national rail operator SNCF and the RATP Paris transport network confirmed service would be very limited with just one in four TGVs running.
   
On Saturday, SNCF managing director  Rachel Picard, told Le Parisien daily that “half of the passengers” would have trains to visit family for Christmas” but did not elaborate.
   
Unions are hoping for a repeat of 1995, when they forced a rightwing government to back down on pension reform after three weeks of metro and rail strikes just before Christmas.
   
The prospect of a protracted standoff has businesses fearing big losses during the crucial year-end festivities, and travellers worried that their holiday plans will fall through.
   
READ ALSO: 
On Friday, Prime Minister Edouard Philippe asked SNCF chief Jean-Pierre Farandou to draw up a list of exactly which trains would be running during the festive season.
  
The prospect of a protracted standoff has businesses fearing big losses during the crucial year-end festivities, and travellers worried that their holiday plans will fall through.
   
Philippe told the Parisien daily in an interview for its Sunday edition that the French would not accept being “deprived” of festive transport options.   
 
“I can well see that everyone is worried as they see Christmas near. Christmas is an important time,” he said.
   
“Everybody must take their responsibilities. I do not think the French would accept people depriving them of this moment,” Philippe warned. 
 
But unions said they would not give in — and that the government would have to.
   
“If the government wants the conflict to end before the holidays, they have all of next week to take the wise decision and scrap the point-based pension plan,” Laurent Blum, the general secretary of the hard-line CGT-Cheminots, the main SNCF union, told AFP.
  
 'Deeply unfair'
 
France's moderate CFDT union joined the action after the government's announcement that those who retire before the “pivot age” of 64 would not receive a full pension.
   
“It's very simple: for the CFDT to take another look at this bill, the government must agree to withdraw the pivot age. One point, that's all,” CFDT leader Laurent Berger told Le Journal du Dimanche.
   
“It is deeply unfair to ask those who were born in 1960 and who are due to retire in 2022 to work longer,” he added.
   
If the government does not give ground, the CFDT will also call for industrial action in January, after Tuesday's strike, said Berger, who is not opposed to reform of the current pension system.
   
Berger said CFDT railway workers did not want a strike over the holiday season.
   
“I don't wish to block transport for Christmas. We should not make users pay the bill… We have to break this deadlock,” he said.
   
The prime minister has held talks with union leaders and more negotiations are scheduled over the coming week.
   
Philippe on Friday struck a combative note, saying he “has absolutely no fear of implementing this reform”.
   
The architect of the overhaul, pensions commissioner Jean-Paul Delevoye, has been hit by suspicions of conflicts of interest after several omissions in his declaration of interests, which he has since amended.
   
Under the French constitution, members of the government are prohibited from carrying out “any professional activity” in addition to their official functions.
   
The prime minister however stressed Saturday that he had faith in Delevoye and dismissed talk of his resignation.
   
President Emmanuel Macron's government insists the changes will make for a fairer system and help erase pension-system deficits forecast to reach as much as 17 billion euros ($19 billion) by 2025.
   
The average French person retires at just over 60 — years earlier than most in Europe or other rich OECD countries.
   
Train traffic was expected to be severely disrupted Sunday with only one out four TGV high speed long-distance trains and a third of regional trains running across the country, operator SNCF said.
   
But Paris and its environs remained the worst hit. Only the two driverless Metro lines in the capital were going to be in operation and there were skeletal transport services between the city and its suburbs.

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TRAVEL NEWS

German train strike wave to end following new labour agreement

Germany's Deutsche Bahn rail operator and the GDL train drivers' union have reached a deal in a wage dispute that has caused months of crippling strikes in the country, the union said.

German train strike wave to end following new labour agreement

“The German Train Drivers’ Union (GDL) and Deutsche Bahn have reached a wage agreement,” GDL said in a statement.

Further details will be announced in a press conference on Tuesday, the union said. A spokesman for Deutsche Bahn also confirmed that an agreement had been reached.

Train drivers have walked out six times since November, causing disruption for huge numbers of passengers.

The strikes have often lasted for several days and have also caused disruption to freight traffic, with the most recent walkout in mid-March.

In late January, rail traffic was paralysed for five days on the national network in one of the longest strikes in Deutsche Bahn’s history.

READ ALSO: Why are German train drivers launching more strike action?

Europe’s largest economy has faced industrial action for months as workers and management across multiple sectors wrestle over terms amid high inflation and weak business activity.

The strikes have exacerbated an already gloomy economic picture, with the German economy shrinking 0.3 percent across the whole of last year.

What we know about the new offer so far

Through the new agreement, there will be optional reduction of a work week to 36 hours at the start of 2027, 35.5 hours from 2028 and then 35 hours from 2029. For the last three stages, employees must notify their employer themselves if they wish to take advantage of the reduction steps.

However, they can also opt to work the same or more hours – up to 40 hours per week are possible in under the new “optional model”.

“One thing is clear: if you work more, you get more money,” said Deutsche Bahn spokesperson Martin Seiler. Accordingly, employees will receive 2.7 percent more pay for each additional or unchanged working hour.

According to Deutsche Bahn, other parts of the agreement included a pay increase of 420 per month in two stages, a tax and duty-free inflation adjustment bonus of 2,850 and a term of 26 months.

Growing pressure

Last year’s walkouts cost Deutsche Bahn some 200 million, according to estimates by the operator, which overall recorded a net loss for 2023 of 2.35 billion.

Germany has historically been among the countries in Europe where workers went on strike the least.

But since the end of 2022, the country has seen growing labour unrest, while real wages have fallen by four percent since the start of the war in Ukraine.

German airline Lufthansa is also locked in wage disputes with ground staff and cabin crew.

Several strikes have severely disrupted the group’s business in recent weeks and will weigh on first-quarter results, according to the group’s management.

Airport security staff have also staged several walkouts since January.

Some politicians have called for Germany to put in place rules to restrict critical infrastructure like rail transport from industrial action.

But Chancellor Olaf Scholz has rejected the calls, arguing that “the right to strike is written in the constitution… and that is a democratic right for which unions and workers have fought”.

The strikes have piled growing pressure on the coalition government between Scholz’s Social Democrats, the Greens and the pro-business FDP, which has scored dismally in recent opinion polls.

The far-right AfD has been enjoying a boost in popularity amid the unrest with elections in three key former East German states due to take place later this year.

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