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Violence in Guadeloupe puts Sarkozy under pressure
Related to country: Guadeloupe

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By Estelle Shirbon:

PARIS, France (Reuters): President Nicolas Sarkozy pledged new state spending on Wednesday for those hit by the economic crisis as violence in the French island of Guadeloupe put pressure on him to avert unrest on the mainland.

A union representative was shot dead and several policemen were wounded by protesters on the Caribbean island overnight as a month-old campaign for pay rises intensified.

The government fears the conflict in Guadeloupe could set off similar protests in mainland France, where up to 2.5 million people took to the streets on Jan. 29 to protest against Sarkozy's strategy to combat the economic crisis.

In a televised address to the nation after talks with union leaders, Sarkozy spoke only briefly about Guadeloupe, saying he would meet the island's elected legislators on Thursday and acknowledging the "anxieties and despair" of the people there.

A statement from his office added that he would address the people of Guadeloupe on the radio after the meeting.

In his address, Sarkozy announced new measures worth 2.65 billion euros ($3.4 billion) to help vulnerable people across France weather the crisis, such as tax breaks for low income households and extra benefits for the jobless and big families.

He rejected union demands for a hike in the minimum legal wage and vowed to stay the course of structural reform.

"The reforms have to continue to allow our country to come out of the crisis as quickly and as well as possible, (We must) refuse easy solutions. This crisis will finish. That is when we will reap the fruit of our efforts," Sarkozy said.

The stakes are high for the government in a country with a strong protest culture. A massive wave of strikes in 1995 effectively buried a reform plan championed by the government of the day and Sarkozy is anxious to avoid such a scenario.

Other European countries including Britain, Greece, Bulgaria and Latvia have been hit by protests linked to economic woes.

Sarkozy is struggling to turn the tide of his unpopularity after a disastrous television interview two weeks ago that he hoped would persuade the public to back his economic strategy.

Coming out of their meeting with Sarkozy on Wednesday, French union leaders did not sound impressed.

"Faced with the current situation of workers, the government measures announced are insufficient," said Francois Chereque, head of the large CFDT union.

Bernard Thibault of the powerful CGT said bosses' representatives who also took part in the talks had been "closed and intransigent" towards workers' demands. He said further days of action like Jan. 29 would be necessary.

The unions have already planned a new day of strikes and protests on March 19.

Sarkozy's new proposals follow a 26 billion-euro stimulus plan to increase investment, announced in December. Opinion polls show a majority of people want Sarkozy to do more to protect jobs, boost low wages and stimulate consumption.

But his margin for manoeuvre is limited by resistance from bosses who say companies battling the crisis cannot afford any more top-ups for staff, and by budgetary constraints.

Underlining the pressure on Sarkozy, the European Commission started disciplinary procedures against France on Wednesday for exceeding the EU's budget deficit limit.

February 19, 2009

caribbeannetnews.com

February 19, 2009 | 6:33 PM Comments  0 comments

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