Road to Depression

Spain strike vents popular frustration!

on . Posted in Road to Depression

MADRID, Spain - June 7, 2010 - Spain's public sector strike against a government austerity plan on Tuesday will allow the country's unemployed to vent their frustration but the real test will come in response to labour reform to be unveiled this week. Tuesday's work stoppage and planned marches, called after the government rammed through a plan to shave 15 billion euros ($17.91 billion) off the budget with public sector cuts, is a shot across the government's bows before unions receive its draft of much-awaited labour reform on Wednesday.

Public sector workers face average wage cuts of 5% for this year and a freeze for 2011 as part of a plan to cut the budget deficit to 9.3% of gross domestic product this year, from 11.2% in 2009, and then to 6% in 2011.

"Tuesday's action is without a doubt a marketing exercise to gauge the support for a possible general strike," said University of Navarra political communications professor Carlos Barrera.

But many said it would be unwise to interpret too much about the overall mood toward the government's handling of the worst economic slump in decades from Tuesday's strike. Greece has seen mass strikes and protests over austerity measures imposed to combat a debt crisis there that has shaken the eurozone.

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