Forum Views () 
Forum Replies ()  
 
 
Read more with google mobile :
Spain unions to battle pay cuts for civil servants
|  
 
 
 
 
	
	
		
Edition:
		
U.S.
		
		
	
	
		
			
				
					
					
						
					
				
				
					
					
						
					
				
				
					
					
						
					
				
			
		
	
	
	
		
			
				
				
			
		
	
 
	
 
	
 
 
	
		 
		
		 
		
		 
		
		
		
	
	
    	
		 
		
		 
		
		 
		
		
		
 
	
 
	
		
Article
    
Comments (0)
               
      
	
Save
Email
Print
Reprints
      
	
	
    	
		 
		
		 
		
		 
		
		
		
 
	
		 
		
		 
		
		 
		
		
		  
 
 
	 
 
				
				
					
					
Most Popular
					
Most Shared
					
				 
			
			
	
               
      
		
		
		
South Korea vows caution over ship as North sees war
| Video
		
	2:13am EDT 
	
Early Thai election possible: finance minister
| Video
		
	3:03am EDT 
	
Calderon urges U.S. to reinstate assault weapons ban
	20 May 2010 
	
Artificial life? Synthetic genes 'boot up' cell
	20 May 2010 
	
Asian stocks dive although euro edges up
| Video
		
	2:34am EDT 
	
WRAPUP 1-Oil fouls Louisiana, BP scrambles to contain spill
	1:01am EDT 
	
Annoyed by cellphones? Scientists explain why
	20 May 2010 
	
Europe Factors-Shares set to extend strong sell-off
	1:12am EDT 
	
U.S. reverses stance on treaty to regulate arms trade
	14 Oct 2009 
	
Senate approves sweeping Wall St. reform bill
| Video
		
	1:01am EDT 
	
	
		
		
      
               
      
		
		
		
Artificial life? Synthetic genes 'boot up' cell
	20 May 2010 
	
South Korea vows caution over ship as North sees war
| Video
		
	2:13am EDT 
	
U.S. reverses stance on treaty to regulate arms trade
	14 Oct 2009 
	
Calderon urges U.S. to reinstate assault weapons ban
	20 May 2010 
	
Annoyed by cellphones? Scientists explain why
	20 May 2010 
	
Ninjas rescue student from muggers
	20 May 2010 
	
Early Thai election possible: finance minister
| Video
		
	3:03am EDT 
	
UPDATE 4-Toyota gets Tesla stake, Tesla gets Toyota factory
	3:07am EDT 
	
Oil fouls Louisiana as BP scrambles to contain spill
| Video
		
	1:06am EDT 
	
Can chocolate fight aging and make your skin glow?
	20 May 2010 
	
	
		
		
      
	
	 
Analysis
Korea tensions a mess for China
The North Korean torpedo that killed 46 South Korean sailors is rupturing ties across the peninsula, but it is also damaging China's regional standing and its self-portrayal as a helpful broker between its neighbors.  Full Article 
Tensions rise amid accusations
Factbox: A storm of condemnation
Scenarios: Regional dynamics change
	
	
	
    	
		 
		
		 
		
		 
		
		
		
 
Spain unions to battle pay cuts for civil servants
	
	
		
Carlos Ruano
		
MADRID
		
Thu May 20, 2010 10:08pm EDT
	
               
      
 
      
               
      
	
Related News
	
		
		
Spain cuts 2011 budget deficit f'cast to 4.4 pct
Thu, May 20 2010
Factbox: Economic storm pounding euro zone stirs protests
Thu, May 20 2010
Spain's UGT union expects labour deal next week
Thu, May 20 2010
TIMELINE-Eurozone debt crisis
Tue, May 18 2010
UPDATE 1-Spain strike delayed, PM confident of reform
Mon, May 17 2010
	
      
               
      
      
               
      
      
 
    
			
     
            	
                    
                        
Civil servants protest over planed pay cuts in front of the economy ministry in Madrid May 20, 2010. 
                        
Credit: Reuters/Andrea Comas
                    
  
                
            
	
MADRID (Reuters) - Spanish unions Thursday promised to fight austerity moves in the courts after the Socialist government introduced a cut in public sector wages through a royal decree, bypassing parliament.
 
			World
The UGT union, which was already planning a public sector strike on June 8, said it would contest the legality of such cuts at the center of plans for budget reductions of 15 billion euros ($18.62 billion) announced last week.
"We are without doubt going to challenge this royal decree," Julio Lacuerda, a representative of Spain's second largest union UGT, told a news conference after meeting government officials to receive details of the pay reductions.
"This is a complete mockery of our legal right to bargain," added Enrique Foussoul of Comisiones Obreras (CCOO), Spain's largest union.
The government approved the austerity plan at its weekly cabinet meeting and an average 5 percent wage decrease this year for civil servants will take effect on June 1.
"This package of measures aims to accelerate the reduction of the public deficit," Deputy Prime Minister Maria Teresa Fernandez de la Vega told journalists after the cabinet meeting.
"My impression is that the unions want to make noise without calling a general strike, because a general strike would hurt the Socialist government deeply," said Pedro Schwartz, economics professor at the San Pablo University in Madrid.
Legal experts doubted the unions would be able to successfully challenge the wage cuts, saying they would have to prove they were unconstitutional -- a tall order.
Spain's government announced more spending cuts last week to accelerate a reduction in its budget deficit after the European Union and International Monetary Fund approved $1 trillion in emergency funds for weak euro economies.
DEBT FEARS
Traders have fretted that Spain could enter a debt spiral like Greece as it grapples with a budget deficit that swelled to 11.2 percent of gross domestic product last year. It has promised to cut the deficit to 3 percent of GDP by 2013.
Last week's measures would aim to speed up the reductions in the budget deficit to 9.3 percent of GDP this year and then to 6 percent in 2011.
Spain Thursday evening revised its forecast for its public deficit in 2012 down to 4.4 percent of GDP from a previous estimate of 5.3 percent, according to a government document.
Economy Minister Elena Salgado also revised down growth forecasts for 2011 to 1.3 percent from 1.8 percent.
The economy has been mired in its worst recession in decades and Economy Minister Elena Salgado said the measures would impact growth. The government lowered its growth forecast for 2011 to 1.3 percent from 1.8 percent previously but stuck by its forecast of a 0.3 percent contraction this year.
Salgado also the government would introduce a tax on wealthy individuals at some stage but there were no concrete plans.
"At the right moment we will present a proposal so that there is solidarity by those that have most," Salgado said, when asked about a special tax for the rich, adding such a measure would be temporary.
Several government officials have said in recent days that a tax on the rich is under consideration.
Separately Thursday, Spain sold 3.52 billion euros in 10-year bonds in what was seen as a well-received bond auction.
"Bidding was very strong, and 3.52 billion euros is above the target issuance amount," said Peter Chatwell, a strategist at Credit Agricole in London. "Clearly some real money investors have pounced on this, and I would now expect this to further improve sentiment for Spanish paper."
The CCOO and UGT have called a public sector workers' walkout against the cuts for June 8 and not ruled out further action, including a general strike.
The unions and government are also heading for confrontation over labor market reform, which the government wants to complete by the end of May.
(Reporting by Sonya Dowsett, Manuel Ruiz, Nigel Davis and Paul Day; Writing by Axel Bugge; Editing by Matthew Jones)
			
World
			
 
	 
     
    
    
    
 
     
    
 
       
Add a Comment
       
       
        
     
    
*We welcome comments that advance the story directly or with relevant tangential information. We try to block comments that use offensive language or appear to be spam and review comments frequently to ensure they meet our standards. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters.
   
 
 
 
 
	
 
 
 
 
 
 
 
  
	
	
© Copyright 2010 Thomson Reuters
Editorial Editions:
Africa
Arabic
Argentina
Brazil
Canada
China
France
Germany
India
Italy
Japan
Latin America
Mexico
Russia
Spain
United Kingdom
United States
 
Reuters
	
Contact Us
	
Advertise With Us
	
Help
	
Journalism Handbook
	
Archive
	
Site Index
	
Video Index
 
	
Analyst Research
	
Mobile
	
Newsletters
	
RSS
	
Podcasts
	
Widgets
	
Your View
	
Labs
Thomson Reuters
	
Copyright
	
Disclaimer
	
Privacy
	
Professional Products
	
Professional Products Support
	
Financial Products
	
About Thomson Reuters
	
Careers
Online Products
	
Acquisitions Monthly
	
Buyouts
	
Venture Capital Journal
	
International Financing Review
	
Project Finance International
	
PEhub.com
	
PE Week
Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests.
NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.
 
 
 
 
 
 
 
    
 
 
 
 
Other News on Friday, 21 May 2010 Maliki attends Iraq leaders' lunch, Allawi abroad  
Paris museum burglar grabs 120-million-dollar art haul  
France sees majority backing for Iran sanctions  
German '4G' phone auction raises over 4.3 billion euros  
Google unveils platform to bring Web to TV set  
Darfur rebels and army clash, peace hopes fade  
US-TECH Summary  
US team creates first 'synthetic life'  
ETA suspect held in France 'is group's top leader'  
Google, Sony, Intel join on Web television project  
Blood diamond prosecutors seek to subpoena Naomi Campbell  
Iran may cancel atom swap deal if sanctions passed
|  
German minister stresses privacy rights with Google chief  
France's Sarkozy denies rift with Germany over debt crisis  
Turkish planes bomb targets in Northern Iraq: Turkish media
|  
Judge issues arrest warrant for Lindsay Lohan  
Paris police ban mass "Facebook aperitif" party  
Sri Lanka's detained ex-army chief denies war crimes
|  
Libya plane crash black boxes flown to France
|  
India telecom firms pay heavy price for 3G prize  
Microsoft chief sees software future in the Internet 'cloud'  
Spain unions to battle pay cuts for civil servants
|  
Mitsubishi rolls out new electric car in Hong Kong  
U.S. fails to describe wireless industry as competitive  
German '4G' phone auction raises over 4.3 billion euros  
Google unveils Internet television platform  
Muslim concerns trigger Pakistani Web bans  
US-TECH Summary  
NKorea warns of war if punished for ship sinking  
Wreckage of airliner seen on Afghan mountainside  
Fix broken, inefficient US immigration system: Mexican leader  
Veteran Myanmar opposition politician dies at 87  
Annual US-China talks to focus on Iran, currency  
Oil hits shore as BP scoops up 5,000 barrels a day  
Indonesian film portrays Obama's early years  
Ramos-Horta says East Timor finds peace at last  
Thailand mops up, but fears of long-term strife  
Google premieres Web television gamble
|  
Afghan militants holds talks in Maldives  
Paris police ban mass Facebook aperitif party
|  
US lawmakers blast Toyota over defect probe  
India's Jet Airways sees 11 percent profit rise  
Cairn Energy to increase Indian oil project output  
Toyota to 'voluntarily' repair over 22,000 compact cars  
Asian nations must coordinate stimulus exit plans: ADB  
China says 3,000 officials punished for construction graft  
Celebrated Indonesian singer Gesang dies at 92  
Lily Allen scoops top prizes at Ivor Novello Awards  
Taiwan activists protest against China trade pact  
US-ENTERTAINMENT Summary  
Taiwan economy sees biggest growth in over 30 years  
Rap mogul Suge Knight arrested in Los Angeles  
Prosecutors seek Naomi Campbell testimony in Taylor trial  
Lohan faces arrest after missing court date  
Oil threatens French-speaking Cajuns, native Choctaw  
Moscow mayor bans gay pride march: organiser  
Second detained Iranian director on hunger strike  
Lost fans abroad get quick finale broadcasts
|  
Lohan faces arrest after missing court date
|  
Sex and the City sequel takes on Middle East
|  
Rap mogul Suge Knight arrested in Los Angeles
|  
Prosecutors seek Naomi Campbell testimony in Taylor trial
|  
Epic French film treats Carlos the Jackal at Cannes
|  
Iran may cancel atom swap deal if sanctions passed  
Europe finance heads mull tighter fiscal monitoring  
South Korea vows caution over ship as North sees war
|  
Paris museum burglar grabs 120-million-dollar art haul  
Google bringing Web to TV set  
Early Thai election possible: finance minister
|  
US Senate passes historic Wall Street overhaul  
Dell profit surges on revived business spending  
Taliban attack Afghan police base camp: officials
|  
Android update turns Google phones into Wi-Fi hot spots  
Looney Tunes Back In Action With New 3D Short, Television Series  
Dow index suffers biggest drop in more than a year  
Suspected Taliban blow up U.S. spies in Pakistan
|  
Google will 'fight' for AdMob: Schmidt  
Dell Q1 Earnings Jump On Growing PC Sales  
US cartoonist disavows 'Draw Mohammed' Facebook page  
Three Britons killed in Pakistan over family feud
|  
BP Ordered To Switch To Less Toxic Dispersant, Admits More Oil Leaking  
Annoyed by cellphones? Scientists explain why  
U.S. Markets Continue Slide As European Debt Worries Remain  
After Facebook, Pakistan shuts down YouTube  
Mexican President's Speech To Congress On Drugs, Immigration Gets Mixed Response  
New Chinese fighter jet expected by 2018: U.S. intelligence
|  
Swedish Internet provider to take filesharing case to supreme court  
Wall Street Reform Bill Passes First Senate Hurdle  
US-TECH Summary  
Malawi gay couple sentenced to 14 years in jail
|  
MTV Picks Up "Teen Wolf" Series  
Older Adults Who Don't Follow Medication Instructions Fall More  
Google, Sony, Intel join on Web television project  
Bomb blast in southern Afghan city kills civilian  
Sri Lanka's detained ex-army chief denies war crimes
|  
Animals Die In Fire At Berkeley Shelter  
Rights group offers evidence of Sri Lanka war crimes  
Democrat Chief Kaine Takes Stock, Announces All Out Effort For Midterm Elections  
Spain unions to battle pay cuts for civil servants
|  
2 Ark. police killed during traffic stop on I-40  
SKorea calls for cautious response to ship sinking  
Canada's 'Prince of Pot' extradited to US  
Taiwan writer held at World Expo over t-shirt: report  
US top spy quits after intelligence failures  
Early Thai election possible  
Louisiana marshes hit by Gulf oil slick  
Suspected Taliban blow up "U.S. spies" in Pakistan  
Clinton starts Asia tour as N.Korea tensions rise  
US top spy quits 'with deep regret'  
Another Foxconn worker dies in China; 8th in 2010  
Obama's intelligence czar to resign: US official  
South Korea vows caution over ship as North sees war  
Thailand picks up the pieces after deadly conflict  
Google premieres Web television gamble
|  
Toyota recalls Lexus cars in Japan, US to follow  
Excessive rise of yen undesirable: Japan FM  
Japan's economy 'starting to recover moderately': BoJ  
PAKISTAN  
Japan central bank keeps interest rates unchanged  
S.Korea sees limited market impact from tension with North  
Indonesians fear for 'Reformasi'  
Lindsay Lohan dodges arrest warrant  
Indonesian film portrays Obama's early years  
PetroChina shares fall after investment plan announced  
Filmmakers planning Comic-Con documentary  
NZ consumer confidence perks up in May  
US, EU irked by stalled Japan Post privatisation  
"Scream 4" lures "Twilight" and "Heroes" vets  
Toyota teams up with Tesla to make electric cars  
Ten years on, Israel wrestles with Lebanon pullout  
Latest "Shrek" sequel eyes $100 million opening  
Usher replaces Eminem atop singles chart  
"Glee," Rolling Stones eye top of albums chart  
Mike Leigh and monks vie for top Cannes film prize  
Arrest warrant lifted for Lindsay Lohan
|  
Simon Cowell speaks of depression, admits mistakes
|  
Latest Shrek sequel eyes $100 million opening
|  
Buzz in short supply at Cannes
|  
Filmmakers planning Comic-Con documentary
|  
Glee, Rolling Stones eye top of albums chart
|  
Scream 4 lures Twilight and Heroes vets
|  
Lost fans abroad get quick finale broadcasts
|  
Usher replaces Eminem atop singles chart
|  
Iran sanctions won't stop missiles  
Euro rescue package clears German parliament  
British Airways reports record annual loss of £531m  
Police hunt Paris art thief after $120 mln heist  
Wreckage of Afghan plane, bodies found: minister  
Bosnian police in major organized crime crackdown
|  
Sony, Samsung meeting seen focusing on LCD panels  
Israeli army kills 2 armed Palestinians from Gaza
|  
Police break Vietnam immigrant trafficking ring
|  
South Sudan swears in first elected president
|  
Spain court convicts 3 ETA members of airport bomb
|  
Iran sanctions won't stop missiles: Russian senator
|  
Sony, Samsung meeting seen focusing on LCD panels  
Colombia presidential race tight days before poll
|  
PM calls for reconciliation to heal Thai divide  
No survivors found at Afghan airline crash site  
AP INVESTIGATION: Texas man faked way into Army  
Wall St plunge triggers Asian turmoil  
Clinton starts Asia tour as N.Korea tensions rise  
Clinton: NKorea must face consequences for attack  
Group presents new evidence on abuses in Sri Lanka  
US to work closely with new Philippine leader  
103 arrested in Indonesian election protest  
Taiwan zoo expects no panda cubs before 2011  
Sony, Samsung meeting seen focusing on LCD panels
|  
Pepsi to invest $2.5 billion in China  
Another Foxconn worker dies in China; 9th in 2010  
Pakistan stocks, o/n rates down; rupee weakens  
Up in smoke: Indonesian child-teen smokers rising  
France-Algeria war film sparks Cannes protests  
Abbott buys unit of Piramal Healthcare for $3.7B  
US says preparing to ease high-tech export controls  
Jackson fans to spend night among his possessions  
Rising yen casts shadow over Japan recovery  
Cannes stars turn out for glitzy AIDS charity bash  
Rock 'n' roll nostalgia is sure seller at Cannes  
US presses Beijing on clean-energy market access  
Cuban drag queens take to the stage  
Japan central bank keeps interest rate unchanged  
Clinton: US condemns N.Korea sinking of South's ship  
U2 frontman Bono undergoes surgery
|  
Algerian independence film stirs protest at Cannes
|  
Jackson fans to spend night among his possessions
|  
Cannes stars turn out for glitzy AIDS charity bash
|  
Greece at new risk of being pushed off euro  
Bodies of missing Tenn. mom, Jo Ann Bain, and daughter found  
Female Breasts Are Bigger Than Ever  
AMD Trinity Accelerated Processing Units Now in Volume Production  
The Avengers (2012 film), made the second biggest opening- and single-day gross of all-time  
AMD to Start Production of piledriver  
Ivy Bridge Quad-Core, Four-Thread Desktop CPUs  
Islamists Protest Lady Gaga's Concert in Indonesia  
Japan Successfully Broadcasts an 8K Signal Over the Air  
ECB boosts loans to 1 trillion Euro to stop credit crunch  
Egypt : Mohammed Morsi won with 52 percent  
What do you call 100,000 Frenchmen with their hands up  
AMD Launches AMD Embedded R-Series APU Platform  
Fed Should not Ignore Emerging Market Crisis  
Fed casts shadow over India, emerging markets  
Why are Chinese tourists so rude? A few insights