Spain new labour minister speaks of reforms

 

Valeriano Gómez, Spain's new Minister for Labour, is to oversee changes to the country's pension system - the very system he defended for years as a member of the General Workers Union before being appointed to the cabinet in last weeks re-shuffle.

In an interview earlier today, Gómez stated how Spain's sluggish growth together its 20% unemployment rate make reforms essential.

Perhaps the overall key issue to the whole question of reforms is the increase in the age of retirement, from the current 65 to 67, which was an important point of contention during the general strikes os last month. By comparison the strikes held in France marked the populations mood at having their retirement age extending from 60 to 62.

Mr. Gómez's appointment last week, part of a sweeping cabinet shuffle, was seen as a conciliatory message for the unions-although he helped to craft the reform plan he now must advance, which includes steps to make it cheaper to lay off employees.

The new minister attended a rally against such reforms in the capital during the general strike last month. He was there to rally against union-bashing by the Popular Party, Spain's main opposition force, Mr. Gómez reported.

Like so many other Policticians in the Eurozone, Mr. Gómez has suggested that Germany may be a possible source of help. Echoing comments from certain U.S. officials, he says an economic rebalancing is only possible if export-oriented economies such as Germany boost domestic demand, allowing countries such as Spain to export more to the German market.

"Europe can only stay strong inasmuch as its top economies are aware of the different conditions and needs of the others," Mr. Gómez says.