French strikes hurting business: Industry groups

Workers protesting the planned increase in retirement age have shut down fuel distribution, air, rail and road transport

(Reuters) — Nationwide strikes against pension reform are taking a toll on the French economy, according to business leaders, with the worst impact felt among small business still smarting from the global financial crisis.

Strikes hit key sectors such as fuel distribution, air, rail and road transport on Oct. 19, the sixth day of protests over pension reforms since June, adding to problems caused by a longer strike at France's largest oil terminal.

Angry motorists lined up outside petrol stations to buy marked-up gas and diesel, while work stoppages among train and truck drivers started to hit deliveries of goods to industry.

"I am sending out a distress signal because we do not have the means today, after the economic crisis that we have endured over the past three years, to withstand strikes that last for a long time," Jean-Francois Roubaud, head of a group representing small and mid-sized business, told French radio.

"It needs to end very quickly," he added.

While France's economic downturn was less severe than in many countries, including neighbouring Germany, the business community is worried the strikes could inflict further damage.

"We are worried, worried also for our business," Laurence Parisot, head of France's top industrial group MEDEF, told a news conference.

Certain members of her business lobby's executive committee had noted disruptions in sectors such as construction, infrastructure and chemicals, she said.

Despite the protests, French president Nicolas Sarkozy has said he will press ahead with plans to raise the retirement age from 60 to 62.

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