MSG099G/01E ITALY-LABOUR: Unemployment Blamed on Fallen Berlusconi Government

ROME, Dic 27 (IPS) - Rising unemployment in Italy in 1994 caused a major rift between the now-fallen Berlusconi government and the trade unions.

The unions accused the government of causing 420,000 jobs to be lost between October 1993 and October 1994, when unemployment rose from 11.3 to 12.1 percent, according to official figures.

Unemployment in Italy is second highest after France (12.6 percent) among the G 7 countries, followed by Canada (9.6 percent), Britain (8.8), Germany (8.2), the United States (5.6) and Japan (3.0).

According to union leader Sergio d'Antoni, a recent Italian National Statistics Institute report indicated that economic reactivation will not be enough to counter unemployment if the new government does not change its policies.

Romano Prodi, former chairman of the Italian Reconstruction Institute, said that greater flexibility was needed in the labour market, as well as increased investment in new sectors.

Minister of Employment Clemente Mastella rejected criticism of Berlusconi's unfulfilled election promises, "The accounts should be done at the end of a government's term and not only seven months on," he said, alluding to Berlusconi's resignation last week.

Mastella added that the next government must meet with the social, labour and business sectors to find a more flexible way of working. "We are not ready for co-management, but greater worker participation is certainly needed."

Secretary of the Italian Workers' Union, Pietro Larizza, blamed increasing unemployment on a lack of confidence in the government, as economic reactivation was not strong enough to avoid job losses, especially when added to the instability of Berlusconi's government.

The government coalition of Forza Italia, the National Alliance and the Northern League collapsed last week when the Prime Minister lost his parliamentary majority.

Larizza said that he hopes the replacement government will have a strong mandate on economic, social and institutional issues, and that they wait at least six months before calling new parliamentary elections.

© Inter Press Service (2014) — All Rights Reserved. Original source: Inter Press Service

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