European discontent over earnings divide
The present credit, food, and fuel crisis in Europe is sparking anger from unions and workers across Europe who says that the divide between rich and poor is becoming wider than ever and that the ‘fat cat’ culture continues to spread unchecked across many industries where employees are often paid relatively low wages.
Workers at Germany’s Deutsche Post are to begin strike action in May after the Verdi trade union failed to secure a 7 pct pay rise for 130,000 postal workers. Deutsche Post said it was always ready to talk but the 7 pct rise put forward by the union was unaffordable. Verdi has recommended that workers begin strike action early next month.
In the Netherlands, trade unions are planning to step up the pressure on the Dutch mail company TNT, with strikes next week to support their call for a 3.5 percent wage rise. In Slovenia, protesters were on the streets protesting about low pay and fat-cat companies in Europe.
In the UK, PM Gordon Brown is trying to placate members of his own party over the scrapping of the 10 pct income tax rate for low earners. The move has been seen as deeply unpopular and at odds with Labour’s claim to support the poorest citizens. With Labour already struggling in opinion polls ahead of local elections on May 1st, Labour MPs are becoming worried that they could see their seats go over what are national issues. In the public sector, unions say that wage caps, typically around 2.5 pct in the UK are now insufficient to match the increasing cost of energy and other rises in the cost of living.
The present credit, food, and fuel crisis in Europe is sparking anger from unions and workers across Europe who say that the divide between rich and poor is becoming wider than ever and that the ‘fat cat’ culture continues to spread unchecked across many industries where employees are often paid relatively low wages.
The recent discovery that the Chief Executive of Deutsche Post, Klaus Zumwinkel had been diverting earnings to avoid tax has further inflamed the situation in Germany, but is seen by many across Europe as the ‘tip of the iceberg.’ A data disc containing names of others involved in the scandal, is thought to contain the names of UK business leaders. The data is currently in the hands of UK tax authorities.
Workers at Germany’s Deutsche Post are to begin strike action in May after the Verdi trade union failed to secure a 7 pct pay rise for 130,000 postal workers. Deutsche Post said it was always ready to talk but the 7 pct rise put forward by the union was unaffordable. Verdi has recommended that workers begin strike action early next month.
In the Netherlands, trade unions are planning to step up the pressure on the Dutch mail company TNT, with strikes next week to support their call for a 3.5 percent wage rise. In Slovenia, protesters were on the streets protesting about low pay and fat-cat companies in Europe.
In the UK, PM Gordon Brown is trying to placate members of his own party over the scrapping of the 10 pct income tax rate for low earners. The move has been seen as deeply unpopular and at odds with Labour’s claim to support the poorest citizens. With Labour already struggling in opinion polls ahead of local elections on May 1st, Labour MPs are becoming worried that they could see their seats go over what are national issues. In the public sector, unions say that wage caps, typically around 2.5 pct in the UK are now insufficient to match the increasing cost of energy and other rises in the cost of living.
In Scotland, Ineos Group Holdings Plc have started shutting down a refinery in Grangemouth ahead of a 48-hour strike over pensions. It is thought the closure will lead to petrol shortages in Scotland and the north of England.



