France is running out of gasoline thanks to massive strikes at all the refineries.
The strike spread to air traffic control and many flights have been cancelled. Hundreds of thousands of people are stranded.
The strike is now about to spread to nuclear power plants.
I offer this quote of the day: “One cannot just turn off a nuclear plant, it is not like a thermal or hydro plant.”
The BBC reports French Labour Dispute: Strike Hits All Eight Oil Refineries.
An estimated 20% of petrol stations have either run dry or are low on supplies.
Clashes broke out at one refinery early on Tuesday when police broke up a blockade at Fos-sur-Mer in Marseille.
Prime Minister Manuel Valls insisted the labour laws would stand, and that further blockades would be broken up.
“That’s enough. It’s unbearable to see this sort of thing,” he told French radio. “The CGT will come up against an extremely firm response from the government. We’ll carry on clearing sites blocked by this organisation.”
20% Fuel Shortage in Question
Law be Decree
The union is aiming to cut output by half at the refineries and wants strikes on the railways as well, in an attempt to reverse labour laws that make it easier for companies to hire and fire staff.
There are concerns that the disruption may affect the Euro 2016 football championships, with one former union leader saying the event is not “sacred”.
The government provoked union outrage when it resorted to a constitutional device to force its watered-down labour reforms through parliament without a vote, earlier this month.
The strike is a result of an action by French President Francois Hollande to pass a law by decree. I wrote about that on May 10 in Hollande to Force New Rules by Decree, Risking Vote of No Confidence.
Parliamentary rules in France are a bit bizarre. Rules allow the president to pass legislation directly, over the wishes of parliament, without a vote.
The legislation stands unless the president fails a confidence vote.
Expect a vote shortly as Hollande whipped up legislation that neither the left nor the right can stand.
I commented at the time “More than likely, Hollande will survive. The socialists are going to get clobbered in the next election and to vote against Hollande now will put them out of a job now rather than next year. Surprises are possible if disgust gets low enough, but in general, politicians would rather have a paycheck than do the right thing.”
The result was a surprise strike.
Violence Flares Up
Good News! Some Stations Still Have Gas!
Bad News! Cancelled Flights as Chaos Spreads to Air Traffic
The Independent reports Chaos Looms as French Workers Step Up Strikes.
Hundreds of thousands of British holidaymakers face disruption and frustration over the half-term holiday, as striking air-traffic controllers and refinery workers bring chaos to the transport network for people travelling to, through and over France.
Members of air-traffic control unions are unhappy about proposed changes to working arrangements and retirement conditions, and what they call “The inability of our government to develop a human resources management policy”. They also claim their salaries are “significantly lower than those of their counterparts in other major providers”.
The largest union, the SNCTA, will strike on five further days: tomorrow, from 3 to 5 June and on 14 June. Previous stoppages have caused hundreds of cancellations, with flights between the UK and Spain particularly badly affected.
Tomorrow will be the seventh day of industrial action by French air-traffic controllers in the past two months. Ahead of the strike, Ryanair has cancelled 70 flights , including some services from Birmingham, East Midlands, Manchester and Stansted to France, Portugal, Spain and Switzerland.
The airline warned: “Unfortunately, further flight delays and cancellations are likely.
British Airways has cancelled at least 20 flights, including six between Heathrow and Madrid, and four each to and from Barcelona, Nice and Paris. Passengers to Geneva, Marseille and Toulouse are also affected.
Riot Police Called Out
Riot police stand guard behind a fire as refinery workers hold a blockade of the oil depot of Douchy-Les-Mines to protest against the government’s proposed labour reforms. Getty
Question of the day: When do the police strike?
While pondering that question, the latest news is grim.
Unions Vote to Strike at 19 Nuclear Power Plants
France24 reports After Fuel Blockade, French Nuclear Plant Workers to Strike Over Labour Reform.
In the past week French workers led by the CGT have blocked oil refineries around the country in protest at the planned reforms aimed at making it easier for firms to hire and fire, which has led to fuel shortages in large parts of the country and long queues of cars at near-empty petrol stations.
CGT energy and mining federation spokeswoman Marie-Claire Cailletaud said the strike action at nuclear plants, set to start Wednesday evening at 20.00 Paris time (1800 GMT), will reduce power output, but the reactors will not stop running.
“One cannot just turn off a nuclear plant, it is not like a thermal or hydro plant,” she said.
Staff in at least four fossil fuel-fired plants have also voted to strike, she added.
Ministers went on radio morning shows to say the government would stand firm, while CGT chief Philippe Martinez told RTL radio that his union, one of the most powerful in France, would press on with its strikes.
Taken hostage
The government has accused the CGT of taking the country hostage.
“A small minority is trying to radicalise things,” Junior minister Jean-Marie Le Guen told RTL radio. “We will unblock the situation,” he said, adding that a union “cannot govern the country”.
Undeterred, CGT chief Philippe Martinez told France Inter: “We will carry on.”
So far the strikes have affected oil depots and refineries, triggering shortages, and train and Metro strikes have been announced too.
The nuclear plant strike is a further escalation of a conflict that also threatens to affect the Euro 2016 football championship, which starts on June 10 in France.
Carry on Dudes
By all means, carry on dudes. The massive “Code du Travail” (Labor Code) says you have rights.
“The Code du Travail is regarded by many in France as untouchable. Successive governments have chiselled away at its 10,000 articles – notably easing restrictions on layoffs and working hours – but without ever daring a comprehensive overhaul.”
PATCO Moment Needed
Ronald Reagan provided the precisely need solution for union insanity. Reagan fired them every PATCO (air traffic control union employee) who would not return to work when ordered.
I wrote about this once before, also in regards to France. Flashback October 12, 2010: French Unions On Strike Against Pension Reform, Disrupt Rail, Air Traffic.
The correct government response to this mess is to do what Reagan did to the PATCO workers, fire all the public union employees on strike and terminate their benefits.
Moreover, the French government should take this opportunity handed to them on a silver platter and go one step further to make a much needed change and dissolve all public unions. The same should happen in the US.
This would end the nonsense quickly and effectively. As in the US, there would be lines miles long to take those jobs at much lower wage and benefit levels.
Message From FDR
Inquiring minds are reading snips from a Letter from FDR Regarding Collective Bargaining of Public Unions written August 16, 1937.
All Government employees should realize that the process of collective bargaining, as usually understood, cannot be transplanted into the public service. It has its distinct and insurmountable limitations when applied to public personnel management.
The very nature and purposes of Government make it impossible for administrative officials to represent fully or to bind the employer in mutual discussions with Government employee organizations.
Particularly, I want to emphasize my conviction that militant tactics have no place in the functions of any organization of Government employees.
A strike of public employees manifests nothing less than an intent on their part to prevent or obstruct the operations of Government until their demands are satisfied. Such action, looking toward the paralysis of Government by those who have sworn to support it, is unthinkable and intolerable.
FDR was correct.
Reagan was correct, but he did not go far enough.Reagan should have dissolved every public union.
Had he done so. We would not have the pension/state budget crisis we have today.
Humorous France Flashbacks
- November 20, 2013: Mish Fined 8,000 Euros for Quoting French Blog
- December 24, 2013: Lawyer Advises Me “Don’t Go to France”; French Pub Fined €9,000 for Using “Undeclared Labor” after Customers Returned Empties to Bar
I did not pay the fine and I will not go to France. Somewhere along the line, France notified me in English that all further communication would be in French and that I had to respond in French.
I get express packets every now and again from France, in French and I throw them away. The latest was a few weeks ago.
Mike “Mish” Shedlock
Mish, you and the missus are not planning on a French vacation anytime soon are you?
Hollande would have you guys arested at the baggage carousel and give you the same sort of treatment that the Manhattan district attorney had in store for Dominique Strauss-Kahn.
I still owe France a 10,000 euro fine plus accrued interest for quoting a French blogger who was fined more. Curiously we were both correct. Our sin? We talked about leverage at French Banks. A bit later the WSJ reported similar numbers.
Hmm – I see it was less. Perhaps the new demand includes interest.
https://mishtalk.com/2013/12/24/lawyer-advises-me-dont-go-to-france-french-pub-fined-e9000-for-using-undeclared-labor-after-customers-returned-empties-to-bar/
For a side laugh, somewhere along the line they told me they would only communicate with me in French and that I had to communicate with them in French. Every six moths or so they send me an express letter of some sort, in French, that I throw away.
There is a broken link in the above article.
Here is the original post on blogger:
The original post is a riot. Here is a link that works:
http://globaleconomicanalysis.blogspot.com/2013/11/mish-fined-8000-euros-for-quoting_20.html
You SHOULD commumicate with them in French. Tell them “Enculer!” or Va tu faire foutre!”
https://m.youtube.com/watch?v=cAy4zULKFDU
Just watched this… “Brexit The Movie”. OMG, this is a must see/make it go viral.
The French love to strike. They have a long and storied tradition of striking at the drop of the hat. For the life of me, I cannot understand how they can ever expect to attract any business or investment there.
France sits in the centre of Europe , it therefore enjoys a hugely influential position . That aside , foreign investment in Europe over the last year was up by over ten percent according to one source , but down in France .
Found a link to that
http://www.thelocal.fr/20160525/why-is-france-struggling-to-attract-international-investment
Gov can tear down their barricades, but it’s hard to make people work when they don’t want to.
Where oh where are the nuclear power plant robots? Coming soon after the self driving cars (that will never pan out).
I fixed a broken link and added this addendum
Humorous France Flashbacks
November 20, 2013: Mish Fined 8,000 Euros for Quoting French Blog
December 24, 2013: Lawyer Advises Me “Don’t Go to France”; French Pub Fined €9,000 for Using “Undeclared Labor” after Customers Returned Empties to Bar
I did not pay the fine and I will not go to France. Somewhere along the line, France notified me in English that all further communication would be in French and that I had to respond in French.
I get express packets every now and again from France, in French and I throw them away. The latest was a few weeks ago.
I know I am going to sound crazy but can’t you sue them for fraud? or extortion? your outside their jurisdiction they shouldn’t be able to bring suits against you. And most of the internet is on U.S. servers anyways, especially the comment discussion posts
It is truly crazy.
Yes, I had confirmation from the SEC they are out of my jurisdiction. But the converse is also true so no use in suing them.
That poor French blogger did get hit.
The SEC told me it is standard procedure for French companies to complain whenever they are mentioned negatively. It happens all the time. Because of cross agreements, they have to follow up on every complaint. The person I talked with could not give “advice” but I could read through the lines after several phone conversations. He did freely volunteer they were out of US jurisdiction. And I had no position in the play at all! I stood to gain nothing either way. The final insanity is the WSJ confirmed the numbers. But France goes after small fry all the time, not the WSJ. The best advice I could get was to not respond at all. Instead, I pointed out the WSJ article, the fact I had no position, and all I did was quote someone else. My response was very short. I was “convicted” in absentia for failure to show up at the witch hunt tribunal.
What a farce. They lost money on this. I will never pay a dime, nor will I ever travel to France.
Mish
Mish, think yourself fortunate for living in the US. In EU influence is used opaquely across jurisdictions. There is a competition to power and position from different authorities in different countries and an EU doctrine of ‘cooperation’ which overides national responsibility and proper legal procedure, and permeates the traditional securities. Truly atrocious.
French Industry has heavily invested in automation over last 40 years because of insanly costly labor rules. French factories have automated production processes which are thought to be labor intensive in rest of advanced economies.
It’s quite amazing to visit even mid sized French factories and see incredible capital equipment for tasks which in the US would be entirely done by humans. with minimal tools.
French businessmen are extremely nationalistic, so the latest round of industrial action is unlikely to accelerate off shoring.
However, this foolishness will certainly lead to accelerated automation throughout the country. Every French Plant Manager worth his salt has a wish list of automation projects sitting on the shelf just waiting to be submitted to higher ups.
it’s tragic because French Engineering & Operations talent is first rate
Oh no! What will happen if the Border Guards go on strike?
Oh right Nothing
Except for the ones on the lookout for Mish there aren’t any.
Mish….international criminal and subversive!
“…. we’re in this together.”
France is third world with a third world living standard because the French abhor work.
Hollande is awarded the title ‘World statesman of the year’
http://www.lefigaro.fr/flash-actu/2016/05/25/97001-20160525FILWWW00395-hollande-designe-homme-d-etat-mondial-de-l-annee.php
When I lived in France I missed our flush toilets, drinkable tap water, competent physicians and dentists, ethics, newspaper delivery, and democracy.
French unions pushing for Brexit.
Here’s the solution:
http://www.engadget.com/2016/05/25/foxconn-replaces-60000-humans-workers-with-robots/
A packet of grand cru Bordeaux would be most acceptable.
Verizon wireline workers still on strike:
http://inthesetimes.com/working/entry/19142/the_verizon_strike_isnt_just_about_wages_and_benefits._it_is_about_power_an
“Look, if Verizon has its way, it will break the union and turn this into a twenty-dollar-per-hour job with no retirement and little or no health care . . . We’re not asking for some huge raise here we just don’t want to keep giving everything away. They want to reduce our retirement, raise our health care costs, or make this job so miserable that the well-paid people leave. We just want to keep our decent jobs but I don’t know if we’ll be able to. We are trying to stop the bleeding but I don’t know if this job has a future for my children in twenty years. I don’t know if they can live in a decent way.”
Translation: Who moved my cheese?
Millions of people are dropping land line service. Soon there will be enough LTE bandwidth that many won’t need wired broadband either. The copper plant is worth more in the scrapyard than in the ground. Fiber is better, but you’re going to be beaten up by lower cost competitors every step of the way.
Mish – as the One Worlder’s double down and gain more influence, that (facially) void judgement will probably be honored as legal and reciprocal by the United Socialist States of Amerika subdivision of the One World Order for $100 Large or so.
Please file a case in a local court to vacate that void judgement which is in violation of your own state’s constitutional freedom of speech protections. If you just ignore them you are acquiescing to their “claim”, false or not, and admitting both jurisdiction and wrongdoing. French “Law” is mere written whim, insane by definition.
But under anglo saxon law, you will find NO ONE can provide witnesses or admissible evidence that ANY law applies to you. Just check out Marc Stevens podcast for innumerable examples. My own avoided 30 years in the big house. Resolve it.
Follow his advice Mish. You would not know or believe how these people go about ‘their business’. You will feel a whole lot better for doing so I think.
Well here’s hoping the nuclear power plant strike activities have no further consequences. Somehow “Pierre and his team say they’re sorry, but blame the union” wouldn’t seem like enough. Optimism: Pierre and his family live near the plant, and care deeply for its welfare.
Why not just arrest the protesters, fire a lot of the rest. Hire in immigrants and complete the transition.
Sounds like like frogland needs a bit more “liberte, egalite, fraternite”.
Thursday live coverage:
http://www.lefigaro.fr/economie/2016/05/26/20003-20160526LIVWWW00018-en-direct-greve-blocages-raffineries-depot-carburant-penurie-centrales-nucleaire-loi-travail-valls-hollande-force-de-l-ordre.php
In france workers can be requisitioned.
If they refuse, then it is 6 months jail and 10 000 euros fine.
https://www.legifrance.gouv.fr/affichCodeArticle.do?cidTexte=LEGITEXT000006070633&idArticle=LEGIARTI000006390225&dateTexte=&categorieLien=cid
Pretty rich, an ‘investment advisor’ throwing in his views on other people”s working lives. At least the French aren’t willing to be slaves. Anyone from the good old USA has a neck of brass to criticise at all. ‘Land of the free and home of the brave..’
You’re having a laugh.
As for your occupation and your views, the world would be a better, happier and wealthier place if the financial sector disappeared.
Fleas on fleas on dogs…parasitically creaming off vast sums of wealth without creating anything, other than jobs for the boys and a tremendously good living for themselves.
Reblogged this on The Most Revolutionary Act and commented:
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Workers striking over illegal (Hollande imposed the law without parliamentary approval) cause French wheels of commerce to grind to a halt.