Breaking News
Investing Pro 0
🚨 Our Pro Data Reveals the True Winner of Earnings Season Access Data

Pushed by transport strike, Spanish businesses weigh furlough schemes

Commodities Mar 23, 2022 01:21PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
2/2 © Reuters. A fishing vessel passes a truck amid soaring fuel and operating costs and a transport strike in the Basque port of Ondarroa, Spain, March 23, 2022. REUTERS/Vincent West 2/2

By Horaci Garcia and Christina Thykjaer

MADRID (Reuters) - Furlough schemes may need to be introduced if a transport strike that is creating shortages of fresh produce continues, Spanish retail and food industry associations warned on Wednesday, cranking up pressure on the government to find a solution.

The strike has spread since a loose group of drivers and small truck owners began blocking roads and ports last week in response to soaring fuel costs that have been exacerbated by Russia's invasion of Ukraine.

Three major transport associations joined the walkout after the government proposed a 500 million euro ($550.45 million) aid package on Monday that drivers quickly dismissed as insufficient to offset soaring diesel prices.

"As the strike lengthens it is clear that there will be no choice but to use this (furlough) tool," Jose Maria Bonmati, head of the AECOC business association, told a press conference.

Long columns of trucks crawled down Spanish highways on Wednesday and, in a sign of the unease spreading to other sectors, Barcelona taxi drivers joined the protest.

"I have no idea if it's the war...Prices had already started to rise before," said Tito Alvarez, a spokesperson for the Elite taxi union. "What cannot be (however) is that a taxi driver goes out into the streets and it costs him money to work."

Most of Spain's fishing fleet also suspended operations ahead of a meeting with Fisheries Minister Luis Planas later on Wednesday.

"We need 24,000 euros per week for fuel, and if the boat is making around 30 or 34,000, it's not worth it as there is insurance and other things to pay," said Ramon Alonso Maneiro, a fisherman in the Basque port of Ondarroa.

Spain's main business association, CEOE, urged the government to clarify its plans to tackle rising energy costs and end the blockades, which have forced some companies to partially halt production and led to shortages of some products.

"It is difficult to understand...why more forceful and swift action has not been adopted," it said, arguing that France, Italy and Portugal had already announced measures.

Acknowledging some shortages, retailers said food supplies were guaranteed and urged consumers not to panic buy, while pressing authorities for a solution.

With tensions rising, the government has called a meeting with transport associations on Thursday.

Pushed by transport strike, Spanish businesses weigh furlough schemes
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.
  • Any comment you publish, together with your investing.com profile, will be public on investing.com and may be indexed and available through third party search engines, such as Google.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email