Slovenian metal workers strike for higher wages

LJUBLJANA Nov 13 (Reuters) - Around 30,000 employees in some 120 metal products producers in euro zone member Slovenia went on strike on Friday, demanding a 40 percent rise of minimum wages to offset growing poverty.

Some 5,000 employees of the country's second largest exporter, household appliances maker Gorenje (GORE.LJ), also joined the strike. Gorenje declined comment on how that would impact its business.

"Over the past year, poverty has increased and people are on the edge. We therefore expect this strike will result in negotiations which will lead to higher wages," Lidija Jerkic, head of the Trade Union of Metal Workers (SKEI), told Reuters.

SKEI demands that the minimum net monthly wage in the sector rises to 600 euros from 431 euros now, and that SKEI members get a one-off bonus of 150 euros to fight poverty.

The Chamber of Commerce said earlier this month that such an increase would threaten about 74,000 jobs in the country as it would reduce the competitiveness of many companies.

Trade unions plan a protest rally in the capital Ljubljana on November 28 to demand higher wages and voice opposition to the government's plans to raise the retirement age to 65 from 58.

Labour unrest has been relatively uncommon in Slovenia but increased significantly this year after the country was hit by the global crisis, with its economy expected to shrink 7.3 percent in 2009.

Unemployment rose sharply in the past year to reach 9.4 percent in August and is expected to continue rising in 2010 and early 2011.

Gorenje workers already staged a two-day strike in September after which the management agreed to raise the minimum wage to 540 euros a month.

Shares in Gorenje fell 2.1 percent to 13.5 euros on Friday, while the blue-chip SBI index .SBI gained 0.36 percent. (Reporting by Marja Novak; editing by Jon Loades-Carter)