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FACTBOX: Reasons behind wave of French strikes

PARIS
Wed Nov 14, 2007 8:44am EST

PARIS (Reuters) - French transport and energy unions took strike action on Wednesday to protest against a reform of the so-called "special regime" pension schemes enjoyed by a minority of state sector workers.

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Following are the main details of these schemes and how the government wants to reform them, as well as union grievances which lie behind industrial action planned for other sectors later in the month.

REFORM OF SPECIAL PENSION SCHEMES

* Around 500,000 workers in state-controlled companies are eligible for the "special regime" pension system and about 1.1 million pensioners already benefit from it. Only about 6 percent of pensions fall under the special regimes that allow the beneficiaries to retire after 37.5 years worked, against 40 years for other public and private sector employees.

* The government says the cost to the budget this year of these pensions is about 5 billion euros ($7.33 billion).

* The special regimes were introduced after World War Two to reward people engaged in dangerous or difficult work or those vital to the reconstruction effort. They include workers at the SNCF national railway, EDF electricity producer, miners, senators and parliamentary deputies.

* The government wants to bring those pensions in line with pensions for other workers by making the beneficiaries save for longer.

* The reforms would also bring the special regimes in line with others pensions by linking their retirement payouts to an index of consumer prices instead of tying them to wage deals negotiated by the unions.

OTHER REASONS FOR UNION DISCONTENT

* A merger between the national employment agency ANPE and UNEDIC, the agency that pays out French unemployment benefits.

* The government's plan to cut nearly 23,000 civil service jobs next year.

* Rising health care costs.

* A new law to ensure minimum service during strikes which comes into effect next year.

* Plans to reform the overall pension system.



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