Hungary: Rail Union Calls for Indefinite Strike

14.07.2008 (14:44)

One of Hungary's largest railway unions called for an indefinite strike from Monday in protest against the government's rejection of its pay demands.

Trade union VDSZSZ, one of six rail unions, said on Sunday it wanted a fresh 10 percent wage increase on top of the 6.9 percent already awarded for 2008, as well as a one-off 250,000 forint ($1,525) payout to each of Hungary's 35,000 railway workers from the privatisation of the company's cargo unit.

State-owned railway firm MAV is Hungary's largest employer and has tens of billions of forint in losses every year, forcing the government to bail out the company regularly.

The union already held several strikes earlier this year, but suspended them in March as it negotiated with the government, which has repeatedly said it will not meet any of the union's demands.

The former communist country's trade unions have lost most of their power over the past decade and the rail unions are among the few left with any significant following, Railway Market-CEE Review reports.