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Sarkozy aims to head off unrest Sarkozy aims to head off unrest
(about 2 hours later)
French President Nicolas Sarkozy is to hold a special meeting with labour unions and employers to try to calm mounting economic unrest. President Nicolas Sarkozy has proposed tax breaks and benefits to help French people cope with the economic crisis.
The measures were announced as he met labour unions and employers to try to calm mounting economic unrest.
With his popularity ratings at an all-time low, the meeting is seen as a crucial one for President Sarkozy, correspondents say.
In January more than a million people marched in protest at the government's handling of the economic crisis.In January more than a million people marched in protest at the government's handling of the economic crisis.
And the unions have called for another general strike on 19 March.And the unions have called for another general strike on 19 March.
With his popularity ratings at an all-time low, this meeting is seen as a crucial one for President Sarkozy, with the unions demanding more action. Despite having put in place a 26bn euro ($33.1bn; £23.5bn) stimulus package for France's struggling economy, the unions are demanding the French leader concentrate less on rescuing ailing big businesses and banks, more on protecting the jobs and wages of the ordinary worker, says the BBC's Emma Jane Kirby in Paris.
Despite having put in place a 26bn euro ($33.1bn; £23.5bn) stimulus package for France's struggling economy, the unions are demanding the French leader should concentrate less on rescuing ailing big businesses and banks, and instead should do more to protect the jobs and wages of the ordinary worker. Fear of unrest
On Wednesday he unveiled proposals for tax breaks and social benefits he said were worth up to 2.65bn euros (£2.3bn).
They include increased benefits for workers made redundant, training programmes, and expanding a voucher scheme to pay for child care, domestic help and home studies.
But Mr Sarkozy did not agree to raise the minimum wage, as some union leaders have called for.
And he has already ruled out reversing key reforms such as plans to slash thousands of public sector posts.
Earlier this week one of the president's closest advisers told a French newspaper that there was a serious risk that outbreaks of anger such as the riots seen in Greece last year could also happen in France.Earlier this week one of the president's closest advisers told a French newspaper that there was a serious risk that outbreaks of anger such as the riots seen in Greece last year could also happen in France.
The government is also keen to avoid a repeat of the prolonged general strikes of 1995 which crippled France and prevented its then-leader, Jacques Chirac, from carrying out reforms. The government is also keen to avoid a repeat of the prolonged general strikes of 1995 which crippled France and prevented its then-leader, Jacques Chirac, from carrying out reforms, says our correspondent.
President Sarkozy hopes to calm the volatile situation by announcing a wide range of measures, including tax cuts for lower-income families and an increase in unemployment benefits.
But he has already ruled out reversing key reforms such as plans to slash thousands of public sector posts.