MercoPress. South Atlantic News Agency

Lula faces first strike

With only six months in office Brazilian president and former union leader Luiz Inacio Lula da Silva faces his first national strike following federal government employees' decision to cease activities in protest against the proposed reform to the pension system.

The indefinite work stoppage could bring Brazil to a standstill since it involves from Customs staff and tax collectors to the Federal Police and the whole education system.

The strike was called by the Coordinated Entities of Federal Employees who oppose the pension review proposal, that together with the tax reform are considered by President Lula da Silva as the "two main bills to ensure Brazil's development".

"We expect 40% of the almost 800,000 federal employees to comply with the strike", indicated Gilberto Cordeiro Gomes chairman of the Confederation of Federal Public Service Workers, one of the several unions of the Coordinated Entities.

The proposed reform targets some of the privileges of the federal civil service, including contributions from pensioners with the hope of balancing the almost broke system.

Brazilian federal civil employees can retire at the age of 48 and 53, (women and men), and receive in money a higher pension than their last salary since no contributions are deducted. Besides, after retirement they can take a second federal job, meaning that at the moment over 20,000 retired federal employees have greater incomes than Mr. Lula da Silva himself.

"We want federal employees to pension at a more fair age, like in other countries. If we don't make these decisions now, the whole federal budget will be at stake", said Social Security Minister Ricardo Berzoni.

The Lula administration has offered negotiations but the Confederation of federal employees refuses until the proposal is repealed.

Mr. Lula da Silva has gone twice on national television requesting solidarity from federal employees and cabinet ministers have sent personal letters to every federal employee explaining the reasons for the reform.

However recent history indicates that all previous Brazilian governments have failed in their attempts given the radical and sometimes furious reaction from federal government staff. Actually dissident members of Mr. Lula da Silva's Workers Party recovered several videos where he's seen actively promoting opposition to reforms when he was in the opposition.

Last week President Lula da Silva in a passionate interview said that "only God" could stop him going ahead with the pension and other reforms, a statement that was widely criticized both by Congress and the Justice branch. After all if he manages to twist the federal employees' arm he still has a long negotiation with Congress and even with the Judges of the Supreme Court who could ultimately consider the bill an attempt to curtail or disavow "acquired rights".

"We've followed Lula for over thirteen years, but since becoming president he's stabbed us in the back", said Joao Sobral president of the Federal Police Association of the state of Bahía.

Not a very promising scenario for Mr. Lula da Silva who's untouchable aura seems to have begun to erode.