FINANCIAL MATTERS: Labour’s politics

The main threat from labour’s call to arms last week, was the likely disruption to economic activity from a three-day strike. Given the parlous state of the economy, it did appear badly behaved for any one or group of persons operating in the country to want to add the loss of three days work to an already poor balance sheet. A moribund organised private sector also meant that the burden of labour’s call to arms was going to be borne disproportionately by the informal economy. The crisis in the banks had cost a goodly number of jobs. Dry loan taps, also meant that the real sector hasn’t provided any new jobs. Understandably, the burden of the strike’s success fell to the road transport sub-sector and to a public service remarkable more for its ability to levy distress on economic growth than to catalyse growth. There was thus concern ahead of the strike that it might turn out no better than a damp squib. Besides, there was evidence of government bending over backwards to do labour’s bidding on this number.
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