Italian unions strike against reforms

Rome - Two major Italian unions held a nationwide strike on Friday, the latest in a series of protests against Prime Minister Matteo Renzi's plans to overhaul labour laws and make it easier for firms to lay off workers.

Renzi, facing resistance from both unions and some in his own centre-left Democratic Party, has pledged to push on with reforms to Italy's limping economy, which is heading for a third straight year of contraction.

Nothing to revive growth

The main target of Friday's demonstrations was the 39 year-old premier's "Jobs Act", aimed at loosening restrictions on firing employees when companies face a business downturn and weakens a treasured right to protest unlawful dismissal.

With unemployment at record levels and youth jobless rates topping 40%, unions say the burden of the reforms and spending cuts is being placed unfairly on workers and will do nothing to revive growth.

"The government has to change its policies on employment," Susanna Camusso, head of the CGIL, Italy's largest union, said. The Jobs Act and the budget do nothing to revive the economy and create jobs."

Faster action

With pressure growing on Italy to meet European Union deficit and debt targets, Renzi's progress is being monitored by EU partners.

Both the European Commission and German Chancellor Angela Merkel have pushed for faster action from Rome.

The strike by CGIL and UIL unions hit public transport as well as hospitals, schools and civil administrations throughout Italy. More than 50 rallies were planned across the country.