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Thursday, July 9, 1998

Russia defence workers join striking miners

EXPRESS NEWS SERVICE  
MOSCOW, July 8: Thousands of workers of defence enterprises across Russia today joined the striking coal miners who blocked freight trains on the Trans-Siberian Railway for the sixth consecutive day, aggravating the already difficult economic situation that has caused President Boris Yeltsin's approval rating to slump to a mere three per cent.

Much as the coal miners, the workers of Russia's Military-Industrial Complex (MIC), have not been paid their salaries for months. According to the official figure, the Government owes defence enterprises about $ 3 billion in debts accumulated from 1994 through 1997.

On Wednesday, hundreds of defence workers, representing about 200 defence workers' collectives, held demonstration at the Defence Ministry, at Arabat Square in Moscow, demanding the resignation of Yeltsin along with their back-wages, in some cases for more than a year.

The joining of hands of defence enterprises' workers with the striking coal miners has only aggravated the economic crisis, with thefinancial markets once again approaching a meltdown this week, threatening devaluation of the rouble.

Today, the popular governor of Kemerovo region, Aman Tuleyev, made a desperate appeal to Yeltsin to personally intervene to urgently solve the problem of the payment of back-wages to striking coal miners. The Government owes $ 600 million in back-wages.

Despite the miners' decision yesterday to start negotiations with the Government commission on the payment of back-wages, the stalemate continues.

The blockade continues, disrupting dozens of freight trains that prompted calls of alarm in the chemical and metallurgical industries around the country.

Deputy Prime Minister Oleg Sysuyev said, the Government would not negotiate with the miners until they unblock the railway.

The latest round of blockade comes in less than two months after abandoning a similar blockade in May, when the Government promised to pay up to six months of wage arrears. But the coal miners accuse the Government of reneging onthat agreement and failing to pay $ 250 million it pledged to the Kemerovo region.

Yeltsin's embattled Prime Minister Sergei Kiriyenko has reiterated confidence that his anti-crisis programme will soon be approved by the Opposition-dominated State Duma.

In the past weeks, Yeltsin has voiced fears of political and social upheavals if the Government fails to resolve the current financial crisis, threatening economic collapse.

He has also issued veiled threats to dissolve parliament if it doesn't pass the anti-crisis programme before its summer recess from July 16. The austerity measures are expected to fill a budget gap and help the Government to win a $ 10-15 billion emergency package from the IMF to stabilise the rouble.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.


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