Chirac backs PM on youth work law

France: French president Jacques Chirac yesterday backed his prime minister in a confrontation over a new youth employment law…

France: French president Jacques Chirac yesterday backed his prime minister in a confrontation over a new youth employment law, urging unions and students to enter constructive talks on the measure rather than threaten strikes.

Buoyed by protests at the weekend that organisers said brought 1.5 million people on to the streets nationwide, union leaders set a deadline of last night for the government to withdraw or suspend the so-called First Job Contract (CPE) law.

A member of the Sud-PTT union was critically ill and in a coma yesterday after being injured in clashes with police that followed Saturday's march through Paris, the union said, in an announcement likely to inflame supporters of the CPE protests.

Prime minister Dominique de Villepin has shown no signs of backing down over the law, which allows employers to fire people under 26 for any reason during a two-year trial period.

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Mr Chirac said the CPE showed the government's willingness to fight youth unemployment, which stands at 23 per cent in France, more than twice the national rate.

"The challenge . . . is to open a constructive and confident dialogue in this spirit which can allow improving the CPE," he told a news conference with Jordan's King Abdullah.

"I know this is the prime minister's and the government's willingness and I can only approve of it," he said.

Mr Villepin, whose popularity has slumped in recent weeks, chaired a meeting with company bosses and ministers earlier to discuss the importance of creating jobs for young people and later met students.

"I have come to listen to them and hear their concerns and discuss the different propositions that could be made for improving the First Job Contract Law," Mr Villepin said before the meeting.

Student groups and union leaders say the CPE would create a generation of disposable workers without job security and union leaders were due to meet last night to decide on their next move, with Thursday cited as a possible strike date.

Business leaders who met Mr Villepin said he stood firm on the law but was seeking discussions.

Police clashed with protesters in a suburb outside Paris yesterday and more student rallies are planned for today. - Additional reporting by Paule Bonjean