Unions have not ruled out strikes over pension cuts

TUC General Secretary Brendan Barber said this was the issue on which the big unions were most united.

But he vowed the campaign against "deep and rapid" spending cuts would go on, with a mass protest on 26 March.

Ministers have not ruled out new laws to prevent co-ordinated strikes as a "last resort".

Cabinet Office Minister Francis Maude said any "general strike" would, in any case, be illegal.

He said the government wanted a dialogue with unions but they had to recognise that public spending had to be reduced, he added.

'Huge event'

Mr Barber said: "No one is talking about a general strike, but of course these attacks on our members could well give rise to industrial action around specific disputes.

"Today's meeting showed a clear determination for unions to work together on industrial issues including, as a last resort, industrial action when members support it."

He said the government had agreed to talks with unions over the future of public sector pensions and ministers had "now accepted that they will not force through changes in the March budget".

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Union leaders may talk tough over strikes but privately they know the risks are huge.

However angry their members may feel, union bosses are acutely aware that in hard times low-paid workers will be very wary of losing money by coming out on strike.

There is a fear too of the likely media and public reaction, and a recognition any campaign of industrial action could simply alienate public opinion.

The legal difficulties in calling strikes are also immense and risk playing into the government's hands by paving the way for fresh anti-union legislation.

Despite all that, the leaders of most of the big public sector unions believe they have no option if they are to show the government they are serious. To quote Mrs Thatcher, they believe "there is no alternative".

But he added: "These will be difficult negotiations as public service workers will not allow their pensions to be hammered. We hope that the talks can make progress, but we cannot rule out industrial action taking place on this issue."

He said the planned demonstration in London on 26 March - three days after Chancellor George Osborne's budget - will be "a huge event at which the British people will come together to show their opposition to the government's chosen course".

Some sources have predicted a campaign of strikes beginning in the spring - but that now appears less likely after the TUC negotiated an agreement with ministers to hold off implementing any changes until June.

Some smaller unions are calling for a more cautious strategy designed to build support among other groups, such as charities, who are affected by the cuts.

'Debt legacy'

Mr Maude told the BBC that public sector workers were not to blame for the UK's budget deficit but spending did need to be cut.

"We want to engage with the unions, and we are doing so, to try and get the best result for their members," he told the BBC. "We do not want a political fight with the unions and some union leaders are sounding as if that is what they want.

"We want to engage to get the right outcome for all taxpayers that is fair for future generations so they do not have to bear these terrible costs of Gordon Brown's debt legacy."

The prospect of further industrial action has led some senior Tory figures, including Mayor of London Boris Johnson, to call for changes to trade union law to ensure that strike ballots can be lawful only if 50% of union members take part.

Mr Maude downplayed this possibility but did not rule it out.

"We think the laws work pretty well as they are and any changes to the law would be very much a last resort," he said.

The issue has risen up the political agenda following a series of high-profile strikes, including walkouts by London Underground staff and refuse collectors working for Birmingham City Council.

Unions have not ruled out strikes over pension cuts

TUC General Secretary Brendan Barber said this was the issue on which the big unions were most united.

But he vowed the campaign against "deep and rapid" spending cuts would go on, with a mass protest on 26 March.

Ministers have not ruled out new laws to prevent co-ordinated strikes as a "last resort".

Cabinet Office Minister Francis Maude said any "general strike" would, in any case, be illegal.

He said the government wanted a dialogue with unions but they had to recognise that public spending had to be reduced, he added.

'Huge event'

Mr Barber said: "No one is talking about a general strike, but of course these attacks on our members could well give rise to industrial action around specific disputes.

"Today's meeting showed a clear determination for unions to work together on industrial issues including, as a last resort, industrial action when members support it."

He said the government had agreed to talks with unions over the future of public sector pensions and ministers had "now accepted that they will not force through changes in the March budget".

---

Union leaders may talk tough over strikes but privately they know the risks are huge.

However angry their members may feel, union bosses are acutely aware that in hard times low-paid workers will be very wary of losing money by coming out on strike.

There is a fear too of the likely media and public reaction, and a recognition any campaign of industrial action could simply alienate public opinion.

The legal difficulties in calling strikes are also immense and risk playing into the government's hands by paving the way for fresh anti-union legislation.

Despite all that, the leaders of most of the big public sector unions believe they have no option if they are to show the government they are serious. To quote Mrs Thatcher, they believe "there is no alternative".

But he added: "These will be difficult negotiations as public service workers will not allow their pensions to be hammered. We hope that the talks can make progress, but we cannot rule out industrial action taking place on this issue."

He said the planned demonstration in London on 26 March - three days after Chancellor George Osborne's budget - will be "a huge event at which the British people will come together to show their opposition to the government's chosen course".

Some sources have predicted a campaign of strikes beginning in the spring - but that now appears less likely after the TUC negotiated an agreement with ministers to hold off implementing any changes until June.

Some smaller unions are calling for a more cautious strategy designed to build support among other groups, such as charities, who are affected by the cuts.

'Debt legacy'

Mr Maude told the BBC that public sector workers were not to blame for the UK's budget deficit but spending did need to be cut.

"We want to engage with the unions, and we are doing so, to try and get the best result for their members," he told the BBC. "We do not want a political fight with the unions and some union leaders are sounding as if that is what they want.

"We want to engage to get the right outcome for all taxpayers that is fair for future generations so they do not have to bear these terrible costs of Gordon Brown's debt legacy."

The prospect of further industrial action has led some senior Tory figures, including Mayor of London Boris Johnson, to call for changes to trade union law to ensure that strike ballots can be lawful only if 50% of union members take part.

Mr Maude downplayed this possibility but did not rule it out.

"We think the laws work pretty well as they are and any changes to the law would be very much a last resort," he said.

The issue has risen up the political agenda following a series of high-profile strikes, including walkouts by London Underground staff and refuse collectors working for Birmingham City Council.

Students and TUC set to join in city protests

Protests are due to be held in London and Manchester against rising student tuition fees and public spending cuts.

The National Union of Students and TUC are joining forces for a march and rally in Manchester.

In London, there is likely to be a heavy police presence as protesters march through Trafalgar Square and Whitehall before gathering at Millbank.

Officers will hand out leaflets telling demonstrators what actions will be taken if violence breaks out.

Last month, MPs voted to raise tuition fees in England to up to £9,000 a year.

Ministers say increasing tuition fees is essential to secure the future of the universities.

In Manchester Sally Hunt, general secretary of the University and College Union, will accuse ministers of prioritising billions of pounds in tax breaks for business as they triple the cost of university and axe funding for college students and help for the unemployed.

"From sacking lollipop ladies and closing youth clubs to axing college grants and trebling tuition fees, this is a government at war with our young people and therefore at war with our future," she will say.

"It is betraying an entire generation."

TUC assistant general secretary Kay Carberry will tell the rally that young people should not pay the price for the government's "reckless gamble" with the economy.

Ms Carberry will say: "In the City, bankers are popping champagne corks and celebrating their bonuses.

"It's business as usual for them, while young people up and down Britain are being forced to pick up the tab for a financial crisis and recession that they didn't cause."

'Degree of anger'

Saturday's rallies will be the latest in a series of demonstrations by students.

On the day MPs voted to raise fees, there were angry scenes on the streets of London as thousands of students marched through the capital.

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I am very confident this'll be an entirely peaceful demonstration”

End Quote Brendan Barber TUC general secretary

TUC general secretary Brendan Barber says he is not expecting a repeat on Saturday.

"I am very confident this'll be an entirely peaceful demonstration," he said.

"But I don't think that means we can't get across very powerfully the degree of anger there is about these terribly damaging changes the government are trying to force through."

Employment Minister Chris Grayling said the trade unions needed to understand that the youth unemployment challenge facing this government was a "direct consequence of the failings of Labour".

"We have inherited a legacy of 600,000 young people who have never worked since leaving school or college," he said.

"We think young people deserve better - that's why we're investing in apprenticeships to create long-term jobs and are developing work experience opportunities so that young people get the skills and experience they need to successfully compete in the labour market."

Osborne Unions are 'forces of stagnation

The Chancellor has said he is as determined to fight "the forces of stagnation", including the unions, as he is to tackle the budget deficit.

George Osborne told BBC News he vowed to reshape the British economy and to be "bold" promoting economic growth.

But he accused the unions and Labour of standing in the way of efforts to get the economy moving again.

The unions have refused to rule out co-ordinated strike action over cuts to public sector pensions.

Following talks between the leaders of biggest unions at the TUC earlier, TUC General Secretary Brendan Barber said: "No-one is talking about a general strike, but of course these attacks on our members could well give rise to industrial action around specific disputes."

Squeezed families

The government has also stressed that it wants to continue talking to the unions - but has not ruled out new laws banning co-ordinated strike action as a "last resort".

Mr Osborne, speaking to BBC Economics Editor Stephanie Flanders at the World Economic Forum in Davos, rejected union calls to change course following this week's "disappointing" growth figures.

"If we did that we would be plunged back into where we were a few months ago with people raising very serious questions about Britain's ability to pay its way in the world, and that will provide no platform for growth going forward," he said.

He said he was "acutely aware" that British families were feeling the squeeze over rising prices - and again refused to rule out curbs on fuel duty increases in his March budget.

But he said the UK economy had to be rebuilt with less emphasis on financial services and more on business investment and exports - and he claimed there were signs this was starting to happen.

"We have got to be as bold in promoting growth and removing barriers to business expansion, and fighting the forces of stagnation, as we have been in dealing with the deficit," he said.

'Stagnation'

But he said governments were being held back by people who oppose efforts to "create more competitive markets".

In the UK, the trade unions and opposition had opposed "controversial" changes to employment tribunals, he said, and were opposed to other "difficult" decisions aimed at promoting growth.

"I regard these people as the forces of stagnation, when we are trying to get the British economy competitive again, moving forward again."

Prime Minister David Cameron earlier vowed to "see through" the government's plan for deep spending cuts despite fears of their impact on economic growth.

He said cutting the deficit would be "tough" but the economy would "bounce back" if the UK stuck to its course.

Labour have accused ministers of "arrogance" for proceeding with what they say are £20bn of cuts this year.

After figures released earlier week showed the UK economy contracted by 0.5% in the last three months of 2010, Labour leader Ed Miliband said the government's cuts were "hurting but not working".

The coalition has been accused of lacking a "pro-growth" strategy, with outgoing CBI boss Sir Richard Lambert saying key decisions affecting business had been taken for political reasons and there was a "lack of vision" about the long-term shape of the economy.