France's government has rejected a commission proposal to cut 9,000 km of regional routes from France's rail system as a money-saver. Instead, the prime minister announced, the trains will run, the government will deal with SNCF's massive debt, and railroad workers will no longer have special status.
SNCF, the national rail operator, has lost money for years, while providing critical service to many areas that would be isolated without rail service. He told a press conference that "In many territories, railway is at the heart of the regions' strategy for developing mobility."
But he didn't dismiss growing complaints about dismal service in some areas. "The situation is alarming, not to say untenable," he said. "The French, whether they take the train or not, pay more and more for a public service that works less and less well."
SNCF's debts come from operating losses and construction cost for new TGV lines, and from pension obligations for railroad workers who, since the 1920s, have had special pay and retirement rules, including the right to retire at age 52. The debt is now in the range of €45-50 billion.
Without being very specific, the prime minister said that the state would "take its share of responsibility" and see that the debt is paid off before the end of Pres. Macron's term. But he was quite specific that while current rail workers would keep their conditions, all new employees would be hired under France's newly-revised-by-Macron labor code. That change will come by July..
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