CRISIS IN FRANCE

Press, Volume XCVI, Issue 28415, 23 October 1957, Page 13

CRISIS IN FRANCE

Government

Not Formed (N.Z. Press Association—Copyright) (Ree 11 p.m.) PARIS, Oct. 22. e Pre sident of France (Mr Rene Coty) will see the Socialist and Conservative leaders. Mr Guy Mollet and Mr Antoine Pinay. today in a fresh attempt to bridge the differences between the two parties and achieve a solution of the political crisis, now three weeks old. Mr Robert Schuman. the Popular Republican (Catholic) leader, the fourth prospective candidate for the Premiership, refused yesterday to attempt the task. In a confidential report to the President on the financial situation. Mr Schuman said, according to usually well-informed sources, that further taxation couid not be avoided. Banking circles think a further change in the present dollar value of the franc may also beco-me necessary shortly. Efforts to freeze price and wage levels are now considered by the exnerts to have failed. Mr Schuman's report proposed a 2 per cent, increase in • the national minimum wage in recognition of the rise in the cost of living. The financial situation has dominated the political consultations of the .present crisis, although the Government fell on the Algerian question. Mr Mollet’s policy is to freeze nrices and raise more taxation Mr Pinay’s policy is to unfreeze prices and do without fresh taxation. Both the Algerian problem and the financial problem require time for their solution and therefore rail for a government which can count on at least a year of office. Industrial Discontent Meanwhile, industrial discontent in France is growing. Trade unions in various branches of industry have announced plans to stage strikes for more pay. coinciding with a 24-hour warning railway strike cal’ed for Friday. This comes less than a week after a 24-hour strike by electricity and gas workers which almost. paralysed the whole country. The Communist-led Civil Servants’ Union has called on its members in Paris and the provinces to make every effort today to draw attention to their discontent. by all means, including stoppages of work.