Spanish labour talks deadlocked

Important talks between Spanish unions and business to overhaul rigid labour laws have hit trouble just one month after starting, with unions branding a proposal over the sacking of young workers a provocation. Investors are monitoring the talks to see if Spain can find a way to make itself more competitive and cut its unemployment figures, which is running close to 20 per cent, given the traditional measure of devaluation is unavailable due to membership of the euro.