Titan Tires CEO Starts Workers Row in France
ANDERSON: You're watching Connect the World. I'm Becky Anderson out of London for you. These are world news headlines. South Africa's police force remove the lead investigator from the murder case against Olympian Oscar Pistorius. Now prosecutors reinstated attempted murder charges against Hilton Botha for a shooting incident several years ago. Now Pistorius remains in jail ahead of his bail hearings resuming on Friday and we just got this statement from the Pistorius family just moments ago, quote, "Oscar Pistorius and his family fully respect the bail hearing process and the sequence of events leading up to this point." It goes on to say, "our hearts and thoughts are with the family of Reeva Steenkamp during their time of bereavement." A powerful car bomb rocks the center of Damascus killing at least 53 people. It detonated at a checkpoint near the headquarters of Syria's ruling party. So far there has been no claim of responsibility. Well, two bomb blasts hit the southern Indian city of Hyderabad killing at least 12 people earlier today. Authorities say the bombs were planted on bicycles passing a crowded area. The city's police commissioner says terror involvement can't be ruled out, but refused to identify any group as a suspect. Well, the boss of U.S. tire producer Titan International seems to have offended the whole of France. Maurice Taylor's response to the French government about potentially buying a struggling factory, well it's ignited a fire storm. Have a listen to this. Taylor sent a letter to France's industry minister saying, and I quote, "how stupid do you think we are? The French work force gets paid high wages, but works only three hours. They have one hour for their lunch breaks and lunch, talk for three and work for three. When I told this to the French union workers to their faces they told me that is the French way." Well, the minister wasted no time in replying. He called the comments extremist and insulting. And he pointed out that Taylor's U.S. company is 20 times smaller than the French tire giant Michelin and 35 times, in fact, less profitable. Well, French unions chimed in, in what is fast becoming a war of words.</s>MICKAEL SEMEDO, UNION DELEGATE (through translator): We won't stand for being insulted like this. We will retaliate, that's not a problem. Mr. Taylor, he will learn that in France we don't insult people like they do in other countries.</s>LAURENCE PARISOT, HEAD OF MEDEF EMPLOYERS' UNION (through translator): He generalizes it to the functioning of all the companies in France and to the whole of France basically. And this generalization is shocking.</s>SEMEDO (through translator): Mr. Taylor, saying he will pay a euro an hour to Chinese workers to give us crappy products, excuse my language, but crappy products for our French farmers, I'd like to see that.</s>ANDERSON: Well, this has put France's work ethic back in the spotlight. The country is well known in Europe for its 35 hour working week. And there are worries that slow business activity there could drag the EuroZone into a fourth quarter of recession. Well, earlier I asked Richard Quest, my colleague, if France -- if he thinks at least, that France is really what is holding back the EuroZone.</s>RICHARD QUEST, CNN INTERNATIONAL CORRESPONDENT: There is the very real possibility that the slowdown in France could overhang, if you like, those countries that are growing faster. Look at the way and think of it as this, they -- both of these countries, Germany and France, vital cogs in the EuroZone economy. The problem is Germany is moving fast, it's just down a little bit, but it's still growing at 52.7, still growing, whereas France is 42.3. The economy is contracting. And the risk, of course is, that France slows the whole thing down to a stop.</s>ANDERSON: So those numbers being what? Remind us?</s>QUEST: Those are the purchasing managers index. They are a reflexion of what business believes is actually happening. And what we do know is that those numbers eventually reflect into GDP, which is why when you look at these numbers here, you start to see the significance. This is competitiveness, Becky. Switzerland amongst the most competitive in the world, but number one France 21. For Italy, 42. So the line is clear. These countries highly competitive and these less so.</s>ANDERSON: Look at where France is compared to Germany. I want you to talk to this number here, because Italy of course has an election this weekend. It will be front and center so far as the economic narrative is concerned in Europe going forward. What's the story here?</s>QUEST: There is no question that Italy is one of those countries that has to improve its core competitiveness. Now that's not just exchange rate, that's about labor reforms, it's about health care costs, it's about cost of living, it's about...</s>ANDERSON: Structural reforms.</s>QUEST: Absolutely. And the structural reform required is vital, because not for some esoteric reason of delight and love, because it's got to get that number to this sort of realm. As long as Italy remains down in the doldrums here, 42nd in the world according to the WEO, that's jobs, that's a cost of living, that's a quality of living.</s>ANDERSON: Yes, it is. And all eyes will be on Italy this weekend as the country goes to the polls to elect a new government. Will Silvio Berlusconi make a comeback? And if he does, what will that mean for the country's economy? Well, I'll be in Italy for you, so be sure to join us of a special edition of Connect the World Monday 9:00 pm GMT, that's 10:00 pm in Rome and Berlin. That's Monday. Join us for that. Itay's elections a big story here for Europe and the rest of the world. Live from London, you're watching Connect the World. Coming up, want to make a difference to children? You have no choices in life. Well take your conscience to the cash register. We'll explain a lot more than a slogan after this.