Editorial: Don't give in to the unions

What everyone finds most unacceptable is perhaps state-run enterprises attempting to rip off the government even though, as civil servants, they already enjoy a number of benefits. The Taiwan Railway Administration (TRA) has long been burdened by financial deficits. Now the company's labor union plans to stage a major strike tomorrow, the day of the Mid-Autumn Festival, in an attempt to increase their benefits. They are even saying with straight faces that they oppose the government's plan to privatize the TRA and to build the north-south high-speed railway. The strike will not only ruin the festive atmosphere of the Mid-Autumn Festival, but will also allow everyone to see the rotten and ignorant attitudes of the union's leadership, who seem to be living in a time warp. They really need to open their eyes and look at how other industries and countries are struggling to survive and progress.

The global economy has been slow to recover. Taiwan's government has been financially troubled. Many industrial sectors are also seeing slow business. The rail union's leaders should consider how many companies are now unable to issue the customary Mid-Autumn Festival bonuses to their employees, and how many have reduced their bonuses. Everyone can understand their companies' difficulties, but they grin and bear it. In Singapore, Prime Minister Goh Chok Tong is leading salary cuts for civil servants. Hong Kong has also passed a plan to cut the salaries of high-level civil servants, as has the Japanese government. Under these circumstances, the rail union's strike can hardly win the public's understanding and support.

The TRA has always monopolized Taiwan's railway transportation business. For a long time, it has relied on government subsidies totaling tens of billions of NT dollars every year to survive. How is it possible for a government company spending so much money to so brazenly ask for more benefits and oppose privatization? Why can't they make an effort to become profitable like other state-owned enterprises such as Taisugar and Taisalt? The labor union is making groundless claims that privatization will benefit business conglomerates. Such claims are simply not persuasive. The Taiwan Motor Transport Co said the same thing in the past, but that company has become independent and profitable since privatization.

The TRA workforce is bloated and the heavy personnel overheads are preventing any improvement in the company's efficiency. The TRA's revenues started to fall as far back as 20 years ago, when it began to face competition from freeway transportation. Within a few years, it will face more competition from the high-speed railway. The TRA's bleak future is predictable. Given such a difficult situation, the labor union should give priority to asking for assistance from government and private organizations to help employees change careers.

What the labor union should do now is to coordinate with the Taiwan High-Speed Rail Corp (THSRC) and try to persuade it to provide job and technical training for TRA employees who want to change jobs. Unfortunately, the labor union views the THSRC as an enemy and has tried to block the high-speed railway construction work at every turn. This has generated much rancor in the THSRC's labor union. Such short-sighted actions will only cause TRA employees to lose their opportunities.

State-owned enterprises weighing down government finances have long been a deplorable matter in Taiwan. Now, the labor union only cares about its right to strike and is ignoring the public's perception of them. The government should by no means give in to its demands. The TRA should be privatized as soon as possible.