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French Premier Will Talk With Unions : Europe: Juppe’s change of heart is a retreat for his conservative government. The 17-day transit strike is due to continue today.

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TIMES STAFF WRITER

Seventeen days into a standoff with striking transport workers, French Prime Minister Alain Juppe agreed for the first time Sunday to personally negotiate with union leaders, meeting a key labor demand and raising hopes of an end to the bitter impasse.

“I’m ready to meet tomorrow with each of the unions that want to see me,” Juppe said during a nationally televised interview, adding that he has “some things to tell them” but also wants to hear their complaints. He also expressed willingness to participate in a “social summit,” another union demand.

Juppe’s sudden change of heart, after more than two weeks of refusing to meet the union leaders, was a retreat for his conservative government, which has been surprised by strong public support for the transport strike. The country’s transit system has been shut down by the work stoppage, which has spread to some post offices, hospitals, schools and air-traffic control towers.

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Although the strike was set to continue today, Juppe’s decision, and several other conciliatory gestures he made Sunday, appeared to have broken the lengthy stalemate that many in France blame on the arrogance of Juppe and President Jacques Chirac.

But union officials were cautious Sunday night. While they welcomed Juppe’s desire to talk, they said they doubt he is willing to make the concessions necessary to bring the strikers back to work. And labor leaders renewed a call for nationwide protest marches Tuesday.

Juppe said he is still determined to implement his broad reforms of the debt-laden social security system, insisting that reducing the deficit should be the country’s top priority. And he refused to consider holding a referendum on his reforms, arguing that parliament, which is controlled by Juppe’s party and its allies, “is there to play that role.”

But the prime minister backed down, at least temporarily, on several important parts of his plan. He agreed to suspend a special commission on public-sector pensions, with which unions had refused to cooperate, and promised train conductors that he will not change their retirement age of 50. He also agreed to postpone the signing of a new contract to restructure the indebted SNCF railway to give the company and its workers time to discuss it.

At the same time, however, he invoked a little-used parliamentary procedure Sunday night to end an opposition filibuster, clearing the way for a bill that would allow him to impose his reforms by decree.

The strike began Nov. 24, launched by employees of the SNCF, which runs the national rail network, and joined by workers from the regional and city trains and buses. Since then, the Paris subway and bus systems, as well as commuter and long-distance trains, have been idle, creating enormous daily traffic jams in Paris and other cities.

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Although private-sector workers have declined to join the strike, many have said they are sympathetic, and protest marches have drawn hundreds of thousands.

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