Berlusconi unclear on social spending

The Italian government's plans for pensions and social spending remain unclear after a meeting between union leaders and Italy's senior politicians, including prime minister Silvio Berlusconi and the finance and labour ministers.

The union leaders felt that the meeting last month to discuss the government's financial plans for 2004 had brought little new information. Savino Pezzotta of the second largest confederation, CISL, said: "they told us nothing". And Guglielmo Epifani, leader of the largest, the CGIL, said he was disappointed and worried.

There are mixed signals coming from the coalition government, in particular on plans for pensions which the unions fear could be cut.

Epifani called for "a finance plan which concentrates on social equity and a policy of development, all things of which there is so far no trace in the government's plans".

The unions are still threatening action if pensions are cut.