Labor Strife Challenges the Brazilian Government

Around 5,000 striking federal workers gathered July 16 at a plaza nearby several government ministries in Brasilia to begin a four-day sit-in demanding better pay and benefits. The demonstration is the latest in a series of high-profile Brazilian labor disputes that began in May with a strike by higher education professors and staff and has gradually expanded to include several other public sector unions.

Due to its desire to maintain a budget surplus amid slowing economic growth, Brazilian President Dilma Rousseff's administration has so far resisted pressure to comply with the unions' demands or even to engage in negotiations. However, many of the striking unions make up part of the ruling Workers' Party's support base. Thus, the government may be forced to offer some minor concessions to certain sectors in order to mitigate the economic effects of the work stoppages and to avoid alienating supporters.