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Palma.—The small to medium-sized business association of Majorca (Pimeco) claimed yesterday that last Thursday's general strike - which saw mass demonstrations through the centre of Palma - cost its members an average of 40 percent in the day's takings. The losses however, seemed to be confined mainly to the city as in outlying areas of the island, little difference was reported.

Meanwhile, senior representatives of the General Workers Union (UGT) and the Workers Commission (CCOO) in the Balearics yesterday warned that last week's strike had been just the beginning of further industrial action being planned to protest against Central Government's proposals for sweeping Labour Law reforms. UGT General Secretary Lorenzo Bravo said that the next full scale demonstrations are being planned on Majorca on Labour Day, 1st May .

But the President of the regional Business Federation (CAEB), Josep Oliver, said yesterday that the union response was out of proportion. “The union threats can't be justified,” he said. “This is not a case of a collective bargaining process, but I do hope Labour laws aren't changed drastically.”