Tunis, Tunisia

This is a Subsidiary, click here for the Parent Company

Tunisia risk: Alert – Protests staged by UGTT labour union may affect economic recovery


Risk Briefing's risk scenarios are potential developments that might substantially change the business operating environment over the coming two years. We analyse the drivers, provide the context and conclude with recommended action. The following scenario has been added to the latest country update.


Labour union actions cripple economic recovery and prevent reforms

High probability; high impact; Risk intensity = 16

Union Générale Tunisienne du Travail (UGTT), is Tunisia's most prominent labour union, and retains significant power over government policymaking. IMF-driven reforms, including reining in public-sector wage growth and reforming major state-owned companies such as Tunisair, the national airline, pit the government directly against the UGTT. Although the urgent need to secure IMF funding led to a tentative agreement between the government and the UGTT in late March 2021, the agreement was lacking in detail, and the re-emergence of significant labour action remains a major risk to Tunisia's economic prospects. If an early election removes or weakens the current government, or if attempts to reform state-owned companies move too quickly, there could be mass nationwide strikes backed by the UGTT. In such a scenario, this would probably lead to power outages, as state electrical company workers will join the strikes and cause major disruption to businesses. In addition, as happened in 2020, labour action could spread to Tunisia's oil and gas fields, weighing on hydrocarbon exports, which would affect the revenue of foreign oil companies. Firms should carefully follow any negotiations between the government and the UGTT, particularly over reforms related to state-owned companies. They should adequately prepare contingency plans, including various approaches to stockpiling in case of labour disruption.

Related Businesses
- - Customer

Copyright © 2021 by (Ticker: CRMZ®). All rights reserved.  You are not permitted to use this report or the information contained herein for any purpose not expressly permitted by, Inc. Except as expressly permitted by, Inc., you are not permitted, in whole or in part, to copy, alter, correct, adapt, translate, enhance, lease, sell, sublicense, assign, distribute, publish, otherwise make available to any third party, or prepare derivative works or improvements of this report or any of the information contained therein. You are not permitted to reverse engineer, disassemble, decompile, decode, or adapt the software, algorithms or other processes used to prepare this report, or otherwise attempt to derive or gain access to the source code of same. You agree not to remove, alter, obscure, combine or otherwise change any disclaimers, trademarks, copyrights, other intellectual property rights, proprietary rights, or other symbols, notices, marks, or serial numbers on or relating to any copy of the report or on marketing or other materials that, Inc. may provide to you. You will not use this report in any manner or for any purpose that infringes, misappropriates, or otherwise violates any right of any party, or that violates any applicable law.  
The FRISK® scores, agency ratings, credit limit recommendations and other scores, analysis and commentary are opinions of, Inc. and/or its suppliers, not statements of fact, and should be one of several factors in making credit decisions.  Any reliance you place on the information in this report is strictly at your own risk. Except as expressly provided by, Inc., no warranties or representations of any type, including without limitation of results to be obtained, merchantability or fitness for a particular purpose, are made concerning any part of, Inc.’s service, including without limitation the FRISK® scores.  The information published above has been obtained from sources CreditRiskMonitor considers to be reliable., Inc. and its third-party suppliers do not guarantee or validate the accuracy and completeness of the information provided in this report, the underlying information input to create the FRISK® scores, and specifically do not assume responsibility for not reporting any information omitted or withheld.  By using this website, you accept the Terms of Use Agreement
Contact Us: 845.230.3000
Fundamental financial data concerning public companies may be provided by Refinitiv (click for restrictions)
Tuesday, May 11, 2021