Trade union leaders from five South Asian countries have started meeting in Delhi to devise a common strategy against privatisation programmes and restructuring of the labour sector.

Over one hunderd and sixty delegates from Pakistan, Sri Lanka, Bangladesh, Nepal and India are taking part in the four day seminar to develop a regional stance against IMF and World Bank policies that reduce jobs and make sacking workers easier.

"We are critical of the IMF and World Bank. We consider the World Trade Organisation contrary to the interests of developing countries and their people," Dep Kumar Ganguli, deputy general secretary of the World Federation of Trade Unions in New Delhi told BBC News Online.

India's IMF backed privatisation plans were left in disarray in July after the bidders for state telecoms giant VSNL withdrew and the government disqualified bidders for Air India and Indian Airlines.

Also in July more than nine million Indian state and federal workers held a nationwide one-day strike against the government's mass privatisation plans.

Common strategy

"The IMF and World Bank policies are the same here as in many other countries. We are critical of their approach and will co-ordinate our movement and create a charter. We would also like some co-operation from this government to ensure thesouvernty of this country," Mr Ganguli said.

The All India State Government Employees Federation (AISGEF), which organised the strike, is hosting the Delhi meeting.

"The only way we can stop these institutions [the IMF and World Bank] shoving their policies down our throats is if workers of the South Asian region speak in one voice that they will not accept their policies," Sukomal Sen, AISGEF general secretary, said.

India began a wide-ranging economic restructuring programme in 1991 but 10 years later union leaders say it has failed to deliver on the objective of narrowing the gap between the rich and poor.

Workers are also angry at government proposals to allow firms employing up to 1,000 workers to sack staff without approval from the state authorities. Currently only firms with fewer than 100 workers can lay off employees without consultation.

US demands

The US on Thursday told India it would be the big loser in South Asia if it did not agree to a new round of WTO trade talks.

"A new round would be 'win-win' for India," US Trade Representative Robert Zoellick told Indian business and industry leaders.

India's government and business community, like the trade unions, have been reluctant to join a new round of trade talks.

Like most developing countries, India has serious differences with the US and the EU over patents, farm subsidies and trade-related investment rules outstanding from the last round of trade talks.

They want the WTO to resolve these before bringing new issues to the negotiating table at a November meeting of trade ministers in Doha, Qatar.