:00:00. > :00:08.This is Business Live from BBC News with Ben Thompson and Sally Bundock.
:00:09. > :00:11.France at a standstill - that's the aim of French unions
:00:12. > :00:15.as they call for a show of strength with workers downing tools
:00:16. > :00:17.in a battle with authorities over labour reforms.
:00:18. > :00:36.Live from London, that's our top story on Tuesday 14th June.
:00:37. > :00:41.Striking air traffic controllers and train drivers are expected
:00:42. > :00:42.to trigger disruption for travellers today.
:00:43. > :00:45.Protests are due to kick off in Paris later as the country
:00:46. > :00:55.As the E3 gaming expo opens in the US, we'll look at the latest
:00:56. > :01:07.And markets across Europe look like this as the countdown begins.
:01:08. > :01:17.Just nine days until the UK votes on its future in Europe.
:01:18. > :01:21.Leasing rather than buying business machinery is soaring in popularity.
:01:22. > :01:23.Is it just another extension of the so-called sharing economy?
:01:24. > :01:28.We'll meet the head of one of Europe's biggest leasing firms.
:01:29. > :01:31.Plus what would you pay for a buffet with Buffett?
:01:32. > :01:33.One anonymous bidder parted with $3.4 million to have lunch
:01:34. > :01:38.with the infamous billionaire investor Warren Buffett,
:01:39. > :01:41.so we want to know who would you like to lunch with?
:01:42. > :01:53.Let us know, use the hashtag #BBCBizLive.
:01:54. > :01:58.I would always want to have lunch with Sally, everyday.
:01:59. > :02:04.Unions in France have urged members for a show
:02:05. > :02:09.of strength in Paris today as a general strike gets underway.
:02:10. > :02:13.Striking air traffic controllers and train drivers are expected
:02:14. > :02:17.to trigger transport disruptions, with protests in due to begin
:02:18. > :02:30.The reforms make it easier for companies to lay off staff,
:02:31. > :02:33.reduce pay and introduce flexible working hours.
:02:34. > :02:37.The government hopes it will help to lower the country's
:02:38. > :02:40.high unemployment rate, which has been stuck at about 10%
:02:41. > :02:42.for the past four years, by encouraging companies to take
:02:43. > :02:47.It's also hoped the measures - which are now going through
:02:48. > :02:49.the Senate - will help to boost the country's persistently
:02:50. > :02:56.GDP in the first three months of the year was 0.5% but it's
:02:57. > :03:03.expected to slow significantly by the end of June.
:03:04. > :03:09.We will keep a close eye on that and have a little more for you later on.
:03:10. > :03:15.Of course you are 2016, all of this happening at this moment with this
:03:16. > :03:20.stubbornly high unemployment rate really affecting what happens there,
:03:21. > :03:25.so the unions are hoping they can put this walk out on to keep staff
:03:26. > :03:28.with a brighter future but of course it could affect trains, planes and
:03:29. > :03:34.of course the rest of the economy. More on that a little later.
:03:35. > :03:52.Microsoft is buying the professional networking website LinkedIn
:03:53. > :04:04.And it is also unveiling two new systems at the East three gaming
:04:05. > :04:08.Expo. E3 is the biggest shop window for
:04:09. > :04:12.the biggest firms in the world and as ever Microsoft went first and
:04:13. > :04:16.announced two new consoles. The first is a new slimline version of
:04:17. > :04:21.the Xbox, due later this year, the second will be out in 2017, a souped
:04:22. > :04:27.up console capable of running virtual reality games. When it ships
:04:28. > :04:33.next year we believe it will be the most powerful console ever built,
:04:34. > :04:38.with six Terror box of power it is hardware built specifically to lead
:04:39. > :04:42.the console industry into high Fidelity virtual reality. Sony
:04:43. > :04:46.always go second at the event which often gives them the upper hand and
:04:47. > :04:50.they used to this year, coming out straightaway to save their existing
:04:51. > :04:53.PS four is already good enough to play virtual reality and their
:04:54. > :04:57.headset will come out in October. The time has finally come for
:04:58. > :05:03.everyone to enjoy Villar in their own homes. At PlayStation we have a
:05:04. > :05:07.combination of the necessary processing and graphics power
:05:08. > :05:11.already built inside 40 million PlayStation fours that have been
:05:12. > :05:15.sold worldwide. It gives Sony at Headstart in what
:05:16. > :05:18.many people say is the future of gaming but if the headset does not
:05:19. > :05:30.live up to expectations it could seriously backfire.
:05:31. > :05:36.Our economics correspondent Andrew Walker is joining us. From France,
:05:37. > :05:40.it is a familiar tale, but the current government seems determined
:05:41. > :05:45.to get through this labour reform. He has pushed it very hard, he is
:05:46. > :05:49.looking for re-election next year, so clearly he is prepared to take
:05:50. > :05:53.some significant political risks. On one hand he would like to have some
:05:54. > :05:58.sort of signature major reform to go to the electorate with but clearly
:05:59. > :06:02.this, if he were to get this through, it would create serious
:06:03. > :06:08.difficulties in the labour movement, an important part of his own
:06:09. > :06:12.political base. He is determined, he has been pushing hard in the French
:06:13. > :06:16.assembly, and as we have seen it is proving to be extraordinarily
:06:17. > :06:22.difficult. Some of the labour movement would take a lot of it but
:06:23. > :06:25.they do want to see some of the provisions, for example, on
:06:26. > :06:28.precedents being given to firm level agreements, they would like to see
:06:29. > :06:33.some of that drop from the legislation, but he is having a hard
:06:34. > :06:37.time with it. Looking at the timing of this, Euro 2016 underway in
:06:38. > :06:41.France, people trying to get around the country to get to the matches,
:06:42. > :06:46.the timing particularly relevant because it could disrupt those
:06:47. > :06:49.plans. And bearing in mind it is the summer anyway so there will be a lot
:06:50. > :06:55.of tourism in France quite apart from the Euro championship, so it
:06:56. > :06:59.will be disruptive. It has presumably been kind to specifically
:07:00. > :07:03.with that thought in mind. It is not as if this is a new debate, it has
:07:04. > :07:11.to be said. The many years there has been concern from within France and
:07:12. > :07:16.expressed by international organisations that it is harder and
:07:17. > :07:20.more expensive for French businesses to hire people and that, it is
:07:21. > :07:22.argued, is one of the key reasons why French unemployment is
:07:23. > :07:28.relatively high, something like 10%, and France have a particular problem
:07:29. > :07:34.with high unemployment amongst low skilled young people. High
:07:35. > :07:37.productivity has been a factor in maintaining the high French standard
:07:38. > :07:41.of living but businesses are reluctant to take on people with low
:07:42. > :07:46.skills who are relatively low productivity because it is an
:07:47. > :07:48.expensive thing to do in France. Thank you very much indeed,
:07:49. > :07:52.perspective from Andrew Walker. We will keep you across how the day
:07:53. > :07:55.develops there because it is not just the general strike but also the
:07:56. > :07:55.airline strike underway as well today.
:07:56. > :07:58.Good luck if you are travelling. Microsoft is buying the professional
:07:59. > :08:07.networking website LinkedIn The software giant
:08:08. > :08:10.will pay $196 a share - that's a premium of almost 50%
:08:11. > :08:12.on Friday's closing price. The deal will help Microsoft boost
:08:13. > :08:15.sales of its business Malaysia's first Islamic-compliant
:08:16. > :08:19.airline, Rayani Air, has been barred from flying
:08:20. > :08:22.for breaching regulations. The Department of Civil Aviation
:08:23. > :08:25.said it was revoking the airline's certification because of concerns
:08:26. > :08:27.over its safety audit Rayani Air launched last December
:08:28. > :08:32.offering only halal food, no alcohol and crew wearing modest
:08:33. > :08:41.clothing. The Chinese e-commerce giant Alibaba
:08:42. > :08:45.has released figures Sharanjit Leyl is in Singapore
:08:46. > :09:01.and has been following the story. Big ambitions?
:09:02. > :09:05.Big ambitions, it was unveiled at an investor 's conference in the
:09:06. > :09:11.headquarters of Alibaba, projecting these striking big numbers,
:09:12. > :09:17.expecting transactions to nearly double in volume in four years to
:09:18. > :09:20.$912 billion, that is how much they are projecting. These numbers, I
:09:21. > :09:24.should add, should be taken with a grain of salt. They referred to
:09:25. > :09:28.gross merchandise volume numbers, the measure that eBay and other
:09:29. > :09:32.e-commerce sites have used, referring to the total value of
:09:33. > :09:35.third-party sellers transactions on the company's platforms and it
:09:36. > :09:42.should not begin to used with Alibaba's revenue. The way it
:09:43. > :09:45.calculates its gross merchandise volume is being queried by
:09:46. > :09:48.regulators on concerned that it is defined differently. The executive
:09:49. > :09:52.chairman said it is not the only index that can be used to measure
:09:53. > :09:56.their success and if you are inclined to doubt those numbers he
:09:57. > :10:03.also made another striking prediction, saying Alibaba would
:10:04. > :10:05.have 2 billion consumers by 2036, up from 24 million active buyers this
:10:06. > :10:12.year. As always, thank you very much.
:10:13. > :10:22.Japanese stocks hit a nine-week low, with ongoing worries over
:10:23. > :10:25.the referendum next week and fears that it could push Britain
:10:26. > :10:27.out of the European Union and trigger turmoil
:10:28. > :10:30.They are all red, that tells you what you need to know.
:10:31. > :10:32.It's also approaching the first anniversary of the near-meltdown
:10:33. > :10:38.Despite several attempted rallies since, the country's shares have not
:10:39. > :10:40.pulled much above their levels of last August.
:10:41. > :10:46.Here's how Europe is looking in the first hour of trade.
:10:47. > :10:49.A similar picture in the first hour of trade, nothing moving anywhere
:10:50. > :10:52.fast. And Samira has the details about
:10:53. > :10:59.what's ahead on Wall Street Today. On Tuesday the US Federal Reserve
:11:00. > :11:04.begins its two-day meeting on interest rate policy. While many
:11:05. > :11:08.believe there is little chance of a rate rise this month, investors will
:11:09. > :11:13.be focusing on when the next rise in interest rates may happen. Also
:11:14. > :11:17.happening on Tuesday, US retail sales are out and it looks like they
:11:18. > :11:22.may be up for the second month in a row. In May, Americans bought more
:11:23. > :11:27.cars and higher gas prices meant people were spending more at petrol
:11:28. > :11:38.stations. And finally, top executives from major financial
:11:39. > :11:41.firms will be speaking at a two-day Investec conference in New York.
:11:42. > :11:44.People from JP Morgan, Wells Fargo, Morgan Stanley, bank of the, so on.
:11:45. > :11:45.There could be some updates on what they are expecting to see in the
:11:46. > :11:49.coming quarter. We will keep an eye on that.
:11:50. > :11:54.Joining us is Jessica Ground, UK Equities Fund Manager at Schroders.
:11:55. > :12:01.Good morning, Jessica. We seem to be in a very... Not as scary place,
:12:02. > :12:05.that is exaggerating, but a very nervous place as far as my kids are
:12:06. > :12:11.concerned, looking at the breaking news right now, yield on ten year
:12:12. > :12:15.German debt turning negative, people putting their money into safe
:12:16. > :12:19.places? Definitely, all eyes, not just in the UK but globally now,
:12:20. > :12:25.with policymakers in the US and Japan referencing the referendum in
:12:26. > :12:30.nine days' time, and I think with the release of the latest polls what
:12:31. > :12:34.we are seeing is that people are looking to head some of their
:12:35. > :12:41.positions, so we have seen people betting against sterling, sensing
:12:42. > :12:46.some sort of flight to safety with the safe Government debt from
:12:47. > :12:50.Germany going negative. I mentioned the anniversary of the meltdown in
:12:51. > :12:55.the Chinese stock market and that nothing has really changed since. We
:12:56. > :12:58.saw the big sell-off at the time, a lot of nervousness about its barking
:12:59. > :13:01.the beginning of the end for the rally in China but nothing has
:13:02. > :13:06.really changed, investors are a bit more sangria about it? You have got
:13:07. > :13:12.to look underneath that what is happening on the ground in China.
:13:13. > :13:15.Much of the excitement in the rally was as the Chinese built up their
:13:16. > :13:23.infrastructure, built out property and real estate, and they have been
:13:24. > :13:26.clear about needing to move more towards consumption. Global trade
:13:27. > :13:32.has increasingly become difficult. But I think that it has been more
:13:33. > :13:36.difficult to engineer that shift from infrastructure investment
:13:37. > :13:43.towards more consumption, away from exporting to more domestic demand. I
:13:44. > :13:46.think that is why we have not seen those highs that we saw a year ago.
:13:47. > :13:55.It is important to take a step back and think, 2015, until the meltdown
:13:56. > :14:01.that we had this times of months ago, some of these assets had run up
:14:02. > :14:06.to very high levels. I cannot believe that is a year ago.
:14:07. > :14:10.Time flies when you are having fun talking about market!
:14:11. > :14:12.Jessica will be back to talk us through some of the stories in the
:14:13. > :14:14.papers today. Leasing rather than buying
:14:15. > :14:18.equipment is soaring We'll meet the head
:14:19. > :14:21.of one of the region's You're with Business
:14:22. > :14:30.Live from BBC News. Around 120,000 jobs are thought
:14:31. > :14:34.to have been lost in the UK's oil and gas industry over the last few
:14:35. > :14:36.years after that Today industry leaders are gathering
:14:37. > :14:53.in Aberdeen where many of those Just talk us through this, Aberdeen
:14:54. > :15:01.was hit particularly hard by the downturn in oil prices, how is it
:15:02. > :15:06.manifesting itself day-to-day? Aziza, Aberdeen is the self-styled
:15:07. > :15:10.capital of Oil Gas UK Europe. This is a bridging system, normally the
:15:11. > :15:13.kind of thing juicy offshore, today definitely onshore along with
:15:14. > :15:18.hundreds of delegates here at the Oil Gas UK annual conference.
:15:19. > :15:21.Within the last year there has been dramatic changes since these
:15:22. > :15:28.industry leaders last gathered, a huge drop in the price of oil
:15:29. > :15:32.globally, thousands of job losses in the industry, Aberdeen significantly
:15:33. > :15:37.hit because it is such a call for the whole of the European oil and
:15:38. > :15:41.gas sector. I am joined by Mike from Oil Gas UK. It is a difficult time
:15:42. > :15:47.for the industry and you are predicting more job losses?
:15:48. > :15:56.We could be seeing further job losses, 120,000 have gone across our
:15:57. > :16:02.sector and our society. Aberdeen say it has been impacted by this. It is
:16:03. > :16:09.not just those working offshore, it is not just those working onshore,
:16:10. > :16:16.but supply chain industries. Yes, our theme is around Aberdeen and the
:16:17. > :16:20.UK continental shelf open for business. We can compete globally,
:16:21. > :16:25.this is part of our ability to show that. We are seeing a reduction in
:16:26. > :16:28.the amount of oil that can be extracted from the North Sea, what
:16:29. > :16:33.kind of a future do you see for North Sea oil and gas? Production
:16:34. > :16:38.has fallen to a third of what it was 15 years ago, but it has started to
:16:39. > :16:43.increase. Can we keep it growing at a time when investment is under
:16:44. > :16:50.pressure? The conference is just getting under way.
:16:51. > :16:57.A rough ride for people in Aberdeen as a result of that downturn in
:16:58. > :17:01.prices. The UK fashion brand Ted Baker,
:17:02. > :17:05.revenues are up 11% in the last five months.
:17:06. > :17:13.French unions call for a show of strength as workers down tools
:17:14. > :17:21.in a battle with authorities over labour reforms.
:17:22. > :17:34.All of this while Euro 2016 is taking place.
:17:35. > :17:37.That's the dilemma facing many businesses as they grapple
:17:38. > :17:39.with the cost of new technology, updating equipment
:17:40. > :17:43.And despite record low interest rates which make borrowing cheaper,
:17:44. > :17:45.more and more European businesses are choosing to rent equipment.
:17:46. > :17:47.The industry association Leaseurope says it's seen strong
:17:48. > :17:51.In the last three months of 2015 it was up nearly 13%.
:17:52. > :17:53.It reported $29 billion worth of new business in the region.
:17:54. > :17:56.And software is one of the biggest growth areas, with companies
:17:57. > :18:08.using a lease to spread the costs of installation and deployment.
:18:09. > :18:20.Your company is in the thick of this. Tell us how your organisation
:18:21. > :18:24.works. We are a subsidiary of BNP Paribas, the largest bank in Europe.
:18:25. > :18:32.We provide to our client leasing solutions. When a company wants to
:18:33. > :18:36.purchase an asset, for example a tractor or a truck, instead of
:18:37. > :18:41.buying it using the investment capability, they will ask as to
:18:42. > :18:46.provide it and then we will rent them the asset. At the end of the
:18:47. > :18:51.contract, which is usually a contract between two and four years,
:18:52. > :18:59.they will bring us back the asset, and if they want they can renew the
:19:00. > :19:02.asset, so it will have a new one with new technology. It is aborted,
:19:03. > :19:11.because they can shift to new technology easier, and we. Another
:19:12. > :19:15.contract. Instead of having to invest, they just rent the asset. It
:19:16. > :19:20.is important for them, because most of the time they have a limited
:19:21. > :19:25.investment capability. This reflects the sharing economy, you don't own
:19:26. > :19:30.the thing anymore, you just wrote it and you pay for the time you have
:19:31. > :19:36.borrowed it. This is that on an industrial scale. Exactly. You can
:19:37. > :19:45.do that for equipment but also for software, printers or whatever. It
:19:46. > :19:49.is a good way for you to get an asset which is brand-new with new
:19:50. > :19:55.technology without having to bear all of the costs related to the
:19:56. > :19:58.change of those assets. You can even get additional services,
:19:59. > :20:04.maintenance, and this is how we operate, we offer the full solution,
:20:05. > :20:09.which is much better for the client. I understand it is great for a small
:20:10. > :20:15.or medium-sized company, they don't have the money to spend, we have
:20:16. > :20:19.seen this business go up in Europe but for off in the United States.
:20:20. > :20:23.You would think it would be the other way round, as the economy is
:20:24. > :20:26.growing more, you would see more of this activity? There is one
:20:27. > :20:35.specificity. You look at their market, especially agriculture, it
:20:36. > :20:43.has been growing very fast in between 2005 and today or last year.
:20:44. > :20:50.At that time it was related to the growth of the agriculture in
:20:51. > :21:03.general. Why did we have this? It is because more and more use of new
:21:04. > :21:07.products for corn. They grew the size of the cornfield and the
:21:08. > :21:14.production, so we have an increase of agriculture. But it is on the
:21:15. > :21:17.drop. The market is dropping in the US. There is so much more to
:21:18. > :21:21.discuss. The debate over the EU referendum
:21:22. > :21:23.has been dominated by big business. Their views are well known,
:21:24. > :21:26.but what about smaller firms? There are more people working
:21:27. > :21:30.in small and medium-sized businesses, and they account for 99%
:21:31. > :21:36.of all firms in the UK. Today we've got the first
:21:37. > :21:39.in a special series looking at what small businesses make
:21:40. > :21:45.of being in the EU. I am Ed Salt, the managing
:21:46. > :21:48.director of Delamere Dairy. We have been established for 30
:21:49. > :21:51.years, and we have been supplying goats' milk to the market
:21:52. > :21:54.and speciality dairy products The farms that supply us benefit
:21:55. > :22:05.from EU subsidies. There is a lot of red tape around
:22:06. > :22:09.Europe and I am sure there are times when Europe can be criticised
:22:10. > :22:15.for the amount of paperwork and how awkward it can be to deal and be
:22:16. > :22:19.part of the EU, but from a farming point of view
:22:20. > :22:23.the subsidies that the farms get If they are disappearing
:22:24. > :22:28.or were to be taken away, the only thing that can happen
:22:29. > :22:33.is food prices would increase, or there is a process of us
:22:34. > :22:48.absorbing those costs, You can get more on what businesses
:22:49. > :22:51.think on the referendum as well as what both sides say on a range of
:22:52. > :22:58.issues at the BBC referendum web page. Do check it out. The big
:22:59. > :23:01.decision is in just nine days' time. What other business
:23:02. > :23:03.stories has the media been Jessica Ground, UK Equities Fund
:23:04. > :23:14.Manager at Schroders, The big announcement, Microsoft
:23:15. > :23:21.buying LinkedIn, it hit the wires, diverse your take on it. This is
:23:22. > :23:27.solidifying Microsoft's desire to become a business to business
:23:28. > :23:32.player. LinkedIn has got the relevance to recruitment. They are
:23:33. > :23:38.trying to talk about almost a dashboard, so you have your
:23:39. > :23:42.Microsoft Outlook calendar, and flashes up who you are meeting, the
:23:43. > :23:47.fact you have been to school with them and the fact they have e-mailed
:23:48. > :23:51.you the Microsoft presentation. A big acquisition, a quarter of a cash
:23:52. > :23:59.that they have on their balance sheet. They have had a mixed track
:24:00. > :24:03.record, they bought Nokia, not so successful, although people feel
:24:04. > :24:10.that Skype, which they have integrated, has been better.
:24:11. > :24:15.Interesting to see them moving away from the traditional software to
:24:16. > :24:21.networks. I hope the app improves, I find it hard work. Do you use it?
:24:22. > :24:25.Yes, but I am not going to get involved!
:24:26. > :24:29.I am just saying! In the New York Times they are
:24:30. > :24:36.talking about the Washington Post being barred by the Donald Trump
:24:37. > :24:38.campaign. Things getting nasty. Yes, this is not the first time we have
:24:39. > :24:45.seen Donald Trump bark different news outlets, but it is the most
:24:46. > :24:51.mainstream one that we have seen. A lot of the others had been websites.
:24:52. > :24:54.He has run an unconventional campaign. That shows no signs of
:24:55. > :25:01.changing, even though he becomes the mainstream candidate. Does it not
:25:02. > :25:05.show he is scared by negative press? Most people would be courting the
:25:06. > :25:12.media, but he does not want them. He makes these public bands of news
:25:13. > :25:18.outlets, and the journalists, he is then getting exclusive interviews to
:25:19. > :25:22.them, so I am not sure it is a consistent strategy, but you are the
:25:23. > :25:28.experts. We will see how it works out for the BBC. This is a story
:25:29. > :25:34.that was out at the weekend, who would you like to have lunch with?
:25:35. > :25:38.Somebody has paid $3.4 million to go to lunch with Warren Buffett, which
:25:39. > :25:44.goes to charity. Who would you have lunch with? I would like to have
:25:45. > :25:48.lunch with Mark Carney, not just because of his George Clooney
:25:49. > :25:52.resemblance! He is doing interesting things, not only the Bank of England
:25:53. > :25:57.but how he is addressing climate change and the long-term impact.
:25:58. > :25:59.Mark Carney, if you are watching, lunch, I will come as well!
:26:00. > :26:14.It is like a dating show! Goodbye! Than a familiar steel behind me, low
:26:15. > :26:20.pressure the dominant feature through the course of the morning.
:26:21. > :26:24.Not a great deal of change in the overall pattern, although there will
:26:25. > :26:25.be regional variations. The showers