Labour protests in Iran will gain momentum

Significance

Workers’ protests in Iran have been growing due to the impact of sanctions, economic mismanagement, low and unpaid wages, inflation, increasing poverty levels and corruption. The government has acted quickly to quell strikes through an escalating combination of low-level appeasement, internet shutdowns, arrests, repression and claims of external interference.

Impacts

• The economic crisis may force the government to back down on its demand in the nuclear negotiations.
• The lifting of US sanctions would ease economic pressure but only after a period of around six months.
• The government will attempt to rebuild trade and investment ties with regional countries.