Minister quits to fight poll
The unpopular prime minister, Jose Luis Zapatero, faces tough challenges in regional elections this year and next, seen as a test of support for the PSOE. "The PSOE electoral commmittee will possibly name Corbacho in the candidate lists for the Catalonian elections and he will leave the ministry," a ministry spokesman said.
No replacement has been named. Zapatero, whose term ends in 2012, has imposed deep cuts and a labour reform this year in an attempt to cut the soaring cost of borrowing and reassure investors Spain will not suffer a Greek-style debt crisis.
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Hide AdCatalonia, Spain's most populous autonomous region and home to Spain's second city Barcelona, will probably hold elections in November, though a date has not yet been set.
The Labour Ministry would not say when Corbacho will stand down, but there were reports it would probably be early next month, after a general strike set for 29 September.
In a recent poll the opposition People's Party had an eight point lead over the Socialists.