Read Charles Bremner's blog on the strike

France suffered expected travel chaos this morning when transport and other public sector workers staged an open-ended strike against President Sarkozy’s attempts to end their pension privileges.

While Paris region commuters suffered misery, gas and electricity workers halted supplies at strategic points around the country to press their grievances over the retirement reform.

However, the disruption of trains and the Paris transport system was not quite as heavy as anticipated and signs are now emerging of a possible compromise between the state and the left-wing unions which are leading the challenge to Mr Sarkozy’s reforms.

Leaders of the General Labour Confederation (CGT), the biggest union, was meeting Xavier Bertrand, the Labour Minister, and other, more moderate unions suggested that the strikes could wind down sooner than expected.

“Even the CGT seems ready to negotiate, let’s not waste any time, this morning if possible, let’s negotiate,” said Jacques Voisin, head of the moderate CFTC union, which is one of those taking part in the strike by transport and public sector power workers.

Mr Sarkozy, who sees the strikes as a decisive test for his plan to revive France, told Mr Bertrand this morning to write to all the union leaders outlining “steps towards an exit from the conflict”, his spokesman said.

Henri Guaino, Mr Sarkozy’s chief political adviser and speech-writer, said that the pension reform must not be watered down because it symbolised the promise of renaissance on which Mr Sarkozy was elected.

“If this is abandoned... all the reforms will be compromised,” he said.

The head of the main employers’ association, Medef, called the strike embarrassing to France’s global image. Laurence Parisot urged the French to “abandon this taste, which I think is a bit masochist, for conflict, for struggle”.

Two polls this week have shown that Mr Sarkozy’s popularity has declined by several percentage points, but a majority of people still held a favourable opinion of him. According to another survey, 84 per cent of the public believe that he will stand firm against the strikers.

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