11th Aug 2021 15:33
(Alliance News) - Anglo-Australian mining giant BHP Group PLC has reached a deal with the workers' union at the world's biggest copper mine, in Chile, which could prevent them going on strike, the company said in a statement.
Workers at the Escondida mine had announced 10 days ago their intention to strike after insisting their demands for a one-off bonus to recognize their work during the coronavirus pandemic had not been met.
In a statement issued late on Tuesday, BHP said negotiations with the workers union had ended, "resulting in the final content of the collective contract and closing conditions."
The 10-day negotiation period was extended by two days until Thursday with the union's members due to vote on whether to accept the agreement.
In 2017, Escondida workers staged a 44-day strike – the longest ever in the Chilean mining industry – that lost BHP USD740 million and provoked a 1.3% fall in the country's GDP.
Escondida workers have demanded a one-off bonus to recognize their work during the Covid-19 pandemic – the equivalent of 1% of the dividends the company's shareholders made.
They are also asking for a career development plan and education benefits for their children.
Chilean media claimed they had rejected a bonus worth around USD23,000 each.
In April, the price of copper reached a 10-year high of over USD10,000 per ton, and the Escondida mine has projected revenues of more than USD10 billion for this year.
Chile is the world's largest copper producer with 5.6 million tons a year that makes up 28% of global output, much of which is sold to China, the world's biggest consumer.
Mining makes up 10% to 15% of Chile's GDP and half of its exports.
source: AFP
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