Union Hints at Eventual Strike at Chile's Escondida Copper Mine

SEATTLE (Scrap Monster): The world’s largest copper mine faces threat of strike by union, following no breakthrough in negotiations between company management and union representatives.

The union representing workers at Chile’s Escondida copper mine instructed its members to prepare for a strike, citing slow progress in government-mediated talks. It must be noted that the union members had unanimously rejected BHP’s latest contract offer, thus paving way for a five-day negotiation. As per law, this could be extended for another five days, in case a deal cannot be reached.

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The union informed its members that the proposal submitted by the company has no substantial changes in it and that it is far from meeting the demands of workers. It urged the members to maintain unity and discipline and to be prepared for an eventual strike, as the last option.

Meantime, BHP announced that it has put forth a new offer with substantial improvements, by giving due consideration to the issues raised by the union. It hoped that the offer will bring positions closer to formalizing an agreement and that a response is awaited from the union leaders.

A strike at the mine could aggravate supply constraints, which in turn may drive copper prices higher.