Escondida Supervisors Reject BHP’s Final Offer, Strike Set for Wednesday

Supervisors at BHP‘s Escondida copper mine in Chile face a strike Wednesday after mandatory government mediation ended without a new contract. The walkout begins with the first shift at 8 a.m. local time (7 a.m. Eastern).

The Sindicato N°2 de Supervisores y Staff represents about 1,020 workers at the world’s largest copper mine. About 95% of voting members authorized a strike in late September. BHP asked Chile’s labor directorate for mediation on October 5, which put the walkout on hold.

The union said it submitted a final offer on Monday that adopted 90% of the company’s proposals and added its central demands, including pay increases and production bonuses. BHP, they said, then ended the mediation without responding. The company wanted workers to drop key benefits and insisted on passing their biometric data to outside parties. 

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The union’s statement said that “the responsibility for this strike lies solely with the company and its negotiating committee.”

BHP kept its final offer open until 11:59 p.m. on Tuesday. The package is worth 28 million Chilean pesos per worker, about US$28,700, and includes a soft loan, plus vacation and transportation bonuses. The union rejected the offer and began setting up a camp at the mine entrance. 

The mining giant describes its current contract as “already a leader in the industry” and says the offer raises pay and adds benefits. However, it has not publicly addressed the union’s statement as of this writing.

Workers at the Centinela copper mine in Chile, run by Antofagasta, also went on strike this month after contract talks there failed.

Related: Copper Miners and Smelters May Fail to Agree on 2027 Benchmark as Fees Stay Negative, Friedland Warns

Information for this briefing was found via the sources and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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