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Collahuasi Miners Partially Resolve Dispute without Striking

12 September, 2011

In Chile's northern Region 1, a planned 24-hour strike at the world's third largest copper mine, Dona Ines de Collahuasi, on 2 September did not happen. The 1,500 miners of Sindicato de los Trabajadores, affiliated to the Chile Federation of Miners (FMC), voted the day prior to forego striking when managers extended a satisfactory albeit temporary resolve to the dispute.

That resolve included an adjusted bonus for the last two quarters of the fiscal year, the first half of 2011, of two million pesos (US$4,345) to each miner, and recall of two of the six miners who were sacked for strike activity on 30 July.

The FMC branch Chairman at Collahuasi, Manuel Munoz, told the ICEM that three of the six miners desired not to return to work high in the Atacama Desert, while the union will continue to fight for the rights of the sixth miner.

FMC branch Chairman at Collahuasi, Manuel Munoz

Dons Ines de Collahuasi, jointly owned through 44% stakes each by AngloAmerican and Xstrata and a smaller share by a consortium of Japanese firms controlled by Mitsui, offered to rehire the sixth miner, but is attempting to deny him several benefit entitlements, including health insurance.

"We will continue to wage a stiff fight for our comrade to ensure that fairness and justice prevails," Munoz reported to the ICEM.

There are several other issues still to be resolved that were behind the 29-30 July strike. They include housing benefits, bonuses based on weather conditions in the extreme altitudes of the Atacama, and a clocking-in, clocking-out process at the mine and copper processing operation that stands as a regression of miners' working conditions.

Labour relations between Dona Ines de Collahuasi and the Mineworkers' Union of Collahuasi have been frayed since the end of a 33-day strike last December. The company filed a criminal lawsuit against the union a month after the strike ended, charging union with libel over items the union posted on its website during the strike.