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Mexican miners reach agreement with ArcelorMittal

14 September, 2009Striking workers have returned to work after the company agreed to an eight per cent pay rise.

Mexico. Members of Section 271 of the National Miners' Union, on strike since August 8, have returned to work after reaching agreement with ArcelorMittal.

The agreement included an eight per cent pay rise and a benefits package worth a further seven per cent, including two more days holiday, two more days pay added to the Christmas bonus and 15,000 (US$1,100) pesos in social welfare benefits for each one of the 3,500 union members. Agreement was also reached on an increase in annual profit sharing (from 20 to 25 days).

All increases are backdated to May 1 and the company will pay 100 per cent of wages and credit vouchers lost during the strike. The value of vouchers has been increased from 150 to 170 (US$13) pesos. Other benefits included increases to company contributions towards educational grants and school equipment for workers' children, life insurance, sports, funeral expenses and much more.

The union said "the agreement discarded the company's initial plan to make the negotiations for a collective agreement conditional on making more than 700 union members redundant (20 per cent of union members). Nobody will lose their job."
 
The union added that the outcome of the negotiations showed the leadership of comrade Napoleón Gomez Urrutia "who worked closely with Section 271 leaders to reach the agreement. The workers are agreed that the outcome showed the capacity, experience, intelligence and commitment of comrade Gómez Urrutia and the correctness of his negotiation and conciliation strategy in pursuit of the miners' demands."