Why in news
A powerful workers union behind a strike at BHP’s huge Escondida mine, is looking to snarl production at the site as it pushes for a bigger share of profits.
Largest Copper Mine
Name: Escondida Mine
Location: Chile
Operated by BHP
Significance: Produces nearly 5% of the world’s copper
Issues
The Sindicato Nro. 1 union has struck to demand a larger share of profits, impacting production and potentially raising global copper prices.
Representing 61% of the workforce, the union has strong financial reserves and legal protections, enhancing its bargaining strength.
Past strikes (2006, 2011, 2017) led to significant production disruptions and higher copper prices.
Negotiations are stalled, with the union rejecting BHP’s offer but open to further talks, creating uncertainty.
Current copper prices remain stable, but the strike could disrupt supply and impact prices if prolonged.
The union seeks 1% of shareholder dividends (about $35,000), while BHP’s offer is a $28,900 bonus, which is less than demanded.
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