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Gold/Mining/Energy : Mining News of Note

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To: LoneClone who wrote (36011)4/24/2009 10:28:48 AM
From: LoneClone  Read Replies (1) of 193918
 
Grupo Mexico offers Cananea copper mine strikers severance

Mexico's largest mining company is offering severance packages to workers at the big Cananea copper mine who have now been on strike for 21 months.
Posted: Thursday , 23 Apr 2009

MEXICO CITY, (Reuters) -

mineweb.com

Grupo Mexico offered severance packages to striking miners at Mexico's largest copper mine on Wednesday following a labor tribunal ruling allowing the company to fire the workers.

Grupo Mexico said it was offering the 1,500 striking workers at the massive Cananea copper pit three months pay plus some compensation for each year worked and said it would create jobs to rebuild the mine. The workers have been on strike for 21 months.

The union is appealing last week's ruling by the labor board, which concluded Grupo Mexico could no longer operate the Cananea deposit near the U.S. border because machinery left idle for months had been looted and was damaged beyond repair.

Union officials said in a statement ahead of the visit by leftist politicians that the government should cancel Grupo Mexico's mining concession.

The miners laid down tools in July 2007 in a dispute that began over health and safety standards but has since been complicated by a personal feud between the company and the union's leaders.

Two smaller Grupo Mexico mines have been on strike for the same amount of time as Cananea and the company has vowed to close those worksites as well.

This is not the first time Grupo Mexico and the miners union have clashed.

Grupo Mexico's second largest copper mine, La Caridad, was shuttered for months in 2006 by a strike that ended when the company fired all the workers and rehired most under a new contract.

Grupo Mexico said it would create 1,200 new jobs if Cananea is reopened and would hire 2,000 workers for reconstruction.

(Reporting by Mica Rosenberg; Editing by Richard Chang)
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