A Strike is Slowing the Mining Process
May 22, 2015
Miners in Peru are striking and the impact is already being felt at several mines. Union mine workers began an indefinite strike in an attempt to force Peru’s government to strengthen labor laws. That’s according to the head of the national mine workers union.
Production is likely to suffer and if the strike stretches on, the impact could be felt globally.
The work stoppages at several mines in Peru may decrease mineral production in the country. Peru is currently the world’s third largest producer of copper, silver and tin. It is the world’s seventh-biggest gold producer.
At the heart of the strike, is a law passed last year. The law eases the rules on firing workers. Union workers are demanding the government repeal the law and want it to restrict the use of contract workers in mining companies.
The strike also wants to result in the halt of legislation that mining union leaders say reduces benefits and workplace inspections.
Will there be any changes as a result of this strike? It remains to be seen. The global impact will be felt over time if it lasts for months.
It all points to the volatile nature of the mining industry. It’s not likely to change anytime soon.