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'Health, then production': Unions ramp up pressure on Chile copper miner Codelco

Published 06/11/2020, 01:50 PM
© Reuters. The logo of Codelco, the world's largest copper producer, is seen at their headquarters in downtown Santiago
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By Fabian Cambero

SANTIAGO (Reuters) - Unionized mine workers in Chile, the world´s top copper producer, warned on Thursday that health should take precedence over output, one day after state-run Codelco´s unions threatened a walk-out at some of its operations.

Workers with the Federation of Copper Workers alleged an "alarming" spike in coronavirus cases at some mines, one week after a miner at the company´s massive Chuquicamata mine died from COVID-19.

"This is a general warning, in case the administration does not take the measures," Liliana Ugarte, head of the Chuquicamata 2 union, told Reuters on Thursday. "The lives of our people are more important than any production targets."

Codelco declined to comment on the federation's statement.

Mounting worker concerns come as South America has increasingly become the new front in the global coronavirus outbreak, with new cases cresting at 5,000 a day in Chile and deaths from the disease surpassing 2,600. Output from its copper mines, however, has been largely unscathed.

Codelco has been forced to scrap some contract work at its operations, shelved construction projects and implemented measures like longer shifts to prevent the spread of coronavirus.

Mine workers at BHP´s (AX:BHP) Escondida copper mine, the world´s largest, say its operations in northern Chile have complied with safety protocols.

Patricio Tapia, head of the Escondida workers union, told Reuters the mine had registered just 98 infections among nearly 10,000 workers. Nearly 600 workers with underlying conditions, he said, had been asked to stay home to minimize risk.

"Health, and then production," Tapia said. Escondida has boosted output by 9% in 2020. In April, the mine churned out 102,600 tonnes of copper, up 11.4% from a year earlier, according to Chile state copper agency Cochilco.

© Reuters. The logo of Codelco, the world's largest copper producer, is seen at their headquarters in downtown Santiago

Chile said in May its copper industry ranks among the least affected globally by the pandemic, anticipating just a 1% reduction in output.

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