Identifier
Created
Classification
Origin
06BOGOTA5712
2006-06-26 13:29:00
UNCLASSIFIED
Embassy Bogota
how-toVZCZCXYZ0026 PP RUEHWEB DE RUEHBO #5712 1771329 ZNR UUUUU ZZH P 261329Z JUN 06 FM AMEMBASSY BOGOTA TO RUEHC/SECSTATE WASHDC PRIORITY 6365 INFO RUEHCV/AMEMBASSY CARACAS 7876 RUEHLP/AMEMBASSY LA PAZ JUN LIMA 3948 RUEHQT/AMEMBASSY QUITO 4596 RUEHGL/AMCONSUL GUAYAQUIL 3596
UNCLAS BOGOTA 005712
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: ELAB EMIN EINV ENRG CO
SUBJECT: DRUMMOND STRIKE ENDS
REF: A. BOGOTA 5524
B. BOGOTA 5486
C. BOGOTA 5395
D. BOGOTA 5384
UNCLAS BOGOTA 005712
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: ELAB EMIN EINV ENRG CO
SUBJECT: DRUMMOND STRIKE ENDS
REF: A. BOGOTA 5524
B. BOGOTA 5486
C. BOGOTA 5395
D. BOGOTA 5384
1. On June 22, the Drummond company and the union
representing its workers, SINTRAMINENERGETICA, signed a new
labor contract, ending a 32 day strike. Both Mike Tracy,
Drummond Director for Mining Operations, and union
representative Francisco Ramirez, separately told Emboffs
they were "very happy" with the agreement. The settlement
includes an 8 percent salary increase with a 1.5 percent
increase over inflation the following year, an indemnity
payment increase of 31 percent, new disciplinary procedures,
and industrial safety guarantees. The contract is valid for
two years, beginning June 1, 2006, and its salary terms will
also be applied retroactively from April 1, 2006. Workers
will return to work at noon on June 23.
2. Both parties are satisfied with the issue of labor
stability, which had been a primary point of contention
during negotiations. Union representative Ramirez told
Laboff the union had won more job security through the new
disciplinary procedures, increased severance pay, and a
commitment by the company not to fire workers for strike or
other union related activities. Drummond Director Tracy
explained to Econoff the company had conceded ground on
indemnity payments and other financial points, but was
relieved that the company had avoided committing to a "just
cause clause" for worker dismissals.
3. The strike has caused estimated lost revenue of 130
million USD to the company.
WOOD
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: ELAB EMIN EINV ENRG CO
SUBJECT: DRUMMOND STRIKE ENDS
REF: A. BOGOTA 5524
B. BOGOTA 5486
C. BOGOTA 5395
D. BOGOTA 5384
1. On June 22, the Drummond company and the union
representing its workers, SINTRAMINENERGETICA, signed a new
labor contract, ending a 32 day strike. Both Mike Tracy,
Drummond Director for Mining Operations, and union
representative Francisco Ramirez, separately told Emboffs
they were "very happy" with the agreement. The settlement
includes an 8 percent salary increase with a 1.5 percent
increase over inflation the following year, an indemnity
payment increase of 31 percent, new disciplinary procedures,
and industrial safety guarantees. The contract is valid for
two years, beginning June 1, 2006, and its salary terms will
also be applied retroactively from April 1, 2006. Workers
will return to work at noon on June 23.
2. Both parties are satisfied with the issue of labor
stability, which had been a primary point of contention
during negotiations. Union representative Ramirez told
Laboff the union had won more job security through the new
disciplinary procedures, increased severance pay, and a
commitment by the company not to fire workers for strike or
other union related activities. Drummond Director Tracy
explained to Econoff the company had conceded ground on
indemnity payments and other financial points, but was
relieved that the company had avoided committing to a "just
cause clause" for worker dismissals.
3. The strike has caused estimated lost revenue of 130
million USD to the company.
WOOD