Santiago, Chile - Workers went on strike at Chile's largest copper mine on Monday after rejecting a last-minute pay offer from the state mining company Codelco - the world's largest copper producer.
The century-old Chuquicamata mine in far northern Chile is one of the world's largest open-pit operations and it produces about half of Codelco's output. Codelco as a whole produces about 4% of the world's copper.
Company officials said that more than 2 800 workers failed to turn up for early shifts at the mine on Monday as the strike began.
"We did everything possible to avoid it, but that was not possible and we believe that this is not going to be good for the country," President Michelle Bachelet said.
The company has offered workers a salary increase of 3.8% and individual bonuses of $23 000, noting that the official inflation index rose by less than 1% over the past year.
Union leaders argue that living costs are higher in the region of the mine and they have been seeking a 7.5% pay hike and a $28 000 bonus to match pay for workers at the private Escondida mine owned by the Anglo-Australian consortium BHP Billiton. Codelco says that mine produces more than Chuquicamata with fewer workers.
Monday evening, Codelco sent workers a new offer that included a 4% raise, a $24 280 bonus and a $6 000 interest-free loan.
The company said in a statement that the proposal would be on the table only until early Wednesday, "because after that date it would be very difficult to recoup the losses generated by the strike."
Hernan Guerrero, president of the N3 union at Chuquicamata, said workers would likely vote on the proposal on Tuesday.
"We are going to call an urgent assembly ... to make the offer known," Guerrero said.
Codelco had said it has sufficient inventories to meet commitments for January.
- AP