JAKARTA May 2 A group of contract workers at
the Indonesian unit of Freeport-McMoRan Copper & Gold Inc
will return to work on Friday after successful pay talks
ended their three-day work stoppage at the world's
second-largest copper mine.
On Tuesday, around 1,130 workers from three contractor
companies involved in a mine expansion project at Freeport
Indonesia's Grasberg copper and gold mine in West Papua province
went on strike after failing to get pay increases to meet the
"We have been informed that PT Jasti Pravita, PT Osato Seike
and PT Srikandi Mitra Karya, our three contractors that provide
services at the Central Services Workshop (to Freeport
Indonesia) have reached an agreement over the pay matters of
their workers today," Daisy K. Primayanti, vice president of
corporate communications at Freeport's local unit, told Reuters.
"We are pleased that their workers will return to work
tomorrow," Primayanti said in an emailed statement on Thursday,
adding that the strike had no immediate impact on the mine's
overall operations and production.
The workers had planned to strike for one month, according
to union officials, who had said more Freeport workers could
join the labour action if the company did not meet their
"We succeeded in reaching an agreement," Virgo Solossa, a
mining workers' union leader representing the contractors, told
Reuters and confirmed the workers will resume work on Friday.
Details of the agreement were not immediately available.
The last major strike at Freeport, in 2011, lasted for three
months, caused copper and gold output to drop 15 percent and was
Indonesia's longest-ever industrial dispute. Freeport said it
cost the Southeast Asian nation $1.5 billion in lost taxes.
The deal that was inked with workers to resolve the earlier
dispute, including a 37 percent pay increase over two years, is
due to end in October.
As of last year, Freeport employed just over 24,000 workers
at its Grasberg mine, about half of whom were contractors.
Earlier, Freeport Indonesia said its sales are expected to
reach 1.1 billion pounds of copper and 1.2 million ounces of
gold in 2013, up 54 percent and 31 percent over 2012 figures,
respectively, as mining moves into higher ore