Panama Canal Expansion Strike Averted

The primary contractor within the Panama Canal growth undertaking says it has reached an settlement with the native labor union, avoiding a labor strike that threatened the completion of the brand new expanded waterway as scheduled.

In a press release Wednesday, the contractor of the ‘Third Set of Locks’ undertaking Grupo Unidos por el Canal (GUPC) mentioned it had reached an settlement with Panamanian labor union SUNTRACS over employee wage raises with a purpose to keep away from a strike of the 6,000 employees concerned within the building of the brand new locks on the Atlantic and Pacific sides of the canal.

GUPC and SUNTRACS agreed to $4.81 for certified classes and a rise of 5% for different classes, retroactive from July 1, 2015.

SUNTRACS was beforehand requesting a brand new wage improve of 8.9% ranging from July 1, 2015, though GUPC insisted {that a} earlier wage improve of 11% in May 2014 was only a one time deal. SUNTRACS warned that employees would strike starting Wednesday if their calls for weren’t met.

In its assertion announcement the settlement, GUPC reiterated that wage will increase for employees had already been paid final yr and was thought of legitimate till the tip of the contract, nevertheless the group is making ‘an extra monetary sacrifice” to keep away from a strike that may once more affect the supply schedule of the undertaking.

The Panama Canal Authority, which is answerable for the operation and administration of the Panama Canal, says the settlement “marks the continuation of a harmonious relationship between both parties” after refusing earlier this week, on the idea of regulation, to turn into concerned within the labor negotiations.

“The Panama Canal Authority (ACP), despite being the owner of the project and with a wide knowledge of the financial commitments that GUPC has had to assume, has ignored the negotiation,” GUPC mentioned in its assertion concerning the settlement.

The Third Set of Locks undertaking presently stands at 93% full, with opening scheduled for April 2016.