Peru: Mining union wins the fight for trade union freedom

Background

The union’s struggle began in 2021, when the permanent employees at the Andaychagua mine attempted to open their union to colleagues employed through temporary staffing agencies. They filed a request to negotiate a new collective bargaining agreement, with the goal of securing better working conditions for both permanent and temporary workers. However, Volcan refused to negotiate, and parent company Glencore actively opposed the union’s efforts. The Peruvian government, however, had already confirmed the union’s right to negotiate in January 2022. Unfortunately, Volcan-Glencore continued to refuse to engage in dialogue, prompting the union to go on strike around Christmas 2022. The strike ultimately lasted 60 days. During the strike, two miners were fired.

A broader struggle: The complaint to the EU

The Peruvian law on outsourcing, which has been in force since 2008, is intended to reduce costs and improve the competitiveness of Peruvian industry. However, more than 70 per cent of miners in the metals sector are now temporary agency workers, who have to renew their contracts every few months. These agency workers are excluded from the company’s terms and conditions of employment and work under considerably worse conditions than permanent staff. It is clear that companies continue to refuse to take responsibility for safeguarding the labour rights of outsourced workers.

The problem with outsourcing

The Peruvian outsourcing law, which has been in force since 2008, is intended to reduce costs and improve the competitiveness of Peruvian industry. More than 70 per cent of miners in the metallurgical sector are currently temporary agency workers, who have to renew their contracts every few months.

These agency workers are excluded from the company’s employment safeguards and work under significantly worse conditions than permanent staff. It is clear that companies continue to refuse to take responsibility for ensuring proper rights for outsourced workers.

Glencore’s responsibility

Despite Glencore’s public claims regarding compliance with international labour standards and human rights, the miners and their trade unions report that, to date, the company has shifted the actual responsibility for working conditions onto its subcontractors. This practice undermines the enforcement of decent working conditions and labour rights for subcontracted workers.

Human rights concerns

Contract miners face harsh working conditions, such as extreme heat, poor ventilation and inadequate protective equipment. They work long shifts of 14 or 21 days in remote areas high in the Andes, without decent sleeping quarters. Their short-term, precarious contracts make it extremely difficult to organise trade unions.

In recent years, major investors, such as the Dutch pension fund ABP, have responded to human rights issues by adjusting their investment policies. On 15 October 2021, ABP announced that, due to these issues, it had decided to divest its holdings in Glencore.

This court ruling is a significant victory for workers in the Peruvian mining sector. Not only does it give the miners in Andaychagua greater power, but it also sets an example for workers employed through agency arrangements in industries across the world.