Oil Workers Approve Petrobras Wage Contract

by: energytribune Posted date: October 16, 2012 In: Headlines

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Oil workers approve Petrobras wage contract

RIO DE JANEIRO–Oil workers at Brazilian state-run energy giant Petroleo Brasileiro (PBR, PETR4.BR), or Petrobras, approved the company’s latest wage offer and signed the labor deal Tuesday, averting a potential strike.

The Brazilian Oil Workers Federation, or FUP, said that 70% of workers voted to approve the deal, which Petrobras offered on Oct. 5. FUP is an umbrella union that negotiates on behalf of 12 affiliated unions across Brazil, representing nearly 60,000 of Petrobras’s 75,000 employees. Petrobras declined to comment.

The settlement helped Petrobras avoid a potentially damaging strike at a delicate time for the company. Offshore platform maintenance has undercut crude oil output this year, while heavy fuel imports have undercut earnings. The differences between oil workers and Petrobras, which is controlled by the government, also underscored a growing number of labor disputes in Brazil.