Newmont has announced that it has successfully reached an agreement with the National Union of Mine, Metal and Allied Workers of the Mexican Republic to end the strike at Mexico's Peñasquito Mine. This resolution did not include the additional profit sharing demand that led to the labor action.
To address the financial impact of the strike on Newmont's workforce, the company will provide employees with a fixed amount, approximately 60% of lost wages. Additionally, if the Peñasquito mine reports no profit in 2023 due to the strike, Newmont will pay a bonus equivalent to two months' wages in the second quarter of next year.
Further negotiations concerning annual wages resulted in an 8% increase, aligning with the industry standards for Mexican mining. It is important to note that these negotiations were not part of the Union's grounds for initiating the strike.
Operations at the Zacatecas mine have remained suspended since June, and Newmont anticipates that it will take several weeks to return to stable production levels once operations resume. This mine is known for its production of gold, silver, lead, and zinc.
