Brazil Oil Workers to Stage 24-Hour Warning Strike Monday--Union

Printer Friendly Version
Email this Page

RIO DE JANEIRO--A union representing oil workers at Brazil's state-run energy company Petroleo Brasileiro (PBR, PETR4.BR), or Petrobras, said late Friday that workers will stage a 24-hour "warning" strike to protest the company's latest profit-sharing offer, although crude oil output is not expected to be affected.

The National Federation of Oil Workers, or FNP, said its members voted to approve the strike this week. The FNP is an umbrella union representing about half of Petrobras's 80,000 employees. Workers at a sister umbrella union known as the Brazilian Oil Workers Federation, or FUP, will also participate in the strike.

Workers are protesting Petrobras's initial profit-sharing proposal made in December, which was less than half the payment oil workers received last year, said Eduardo Henrique Soares da Costa, a director for the FNP. "This is a 24-hour warning strike to add a little pressure to the negotiations and let Petrobras know that it needs to improve its offer," Mr. da Costa said.

Oil workers will decline to change shifts and halt services at installations across the country, but Mr. da Costa said that production will not be affected by the work action.

Strikes such as the one planned for Monday typically involve slowdowns and work-to-rule actions that have limited affect on Petrobras's operations because of their short duration. The work action, however, comes as Petrobras struggles to boost crude-oil output amid ongoing maintenance at offshore platforms. Petrobras faced a similar 24-hour strike in September during salary negotiations.

Petrobras said it was taking "all administrative and operational measures" to guarantee normal operations on Monday. "Petrobras continues to be open to negotiations with the unions so that all parties can reach an understanding about [the profit-sharing payment]," the company said in an email.

The last major strike at Petrobras took place in July 2008, when oil workers walked off the job for five days to protest work issues and profit-sharing proposals. The strike cost Petrobras about 63,000 barrels of crude oil production per day.

Copyright (c) 2012 Dow Jones & Company, Inc.

Printer Friendly Version
Email this Page

WHAT DO YOU THINK?

Post a Comment Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies
Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE



Most Popular Articles

From the Career Center
Jobs that may interest you
Directional Drilling Coordinator - Houston
Expertise: Drilling Manager|Geologist|Operations Management
Location: Houston, 
 
Rentals & Asset Manager - Surface & Frac
Expertise: Asset Management|Operations Management|Subsea Engineering|Technical Sales
Location: Houston, 
 
Office Administrator/Billing Administrator - Centerville, TX
Expertise: Accounting or Finance|Secretarial or Administrative
Location: Centerville, TX
 
search for more jobs

Brent Crude Oil : $66.54/BBL 2.32%
Light Crude Oil : $60.72/BBL 2.95%
Natural Gas : $2.95/MMBtu 1.02%
Updated in last 24 hours