ArcelorMittal’s 55-Day Work Stoppage in Mexico Ends with Pay Hike Agreement

ArcelorMittal announced on Thursday that a 55-day blockade at one of its Mexican sites has concluded after workers approved a new settlement. This agreement includes an 8% pay increase and a review of the collective bargaining agreement.

The work stoppage began in late May when workers affiliated with the mining union protested against the company’s annual profit distribution for 2023, effectively halting all operations.

In its statement, ArcelorMittal outlined that the new settlement features a retroactive pay increase, a stimulus payment of 60,000 pesos (approximately $3,336) per worker, food vouchers, back pay, and the hiring of a “reputable tax firm” to assess any unpaid profit-sharing differences.

The company expressed relief at being able to resume activities once restart protocols are established, while also regretting the damages incurred by direct and indirect suppliers and their workers during the stoppage.

ArcelorMittal, which has characterized the work stoppage as illegal due to the lack of proper conciliatory processes, noted that the settlement was approved by a significant majority of the workers. As one of the largest steel and mining companies globally, ArcelorMittal reported over $68 billion in sales last year.

ArcelorMittal’s 55-Day Work Stoppage in Mexico Ends with Pay Hike Agreement
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