A strike that began on October 13 at a Gerdau’s mill in the state of Sao Paulo continues, according to a local union, with about 400 workers asking for better wages. The local union says 100 percent of the mill’s output is currently halted.
The union said the steelmaker didn’t comply with a 9.88 percent salary increase it proposed last year; the strike should continue for an indefinite period of time, as the union wait to negotiate its requests with Gerdau.
Gerdau said client support wasn’t affected, since it directed output from its Sao Jose dos Campos mill to other facilities. The steelmaker added the Sao Jose dos Campos plant is a “small mill” that “only” produces industrial wires.
Last week, Gerdau said it will provisionally suspend output at its Divinopolis mill, located in the city of same name in the state of Minas Gerais.
The other second plant, an energy optimizing furnace (EOF) mill, should start furloughing its employees by December this year.