A] Prelude
For more information on pension systems, risk and coverage, feel free to visit our dedicated webpages:
https://expatpensionholland.nl/global-pillars-systems
https://expatpensionholland.nl/global-investments-risks-0
https://expatpensionholland.nl/global-social-security-coverage
For even more information feel free to visit the following external sites:
https://www.oecd.org/content/dam/oecd/en/publications/reports/2016/02/oecd-reviews-of-pension-systems-mexico_g1g5c61f/9789264245938-en.pdf
https://mexicobusiness.news/finance/news/oecd-warns-mexicos-new-pension-fund-lacks-long-term-stability
B] The Issue
This case is a fine example that correct compensation for employees is deemed relevant by employees and unions. And some employers and some governments.
After nearly two decades, the labor conflict at the Cananea mine has come to an end, as miners from Section 65 of Mexico’s National Miners’ Union unanimously approved a final agreement providing long-awaited compensation, access to social security and pensions, and a comprehensive resolution for more than 650 workers and their families.
C] The Details
According to Section 65, the assembly unanimously endorsed the agreement, which followed negotiations involving the union, the federal government, the Ministry of the Interior, the Ministry of Labor and Social Welfare, and the government of the state of Sonora, as part of Cananea’s remediation plan.
The conflict began on July 30, 2007, after concerns arose over labor and safety conditions at the mine operated by Grupo México. Over the years, miners faced prolonged economic strain, legal proceedings, and other challenges, with at least 52 workers dying during the dispute, according to union records.
The agreement centers on five key components: a severance package that respects essential provisions of the original collective bargaining agreement; enrollment of workers and their families in the IMSS; access to pension schemes under the 1973 and 1997 laws; extension of benefits to widows of miners who died during the conflict; and the option for miners who wish to return to work.
Union leaders emphasized that the outcome is a testament to collective unity. “Cananea resisted and won.” They also stressed that this victory does not mark the end of the struggle, but reinforces that union solidarity remains the most effective path to justice.
On the day of the agreement, miners from Section 65 and widows, after presenting the required documentation, went to Cananea’s Municipal Palace to receive their severance checks from the Conciliation Board. These payments had originally been issued 18 years ago when their employment with the Mexican Cananea Mine ended, but beneficiaries had opted not to cash them until a definitive agreement was reached.
Following multiple negotiation rounds and a recommendation from the Inter-American Commission on Human Rights, the federal government committed to providing extraordinary funding of MX$483 million. These funds will be distributed on a date to be determined, based on each worker’s seniority and job classification at the start of the strike. Sonora’s Deputy Minister of Government, Ana Luisa Chávez, attended the process to formally witness the agreement and support the resolution of this historic labor conflict.
D] Finally
Napoleón Gómez Urrutia, Secretary General, National Union of Mine, Metal, Steel, and Allied Workers of the Mexican Republic, noted that the agreement closes a chapter marked by a prolonged struggle, while reaffirming that the defense of labor rights continues.
He also urged continued dialogue and called for resolutions to ongoing strikes in Taxco, Guerrero, and Sombrerete, Zacatecas, where workers remain engaged in efforts to secure fair conditions and labor justice….