Details of Sicartsa strike emerge

Details of Sicartsa strike emerge

For over one week now, workers at Mexican rod manufacturer Sicartsa have been on strike. The main issue seems to be an effort to have a new mill depot outside of Monterrey, Mexico unionized. Oddly enough, the strike was started by the Miners Union who wanted to be approved as the recognized union at the new depot. Management of Sicartsa has made arrangements to buy large amounts of wire rods and billets to maintain sales to their Mexican clients. Several meetings in Mexico City have been held and Lazaro Cardenas area politicians have appealed to both parties to arrive at an arrangement in order to avoid economic hardship for the local population. Chances of a quick settlement are unlikely. Expectations are that the strike will last two to three months. In the meantime, north of the border, the lockout at Gerdau Ameristeel in Beaumont, Texas has been in effect since May 26. A meeting is scheduled for this week so management and the union can attempt to arrive at an understanding that will allow workers to return to work while a new contract is negotiated. Chances of a quick resolution are slim and the impact of the lockout on the rod market remains negligible.