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Strike suspended at RUSAL Guinea refinery

Thursday, Mar 24, 2011
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A group of contracted workers at RUSAL's (RUSL.MM: Quote) Friguia refinery in Guinea have suspended a strike after a provisional deal was found, a union official said on Wednesday.


The group of workers, who are employed by contracted firms at the 640,000-tonnes-a-year plant, had downed their tools on Tuesday to demand the same pay as other subcontractors directly employed by RUSAL (0486.HK: Quote) through a subsidiary.


RUSAL had said on Tuesday there were no operational problems at the alumina refinery and said action by people it called "hooligans" had not disturbed the work.


"The strike has been suspended. We have found a preliminary agreement but the talks are ongoing Diossory Kouyate, a union leader, told Reuters on Wednesday.


Kouyate said that one of the terms agreed upon was the increase from 316,000 Guinean francs ($48) to 525,000 francs the minimum wage for sub-contractors.


There was no immediate comment from RUSAL, the world's second-largest aluminum company.


Statements that RUSAL's operations were unaffected by the strike on Tuesday contradicted earlier statements by sources in country, who said about a thousand contracted workers had taken part and that activities at the refinery had slowed down.


It is estimated that the Friguia refinery produces about 1,800 tonnes of alumina per day. In April last year, workers at the refinery embarked on a 16-day strike, demanding a 50 percent pay rise.

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