Bloomberg reported that BHP Billiton Limited workers at copper mines in Chile and Peru are pressing for a share of record profits earned in 2008 as talks start on new labor contracts.

Mr Francisco Marinas union secretary of Peru said that workers at the Antamina mine in Peru are in negotiations with management after their contract expired last month. Miners at the Escondida and Spence copper mines in Chile will also negotiate new contracts between September and December.

Escondida’s workers went on strike for almost a month in 2006 as they fought for a share of copper prices that rose 40% the year before. A strike at Spence and Escondida would disrupt a quarter of production from Chile and may cause copper prices to increase.

Melbourne based BHP earned a record USD 15.4 billion in 2008. The company said that fiscal H2 profit declined 65% to USD 3.26 billion after the recession curbed prices and metals demand.

Mr Mauro Valdes a spokesman for BHP in Chile declined to comment on labor talks at the Escondida and Spence mines. Mr Jose Salazar a spokesman for the Antamina mine said that talks are ongoing between management and workers.

Mr Joel Crane a commodities analyst at Deutsche Bank AG in New York said that “Workers are going to want wages or bonuses that will be reflecting the phenomenal rises in prices. They know that the companies are minting it.”

(Sourced from Bloomberg)