Walmart union in Chile ends strike after 18-month contract extension

July 17, 2024

The Walmart union in Chile has ended a six-day strike after its current collective agreement with the company was extended for another 18 months. Reuters has reported.

The National Federation of Walmart Workers called the decision “painful but necessary” after the strike.

The union had campaigned for wages to be adjusted to inflation and for higher social benefits.

The strike began in mid-July 2024 after negotiations on a new collective agreement failed.

Walmart Chile immediately warned that 75 supermarkets could close and another 82 might only be open with restrictions.

Under local law, union members are allowed to agree on a basic contract and renegotiate after 18 months.

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Meanwhile, in a separate move, Walmart opened a new 730,000-square-foot (68,400 m²) perishable distribution center (PDC) in Lancaster, Texas.

The new facility is located 15 miles south of Dallas and can handle and process fresh produce, eggs, dairy, flowers and frozen goods for delivery to Walmart stores.

The Lancaster PDC is part of Walmart’s supply chain transformation to ensure a strong supply of fresh and frozen goods across its 4,600 stores.

It is the second of five planned high-tech perishable distribution centers and is equipped with the latest technology to handle more than twice the volume of a traditional distribution center.

This technology not only helps items get to store shelves faster, but also creates new career opportunities and paths for employees.

The Lancaster facility, located at 940 East Pleasant Run Road, employs more than 500 full-time Walmart associates and is seeking employees for technically oriented positions, including automation equipment operators.

Lancaster site managing director Ervin Goad said: “We are proud to offer our employees new opportunities and equip them with the skills they need to handle the advanced robotic technology that is transforming our business.”

“The employees at the Lancaster plant will play a key role in ensuring our customers receive the items they want, when they want them.”

Walmart has a strong presence in Texas with 590 retail stores and an online platform.

The company employs 176,000 people in the country.

In May 2024, Walmart expanded its operations in Pennsylvania with a new fulfillment center in Greencastle.