Brazil Oil Workers to Hold Wage Talks With Petrobras Nov. 10

Workers at state-controlled Petroleo Brasileiro SA (PETR4) will meet with management on Nov. 10 to discuss a wage increase and working conditions, a union leader said.

The union, known as FUP, will review the need for a strike after the meeting and still plans an indefinite stoppage starting on Nov. 16, Joao Antonio de Moraes, head of the union, said today in a telephone interview from Rio de Janeiro.

Workers are demanding a 10 percentage-point increase above inflation and better safety at platforms and refineries, the union said yesterday in an e-mailed statement. The union said it rejected Petrobras’s most recent offer on Oct. 31.

Brazilian automotive, construction and bank workers have gone on strike to demand raises in excess of 10 percent after annual inflation reached a six-year high of 7.3 percent in September. Petrobras, which produces about 90 percent of Brazil’s oil, granted union workers a 9.4 percent raise in 2010.

Petrobras fell 0.4 percent to 22.59 reais at 5:30 p.m. in Sao Paulo.

To contact the reporter on this story: Peter Millard in Rio de Janeiro at pmillard1@bloomberg.net

To contact the editor responsible for this story: Dale Crofts at dcrofts@bloomberg.net

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