Peru: 20-day strike by workers at Peru’s only brewer that threatened to drain Peru of beer ended on April 7 after brewer Backus y Johnston agreed to a pay rise for workers at the country's largest brewery, according to Reuters. "The agreement between the company and the union met the expectations of both sides with a (pay) rise of 2.80 soles ($0.81) a day, as well as a one-off payment for ending the strike," Backus' Human Resources Manager Alfonso Grados said in a statement.

The 310 staff at Backus' Ate brewery in Lima, which produces more than half of Peru's beer, went on strike on March 18 demanding a 5 soles-a-day salary hike. Backus paid a one-off amount of 900 soles ($260) to every worker and also agreed to increase pay for staff working late shifts, union leaders said.

Industry analysts said Backus, which is controlled by Colombian brewer Bavaria, would have been able to meet demand until the start of May by using stocks before beer supplies ran dry. The Ate plant produces about 1 million liters of beer a day, or 60 % of Backus' overall production.

09 April, 2004