Mobilization of workers secured an agreement at PepsiCo Brazil

PepsiCo Company in São Paulo city has initially failed to reach a wage agreement with the workers. After the mobilization of workers at São Paulo factory, the management communicated with the Food Industry Workers Union seeking an agreement. The IUF Latin America region talked with Neuza Barbosa de Lima, leader of the FETIASP and vice president of the IUF, who has accompanied the negotiation process and Paulo Francisco de Almeida, president of STIA-Guarulhos about the new agreement.

“The workers of São Paulo PepsiCo plant negotiated separately from other factories in the state of São Paulo. The company was offering a wage hike that included only the Consumer Price Index for the period. In addition, workers perceive a basket which should be equated to what the company pays to the rest of their units” said Neuza.

On March 27, 2015, three most important trade unions in the country attended a general assembly to discuss the PepsiCo negotiations. Neuza added that there would be a new stage of negotiations and workers consider the strike option if no progress is achieved.

PepsiCo has offered an increase of 9.5 percent for workers with lower wages and an 8 percent adjustment for the rest of the staff.

Paulo Francisco de Almeida, president of STIA-Guarulhos, thanked the IUF Latin America region for its support in unlocking the negotiations.

“In addition to the salary increase, we improved the basic food basket, which will increase by 13 percent, and we secured a commitment from the company to negotiate this point again within eight months” he announced.

PepsiCo has 16 production plants in Brazil and over 100 subsidiaries located throughout the country with about 14,000 employees. Since 1997, the company maintains close business relationship with AmBev for production, marketing and distribution of its beverages: Pepsi-Cola, H2OH; Gatorade and Lipton, among others.