Rio Tinto reaches new labor contract at Utah copper operations

Rio Tinto Group reached a new five-year collective bargaining agreement with unions representing about 1,300 employees at its Kennecott copper operations in Utah, the company announced April 1.

The mining major's Utah operations comprise the Kennecott copper mine, also known as Bingham Canyon, as well as a concentrator, smelter and the Kennecott refinery.

The labor contract is effective April 1 and was ratified after seven weeks of negotiations. It includes "fair and competitive wages and enhanced benefits for all represented Rio Tinto Kennecott employees and new pathways to career progression," the company said.

Workers had rallied to call for a fair contract ahead of a March 31 deadline to ratify a new agreement, The Salt Lake Tribune reported March 25.

The mine contributes $1.6 billion per year to Utah's economy and employs more than 2,000 people, according to Rio Tinto.

In 2021, Kennecott's mined copper production increased 14% year over year to 159,400 tonnes of copper. The uptick was driven by increased grades and recovery rates, offset by a slope failure in May 2021.