Sierra Metals Inc. suspended all mining and milling operations at its Yauricocha silver mine in Peru on March 19 after a majority of the workers started a strike.
Members of the Union of the Mine and Metallurgical Workers of Minera Corona, which represent about 66% of mine employees, initiated a strike in protest of contractor changes being made as part of regular operations.
The Peruvian Ministry of Labour deemed the strike illegal under current legislation, according to a March 21 release.
President and CEO Igor Gonzales said the strike will not materially affect the company's annual production guidance or mine budget.
In mid-February, Peru's National Environmental Certification Service approved the environmental impact assessment study for expanding the tailings deposition facility at the Yauricocha mine.