On September 16th the union representing the workers of Peru’s Backus & Johnston family of breweries announced that they are going on strike.
The union, the Sindicato Nacional de Obreros de Unión de Cervercerías Peruanas de Backus y Johnston S.A., or Sindicato Backus, announced that as of 4:30 pm on the 10th of September, negotiations with the company had broken down. That same evening, the company filed a motion for arbitration.
The Sindicato Backus rejects that motion, citing a recent ruling by SUNAFIL, Peru’s labor relations authority, against the Gloria S.A. dairy and fruit drink corporation. The union has filed the requisite notices with the SUNAFIL and the Backus corporation in preparation for striking when the legally required waiting period expires on the 28th.
Backus & Johnston is Peru’s largest beer company and part of the ABInbev empire. It controls upward of 99% of the Peruvian beer market and posted net earnings of US$306.4 million in 2020, and US$175.6 million in the first semester of 2021.
The strike would affect plants in Lima, Huarochirí, Arequipa, Cusco y Trujillo, which produce Backus’ Cristal, Pilsen, Cusqueña, and Arequipeña beer brands, Guaraná soft drink, San Mateo bottled water, Maltin Power energy drink, and other alcoholic and non-alcoholic beverages.