No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeArchivePanama Canal Expansion Project Stalled by Strike

Panama Canal Expansion Project Stalled by Strike

PANAMA CITY – The construction of a third set of locks for the Panama Canal has been stalled due to a strike involving close to 700 workers, who are demanding better working conditions and pay increases.

Meanwhile, negotiations have begun between representatives of the striking workers and the consortium handling the project, Grupo Unidos por el Canal (GUPC).

The strike comes just six days after Panamanian President Ricardo Martinelli, Italian Prime Minister Silvio Berlusconi and Spanish Deputy Prime Minister Manuel Chaves officially inaugurated the canal expansion project.

“We have communication with the people. (The work has been shut down) and the strike is continuing,” Genaro López, secretary general of the Suntracs construction union, told EFE Tuesday, adding that 700 workers are taking part in the strike.

The protest began on Saturday, and has gradually received the backing of more workers involved in building the third set of locks, a project being carried out by the GUPC consortium, which is led by Spain’s Sacyr Vallehermoso and includes Italy’s Impregilo, Belgium’s Jan De Nul Group and Panama’s Constructora Urbana.

Representatives of GUPC, which was awarded the $3.1 billion project, sat down Tuesday with union representatives in an effort to resolve the dispute.

The workers are demanding a salary hike, a solution to the lack of transportation for workers and more sanitary working conditions, among other improvements.

“On the negotiating table is the discussion of 13 points, 12 of them involving violations of the collective bargaining agreement and the labor law,” López said, adding that the work stoppage will continue while the negotiations are taking place.

The consortium has agreed to “comply with a countless number of points, but there is still the issue of salary, payments to people on strike and (guarantees of) no reprisals against workers,” he added.

GUPC did not comment on Tuesday, after issuing a press release Monday night saying only that it “will take appropriate legal action to ensure normal operations of this great project.”

The 300 workers involved in the Atlantic construction work and the close to 400 working on the Pacific side earn between $2.90 and $3.37 an hour, depending on skill level and job classification.

The goal of the canal expansion plan, which encompasses several projects and is estimated to cost a total of $5.25 billion, is to double the waterway’s annual capacity from 300 million tons of shipping to 600 million tons.

–EFE

Trending Now

Neymar Returns as Brazil Beats Scotland at World Cup

Neymar finally returned to Brazil’s World Cup stage Wednesday night, stepping back into the yellow shirt after nearly three years away from the national...

Cerúndolo Carries Argentina Into Queen’s Club Semifinals

Francisco Cerúndolo’s grass-court rise has taken another meaningful step, and this one comes with a clear Latin American edge. The Argentine seventh seed reached...

El Salvador Peach Festival Brings Highland Experience to Chalatenango

The eighth Peach Festival opened today in Río Chiquito, a community in the San Ignacio district of Chalatenango Norte. Local producers and tourism operators...

Costa Rica Opens Probe Into Blast During Presidential Visit to Crucitas

Costa Rica’s Judicial Investigation Agency, known as the OIJ, opened a preliminary investigation into a detonation that interrupted President Laura Fernández’s visit to Crucitas,...

Costa Rica Adds New Tree Species to Its Biodiversity Record

Scientists have confirmed the discovery of a new tree species in northern Costa Rica, a rare botanical find known so far from only a...

Scientists Discover New Deep-Sea Ghost Shark Species Off Costa Rica

A team of Costa Rican and Brazilian scientists has identified a new species of deep-sea fish living in the Pacific waters off Costa Rica,...

Panama Knocked Out of World Cup 2026 After 1-0 Loss to Croatia

Panama’s World Cup run is over after another painful, low-margin defeat. The Central American side lost 1-0 to Croatia on Tuesday night at Toronto...

Costa Rica Dollar Exchange Rate May Have Hit Bottom

For the better part of 2026, the story for anyone earning dollars in Costa Rica has been the same: the colón keeps getting stronger,...

U.S. Calls Cuba’s New Economic Reforms Superficial Smoke Signals

The U.S. State Department on Friday dismissed Cuba’s newly approved economic overhaul as cosmetic, casting doubt on whether Havana’s biggest opening toward market-style reforms...
🌴 The Weekly Pura Vida

Costa Rica, Once a Week

The week's top stories, weather & insider tips — delivered every Sunday. One email, zero clutter.

🔒 Free. No spam. Unsubscribe anytime.

Loading…

Latest News from Costa Rica

Costa Rica Coffee Maker Chorreador
Costa Rica Car Rentals
Costa Rica Travel Insurance
Costa Rica Travel