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Brazil FUP oil workers suspend strike

Oil workers in Brazil said they have suspended a nationwide strike planned for 5 August, after state-run Petrobras submitted a new offer in negotiations.

A representative for FUP, an umbrella union for workers in the oil sector, said the national strike was now off after Petrobras made an offer to raise profit sharing terms for workers from the current 12.9% to 15.2%.

Brazilian oil workers have been seeking improved profit sharing terms with Petrobras, which accounts for the vast majority of Brazil's oil and gas production, said Reuters.

The smaller Norte Fluminense union went on a five-day strike a few weeks ago.

It briefly affected production from Petrobras platforms in the Campos basin which accounts for about 85% of Brazil's oil output.

Jose Maria Rangel, a coordinator of Norte Fluminense oil workers union, said his union was still in talks with Petrobras over demands that those days on which workers depart from platforms for shore be counted as paid work days.

Rangel said Norte Fluminense still planned to go back on strike 5 August, which could affect the Campos basin principally, unless Petrobras came up with a better offer regarding the departure days.

A nationwide strike in 2001 seriously hurt Petrobras' production. Over the past few years, the company has been keen to reach agreements with workers before they stage strikes that affect production.

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