Inspections records obtained by Reuters through a public information request show that Chilean state-owned copper miner Codelco has been fined by the labor authority following a fatal collapse last year at its El Teniente mine. Three contractors responsible for worker deaths and injuries received more severe penalties.
The previously unreported sanctions were issued months after a seismic event on July 31 triggered a rockburst underground. The accident occurred at El Teniente, the world's largest underground copper mine, killing six contract workers and injuring several others.
Documents acquired by Reuters from Chile's Labor Ministry via an information request revealed that such fines are typically notified directly to employers and can be appealed or reduced through administrative procedures, but are not usually made public.
Following the incident, then-Labor Minister Jorge Pozo stated that his department, along with mining regulator Sernageomin, would investigate the cause of the accident and whether any labor safety regulations had been violated.
The earthquake, which registered around magnitude 4.3, led to a complete halt of all underground operations at the major mining complex to allow for rescue efforts and safety inspections.
The collapse resulted in significant production losses for Codelco. The company reported that the suspension and slow restart of underground activities at El Teniente reduced its copper output by tens of thousands of tons, disrupting shipments amid a context of tight global supply.
The accident also highlighted the geotechnical risks faced by Chile's aging underground mines.
Contractors Fined More Than Codelco
Records indicate that the three contractors were fined a total of approximately $87,000, while Codelco was fined about $20,000. This disparity reflects Chile's system for allocating responsibility in subcontracting arrangements.
Under Chilean labor law, while principal company Codelco can be penalized for overall safety management failures, contractors, as direct employers, bear primary responsibility for accident reporting, risk assessment, worker deployment, and other compliance obligations.
In one of the penalties, labor inspectors noted that Codelco lacked a comprehensive written procedure specifying how decisions to suspend or restrict operations should be made based on seismic early warnings.
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