Brazil Oil Union to Accept Petrobras Labor Offer, Ending Strike

• FUP's board majority approved accepting Petrobras' counteroffer with 'adjustments' and 'advances on key union demands', pending worker approval
• Strike lasted one week and hit oil platforms, refineries and biodiesel plants across Brazil's state-run oil operations
• Core dispute involved deficit in company retirement fund and proposed changes to employee compensation structure

Petrobras Strike Ends as Union Accepts Counteroffer

Brazilian oil workers union FUP announced Monday it will accept a counteroffer from state-run Petrobras (PETR4.SA), ending a week-long strike that began December 19, 2025. The union's board approved the acceptance, pending final worker approval, though specific terms were not disclosed.

Key Issues:

• Strike centered on disputes over retirement fund deficit and proposed changes to employee compensation structure
• Labor action affected oil platforms, refineries, and biodiesel plants across Brazil's oil infrastructure

Market Impact:

• Petrobras confirmed the strike did not affect production levels or market supply
• Company made "adjustments" to its collective labor proposal, including "advances on key union demands"

Operational Scope:

• Workers demonstrated at Petrobras headquarters in Rio de Janeiro
• Banners indicated "Pre-salt oil production stopped" and "National oil strike," though company statements contradicted production disruption claims

The resolution removes a potential supply risk for Brazil's oil sector and Latin America's largest oil company. Petrobras, crucial to Brazil's energy independence and pre-salt oil development, avoided operational disruptions that could have impacted global oil markets. The swift resolution after one week suggests both parties prioritized maintaining production stability while addressing worker concerns. The agreement's acceptance signals labor relations stability for Petrobras heading into 2026, though specific financial terms and compensation adjustments remain undisclosed.