Chiquita Panama Seeks Approval for Remaining Worker Layoffs After $75M Strike Losses

Chiquita Brands, a major U.S. banana producer, is moving to lay off all its remaining workers in Panama after a prolonged strike halted production and caused over $75 million in losses. The labor unrest began on April 28 in protest against pension reforms and led to the firing of about 5,000 out of 6,500 employees last month, with the company's administrative staff also leaving the country. Chiquita is seeking government authorization to proceed with further layoffs amid ongoing negotiations and escalating tensions, including police using tear gas against demonstrators blocking major highways. President Jose Raul Mulino's administration has proposed restoring labor benefits to banana workers if roadblocks are lifted, but unions have refused to comply until new regulations are enacted. This labor dispute not only disrupts Chiquita's operations but also impacts the Bocas del Toro region's economy, which depends heavily on tourism and banana production. The broader consequences for Panama's agricultural sector and banana market remain uncertain as the situation develops.