The miner Freeport-McMoRan says it has successfully concluded negotiations with union workers at its Papua site in Indonesia on terms for the Collective Labor Agreement.
In a release, Freeport says both parties have agreed in principle on the substantive terms to be included in the agreement for the upcoming two-year period, including a base pay increase for the workers.
Enhancements in the pension plan and other benefits were also agreed upon.
Negotiations have been proceeding intermittently since June.
Freeport Indonesia, which employs about 24,000 workers, expressed relief that negotiations have been settled without having to go through a strike.
Relations between Freeport and unions have been strained in recent years following a three-month strike in 2011, May's deadly tunnel collapse at Freeport's Papua mine and a series of minor spats.
The agreement is expected to be formalised before the end of October.
