Employees of Brazil’s environmental agency, Ibama, across at least 14 states have voted to strike.
This widespread labor action threatens to disrupt various sectors, including oil and gas licensing, auto imports, and crucial conservation efforts in the Amazon rainforest.
Strike Details and Potential Impact
Workers in Rio de Janeiro, a key hub for petroleum licensing, will commence the strike on June 24th, with others following suit on July 1st.
The ongoing strike over pay, career structure, and working is likely to hamper the granting of environmental licenses for numerous oil and gas companies. This disruption will notably affect state-run Petrobras and independent producers such as Equinor, 3R Petroleum, Enauta, and Prio.
Union’s Stance and Government Response
Union leaders attribute the strike to a lack of government dialogue and warn that the consequences will exacerbate existing challenges in various sectors, particularly oil and gas.
Ibama acknowledges the situation and is actively seeking a resolution through consultations with other parts of the federal government. However, the Management Ministry has not yet responded to the workers’ latest proposal.
Ripple Effects Across Brazil’s Economy
Since early 2024, Ibama staff have been intentionally slowing down environmental licensing and other government services without officially declaring a strike.
This slowdown has already impacted Brazil’s economy, from energy projects to vehicle imports. While Petrobras hasn’t commented on the impending strike, its operations could also be affected.
Expanding Participation and Environmental Concerns
In addition to Ibama workers, employees in the Federal District and the environment ministry have also joined the strike. With voting nationwide set to conclude soon, more workers could participate in this labor action.
The strike’s most alarming potential impact is on President Lula da Silva’s efforts to combat illegal deforestation in the Amazon rainforest, as Ibama staff responsible for monitoring and enforcement may walk off the job.