Brazil’s top labor court has intervened to limit the operational impact of a prolonged strike at state-controlled oil giant Petrobras, ordering the company to maintain staffing levels at 80% across all facilities while negotiations with workers continue, in a ruling that underlines growing tensions between management and unions over pay, pensions, and transparency.
In a decision issued on Saturday, Brazil’s Superior Labor Court said unions must also refrain from blocking the movement of workers, equipment, and fuel to and from Petrobras facilities, including those operated by its logistics arm, Transpetro. The court framed the measures as necessary to protect production, transportation, and the national fuel supply as the labor dispute drags on into its second week.
Petrobras sought to reassure markets and consumers that operations remain under control.
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“We continue working and ensuring production and supply,” Sylvia dos Anjos, the company’s head of exploration and production, told Reuters on Sunday.
The company said contingency teams had been deployed at critical units to guarantee that refining, logistics, and distribution activities continue despite the industrial action.
The strike began on December 15 after months of inconclusive talks, and has laid bare divisions within Brazil’s powerful oil unions. Petrobras said that after nearly four months of negotiations, 11 unions have accepted its latest compensation proposal, effectively ending strike action “in the vast majority” of their bases. However, five unions remain opposed, keeping pressure on the company and the government, which is Petrobras’ controlling shareholder.
One of the most influential dissenting groups, Sindipetro-NF, which represents about 25,000 oil workers, rejected the latest offer on Friday. The union has argued that Petrobras’ proposal fails to adequately address wage demands and broader concerns about working conditions, especially at a time when inflation and household costs remain elevated in Brazil.
Sindipetro-NF took a more nuanced view of Saturday’s court ruling. While opposing the 80% staffing requirement in principle, the union welcomed the court’s order compelling Petrobras to provide detailed information on its workforce, including headcount by operating unit, job title, and function. The union described this aspect of the decision as “a victory,” saying it would help expose staffing pressures and strengthen workers’ bargaining position.
Another major labor group, the National Federation of Oil Workers (FNP), which represents around 26,000 workers and is also participating in the strike, was more critical. FNP said the court-mandated staffing level was “unenforceable,” arguing that monitoring compliance across Petrobras’ sprawling network of offshore platforms, refineries, terminals, and pipelines would be highly complex.
At the heart of the dispute are not only wages but also long-running and sensitive issues related to Petrobras’ pension funds. Salary talks are intertwined with disagreements over deductions linked to payments to pensioners, a topic that has repeatedly triggered labor unrest at the company in the past. Union leaders say these pension-related deductions significantly reduce take-home pay for active workers, while Petrobras has argued that the measures are necessary to ensure the sustainability of its pension schemes.
Petrobras has consistently downplayed the impact of the strike on oil and fuel output, saying production levels have been maintained and that the domestic market remains fully supplied. Even so, the court’s intervention highlights official concern about the risk of prolonged disruption at a company that plays a central role in Brazil’s energy security and public finances.
With unions divided, pension issues unresolved, and no clear timeline for a breakthrough, the dispute remains open-ended. The court ruling may buy Petrobras time to keep operations running, but it does little to resolve the deeper structural disagreements that continue to fuel labor unrest at one of Brazil’s most strategically important companies.