Mass Layoffs at Chiquita Panama's Banana Farms Amid Controversial Strike

Chiquita Panama announced Thursday that it has dismissed thousands of daily workers from its Bocas del Toro banana farms amid an ongoing strike. This move comes after what the company called an 'unjustified abandonment of work' that started in late April.

A company source stated that around 5,000 of the 6,500 employees nationwide were laid off, as workers began protesting against proposed social security reforms that may impact their future pensions. The strike has resulted in an estimated $75 million loss.

In a press conference, Panamanian President Jose Raul Mulino supported the company's actions and highlighted the need for regulation in the banana sector. However, he noted the difficulty of the decision, recognizing the sector's employment significance. Mulino emphasized the strike's illegality and insisted dismissals were justified.

(With inputs from agencies.)