Contract labour mobilisation in Chile’s copper mining and forestry sectors Fernando Dura ´n-Palma University of Westminster, London, UK, and Diego Lo ´pez Direccion Nacional del Trabajo, Santiago, Chile Abstract Purpose – The purpose of this paper is to provide an overview of recent developments in employment relations in Chile, focusing on recent episodes of contract labour mobilisation in the forestry and copper mining sectors. Design/methodology/approach – This paper is based on a consolidation of existing evidence from a range of primary, secondary and tertiary sources. Findings – The paper demonstrates the inadequacy of Chile’s employment relations institutions to protect vulnerable workers and shows the capacity of contract workers to overcome such limitations by recurring to mobilisation. It argues that contract labour mobilisation rather than a shift left in government seems to offer a more plausible explanation of current developments in Chilean employment relations. Research limitations/implications – The paper identifies salient issues but further research is necessary to understand the actual social processes of collective action involved in recent episodes of contract labour mobilisation. Practical implications – This information could contribute to better policy making, better management of the employment relationship, and informing the revitalisation of labour movements. Originality/value – There are few studies on contract workers’ collective action particularly in developing countries, and a contribution is made to critical debates on the sustainability of Chile’s neoliberal socio-economic and employment relations system. Keywords Chile, Outsourcing, Subcontracting, Labour utilization, Mining industry, Forestry Paper type Research paper 1. Introduction Chile entered the new millennium popularly perceived – and actively promoted – as a model of political stability, economic growth and social peace. At the same time, that a substantial number of Latin American countries had begun to vigorously contest neoliberal restructuring, the Chilean model appeared solidly in place. After three decades of neoliberal administrations, even the election of Socialist President Michelle Bachelet in 2006 appeared unlikely to disrupt the country’s conservative socio-economic policy. By the mid-2000s however, a largely unprecedented wave of discontent and mass rank-and-file mobilisation began to shake the neoliberal establishment. Contract workers in flagship commodity-export sectors-hitherto the invisible pillar of the The current issue and full text archive of this journal is available at www.emeraldinsight.com/0142-5455.htm The authors wish to thank two anonymous reviewers for their helpful commentary. Contract labour mobilisation in Chile 245 Received 12 August 2008 Revised 14 October 2008 Accepted 10 December 2008 Employee Relations Vol. 31 No. 3, 2009 pp. 245-263 q Emerald Group Publishing Limited 0142-5455 DOI 10.1108/01425450910946451