Friday
Friday 23rd May 2025.
May 22, 2025
The government commission and the Banana Industry Workers’ Union (Sitraibana) reached a partial agreement on the reform of Law 45, which regulates the pension and retirement system for the banana sector.
However, the indefinite strike, which includes road closures in various parts of Bocas del Toro, remains active while the union demands concrete guarantees. The signed agreement establishes the terms agreed upon by the parties, but still requires approval by the National Assembly.
Francisco Smith, secretary general of Sitraibana, explained that although they signed the document presented by the Executive Branch, the workers will maintain their strike until the agreement becomes law.
Participating on behalf of the Government are the Ministers of Commerce, Julio Moltó, and Labor, Jackeline Muñoz.
This comes after President José Raúl Mulino issued an ultimatum Thursday amid negotiations. According to Mulino, the union’s refusal to sign an agreement with the banana company could trigger mass layoffs in the coming days.
“I have instructed the minister [Jackeline Muñoz] to reach an agreement before 1:30 p.m., and if Mr. Smith does not sign, there will be no law, and the company will have to act accordingly,” the president warned, hinting at the possibility of a definitive breakdown in the dialogue process.
The conflict, which has been dragging on for weeks, threatens to further destabilize the Bocas del Toro economy, where hundreds of families depend directly on work on the banana plantations. “This intransigence is not good,” Mulino concluded, placing the blame squarely on the union leadership.
Chiquita Panama and Ilara Holding announced on the afternoon of Thursday, May 22, that, “regretfully,” following the unjustified abandonment of work on their banana farms since April 28, they have proceeded with the termination of all of their daily workers.
This means that nearly 5,000 workers would be left unemployed , according to the contracts managed by the multinational company with operations in Panama.
In a statement, they indicated that workers in this situation must report to the Employability Office starting May 23, from 8:00 a.m. to 4:00 p.m., to withdraw their corresponding severance pay.
The company stated that despite multiple formal and repeated requests for workers to return to work on the farms, they have already been completely abandoned for 24 days. This situation, they warned, has generated economic losses that “will exceed $75 million, in addition to causing irreversible damage to the country’s banana production.”
Genaro López , leader of the Single Union of Construction and Similar Workers (Suntracs) , appeared this Thursday before the Second Prosecutor’s Office against Organized Crime , which issued an arrest warrant for the alleged commission of the crimes of aggravated fraud, money laundering and violation of public trust.
López arrived at the courthouse around 2:30 p.m. An hour later, his arrest was ordered. He was transferred to the Judicial Investigation Directorate (DIJ) of the National Police in Ancón.
Prosecutor Gilberto Arona Cárdenas, who is handling the case, requested a hearing to file charges, which should be scheduled within the next 24 hours.
After his father was transferred to the DIJ (District of Justice), his son, Genaro López, spoke to reporters. He sent a message to the Judiciary, in which he asked them to respect freedom of association, the right to strike, free organization, and, above all, constitutional guarantees. In a clear message addressed to the Supreme Court justices, he said: “Instead of asking for salary increases and armored cars, look at the national reality (…)”
According to a statement from the prosecutor’s office, López is being investigated for a complaint filed in 2022 by former workers on a construction project located on Bastimentos Island, in the province of Bocas del Toro, who were affiliated with Suntracs.
Political leaders and representatives of social movements reacted to the raids carried out by the Public Prosecutor’s Office and the National Police on the headquarters of the Single Union of Construction and Related Workers (Suntracs), which began on May 21.
“My criticism is of a hypocritical, incoherent government that only recognizes justice and power when it comes to its enemies, those who protest,” said former congressman and leader of the Vamos coalition, Juan Diego Vásquez , in a video published after the first images of the operations were released on social media.
“I call for us to start doing things right for everyone, not just for some. It’s shameful that it’s right for some and not for others,” he added.
The Public Prosecutor’s Office justified the raids as part of an investigation into the alleged crime of money laundering by Suntracs leader Jaime Caballero , currently under provisional detention at La Joya Penitentiary. Furthermore, according to La Prensa , there are at least 12 arrest warrants against other union leaders for alleged crimes such as aggravated fraud, criminal association, and document forgery, among others.
Vásquez also spoke out against the use of tear gas during a demonstration in the Boca la Caja neighborhood . “This is a government that abuses its power,” he denounced.
José Isabel Blandón , president of the Panameñista Party, expressed a similar sentiment, calling the raids an outrage: “This is simply not right. Panama seems more like a police state than a state governed by the rule of law.”
President José Raúl Mulino responded to the criticism by stating that the ongoing legal actions are not within the jurisdiction of the Executive Branch. “I don’t investigate anyone or order anyone to be arrested. The President of the Republic doesn’t have that authority,” he stated.
Both Juan Diego Vásquez and José Isabel Blandón have insisted on the need to open a national dialogue. However, so far, the only active dialogue between the Executive Branch and social sectors is taking place with banana workers in Bocas del Toro.
Accompanied by Panamanian authorities, the United States ambassador, Kevin Marino Cabrera , traveled this Thursday, May 22, to the province of Darien, on the border with Colombia.
The objective was to visit one of the shelters in Lajas Blancas that has served as a migrant reception center and to deliver equipment funded by the U.S. government to combat criminal networks and migrant trafficking.
“I traveled to Darien to visit one of the most critical fronts in our fight against drug trafficking, human trafficking, and illegal immigration,” he said.
“Thanks to the leadership of President [Donald] Trump and the collaboration of Panama, Darien is closed,” the diplomat added.
Cabrera was accompanied by Panama’s Minister of Public Security, Frank Ábrego , who toured the shelter, along with officials from the National Immigration Service and the National Border Service.
They then traveled to Metetí, where the formal handover of equipment from the United States took place: boats, engines, modular offices and vehicles, as well as a maintenance center for the cars.
“These investments strengthen Panama’s capacity, both on land and at sea, to combat transnational criminal networks and stem the flow of illegal immigration,” the ambassador stated.
On May 14, Panama formally closed the Lajas Blancas border crossing, arguing that only 73 migrants had crossed Darién in April on their way to the United States, compared to 194 in March and 29,259 in April of last year, representing a 99.7% drop compared to 2024.
CK Hutchison President Victor Li said Thursday, May 22, that the company must be prepared to face “growing geopolitical tensions” and defended the legality of the group’s operation to sell two Panamanian ports, which drew strong criticism from China.
At the conglomerate’s annual general meeting, Li asserted that the agreement with the BlackRock-led consortium for the sale of the ports of Balboa and Cristóbal, in the Panama Canal area, “complies with current regulations.”
Li stressed that tariff policies and geopolitics are creating an uncertain environment, making it difficult for him to predict the direction of the global economy: “ Hong Kong is facing a stress test,” he said, stressing the importance of “holding cash and reducing borrowing during difficult times .”
The executive added that it is necessary to have “robust financial support” to face “any eventuality.”
Senior management at CK Hutchison, owned by tycoon Li Ka-shing, outlined details of the proposed sale of the two ports, excluding assets in Hong Kong and China, during its first public event since the deal was announced on March 4.
Meanwhile, co-director Dominic Lai stated that “ the transaction requires thorough analysis” and that the company will cooperate fully with regulatory authorities .
Lai highlighted the central role of the subsidiary of the European shipping company MSC as a major investor from the beginning of the process.
The Hong Kong conglomerate, parent company of the firm that operates Panamanian ports, announced in March that it had reached an agreement in principle with BlackRock to acquire 90% of its stake in those ports , following months of threats from US President Donald Trump to reclaim the interoceanic waterway due to alleged Chinese influence.
That agreement in principle, which infuriated Beijing, contemplated the acquisition of CK Hutchison’s 80% stake in “subsidiary and associated companies that own, operate, and develop a total of 43 ports, with 199 berths, in 23 countries,” including all management and operational resources.
China’s State Administration for Market Regulation warned that the parties involved in the transaction must strictly comply with the ongoing antitrust investigation.
In response to the regulator’s warnings, the Hong Kong company emphasized that moving forward with the transaction would be unfeasible if illegal or non-compliant circumstances arise.
At today’s meeting, which brought together approximately 100 shareholders, the proposed sale of a majority stake in the operations to the consortium led by BlackRock and MSC was discussed. Participants sought to clarify the company’s strategic position in the context of the current tariff war between the United States and China, the company said in a statement.
For his part, the semi-autonomous city’s Finance Secretary, Paul Chan, recently warned that the tariffs imposed by Washington will have a short-term impact on the city’s position as a hub for international trade, and reiterated his commitment to implementing proactive measures to support local businesses in the face of this new challenge.