Miners at Asarco LLC would have their union contract extended by three years if Sterlite Industries Ltd. is successful in acquiring the company.
Set to expire in 2010, the contract would run through 2013, officials from the India-based company and its parent company, Vedanta said Wednesday night.
"So for five years we don't event have to talk," CV Krishnan, a Vedanta director said with a grin. "We wanted to give them psychological confidence ... make sure the employees are comfortable."
Today, Krishnan and two associates were expected to travel to Las Vegas and join the United Steelworkers convention.
Manny Armenta, a subdistrict director for the United Steelworkers union, said the membership was very pleased that Sterlite has reached out and seems willing to work with them.
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"This is an excellent deal for us," he said.
Sterlite officials arrived in Tucson Monday and have attended a series of meetings with Asarco workers and aides to elected officials and the Arizona Department of Environmental Quality.
Along with Asarco's former parent company, Mexico City-based Grupo Mexico, Sterlite has placed a bid to sponsor Asarco out of Chapter 11 bankruptcy.
Sterlite made a $2.6 billion offer on May 31 to purchase the operating assets of the Tucson copper producer.
On Tuesday, the bankruptcy judge ruled that Grupo could have the opportunity to devise its own reorganization plan.
Following a four-month strike in 2005, Asarco filed for bankruptcy. After signing a new contract with miners, the union became an ally against Grupo Mexico.