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Panama signs agreement with banana giant Chiquita Brands to resume operations after strike

Chiquita brand bananas are for sale at a grocery store in Zelienople, Pa., Sept. 10, 2014. Associated Press

PANAMA CITY — Panama President José Raúl Mulino signed an agreement Friday with Chiquita Brands to resume work in Panama, months after the banana giant fired thousands of striking workers and suspended operations.

Chiquita banana workers in the Western Panama province of Bocas del Toro in March joined other labor sectors striking over changes to the social security system. Mulino said the strike was illegal.

In May, Chiquita fired thousands of workers, saying the strike had cost it at least $75 million.

Under the agreement signed Friday in Brazil, the company agreed to hire back 3,000 workers in an initial stage, followed by another 2,000.

The government aims for the company to be fully operational in Panama again by February 2026, it said in a statement.

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