A five-year dispute between the Sandak-Bata union and Calzado Sandak, a Mexican subsidiary of the Swiss-headquartered footwear giant Bata, has finally come to an end.

The agreement was reached following talks between Sandak-Bata, Sindicato Único de Trabajadores de Calzado Sandak (SUTCS) – a union representing the 59 union members who continued to demand their rights after Bata closed their plant in Tlaxcala, Mexico in 2012, dismissing 450 workers – and Tim Jude, the international vice president of Bata.

During the meeting in Mexico, Sandak agreed to recognise the rights of the 59 members to receive 55% of their lost salaries for the last five years, plus the 10% of costs to terminate the collective agreement and close down the factory, as well as 2% of the union dues.

According to the IndustriAll global union, the agreement also puts an end to the penal cases Sandak had processed against nine executive committee members of SUTCS.

"This is a big victory," says Fernando Lopes, IndustriAll's assistant general secretary. "Besides the legal severance payments, the company has agreed to pay 55% of salaries for the past five years plus other benefits."