Supervisors at BHP's Escondida copper mine in Chile, the world's largest, have overwhelmingly rejected the company's latest contract offer, increasing the risk of a strike. The union represents about 1,020 supervisors.

Ninety-five percent of voting members authorized strike action after rejecting the company's final proposal. The union cited insufficient pay improvements and new multitasking requirements as key objections.

Under Chilean law, the vote triggers mandatory government-led mediation. Mediation will last five days, with a possible five-day extension if both parties agree. If no agreement is reached, a legal strike can begin.

Production is currently unaffected, but the vote has increased supply uncertainty around the key producer.