Kraft Foods rejected accusations that it had violated a deal with the Food Workers' Union saying it had dismissed eight workers from its plant in General Pacheco, Greater Buenos Aires, and said it was currently analyzing the situation of 53 laid-off workers.

In a statement, the company said the agreement signed at the Labour Ministry is being respected, reacting to accusations from leaders of Kraft workers yesterday.

The communiqué also states that the eight workers who had been dismissed on November 5 "were already part of the 53 workers that were not reinstated when the agreement was signed on October 16. The decision to lay off workers was made after they were reportedly involved in incidents at the plant located in General Pacheco." The US-based firm says it has videotaped the employees smashing windows and breaking machinery at the factory.

The company proposed an "individual analysis" of the situation of each worker in the violent demonstrations and roadblocks.

The dispute at Kraft Foods started in August when workers protested the dismissal of workers who were pressing the company to close the plant during a swine-flu outbreak. The company charged them with "illegally depriving employees of their freedom" to attend their work posts during an assembly on July.

Workers occupied the plant in September. The protest ceased after an eviction, which included clashes with the police and Border Guard officials after the Labour Ministry ruled the end of the mandatory conciliation.

Yesterday, a group of workers and left wing social organizations blocked 9 de Julio Avenue and later marched to the Labour Ministry, where representatives of the company and national authorities were meeting.