The Histadrut (General Federation of Labor in Israel) summoned representatives on Wednesday from the 8 workers’ unions within Elbit Systems Ltd. (Nasdaq: ESLT; TASE: ESLT) to discuss the ongoing strike at subsidiary Elop. Some 1,300 employees have been on strike for three days. At the meeting in the Histadrut offices in Tel Aviv, the representatives agreed to demonstrate solidarity with Elop workers starting Thursday and disrupt operations in other Elbit companies.
The solidarity measures are expected at several subsidiaries, including Elbit Systems Land, Elisra, Spectralink, Soltam, and Cyclone.
“If Elbit management does not retract its steps, then we will launch in the coming days several organized measuresthat will include work disruption or more at each and every factory and office,” warned Electrical and Electronics Workers Union chairman Gabi Asraf.
Speaking to “Globes”, Asraf said: “As of now, no talks are being held between the Elop workers and management. Employees have not received any raises for the third year in a row despite the collective labor agreement requiring management to negotiate wage increases every two years. But management is dragging its feet. The current situation will not stop Elbit executives from receiving dividends of millions of shekels in a few weeks.
“Elbit should not commit in any way to provide customers with a steady supply of product. There are no negotiations at Elop, and no time limit to the strike or the solidarity shown by the group’s employees.”
Elop is a subsidiary of Elbit specializing in development and manufacture of advanced electro-optic systems for military and security purposes. Last month, the Histadrut declared a labor dispute at the company, claiming Elop was not negotiating a pay packet update for workers and thus hurting organized labor.
The Histadrut said management used destructive employment methods, including transferring employees to other Elbit subsidiaries, in order to prevent them from being included in the Elop collective labor agreement. Elad Aharonson serves as Elop CEO.
Elbit did not comment on the report. Its sales for the first three quarters of 2015 totaled $2.2 billion. On Tuesday, the company announced its UK joint venture was awarded a $713 million contract to support a new flight school for the Royal Air Force.
Published by Globes [online], Israel business news - www.globes-online.com - on February 4, 2016
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