Histadrut (General Federation of Labor in Israel) chairman Avi Nissenkorn today declared a general work dispute in southern Israel, in view of the "severe ongoing employment crisis," in particular the threat by Israel Corporation (TASE: ILCO) subsidiary Israel Chemicals (TASE: ICL: NYSE: ICL) to fire 140 workers. The dispute will apply to all workplaces from Ashdod and southward in both the private and public sectors.
Nissenkorn threatened on Tuesday that if a solution to the crisis in the south were not found by today, he would convene a special meeting of the Histadrut assembly to approve the dispute, which he has now done. He stated, "Southern Israel must be saved from a wave of layoffs threatening Negev residents… The country's natural resources are involved. I call on the Prime Minister to prevent the layoffs, to intervene in the crisis, and to find a solution for the residents of the south." Prime Minister Benjamin Netanyahu has not intervened in the matter to date.
Workers at Israel Chemicals subsidiaries Bromine Compounds and Dead Sea Works have demonstrated in recent days all over the south: yesterday in Beit Kama, and on the preceding days in Beer Sheva, Dimona, and Arad. The workers assert that it is unacceptable for Israel Chemicals, a company that is making profits in the billions of shekels, to fire workers, and attribute the measure to revenge by the Idan Ofer-led group for the recommendations by the Sheshinksi 2 Committee concerning the royalties charged by the state for natural resources, which will detract from the group's profits. For its part, the company asserts that the layoffs are a cost cutting measure, and that the subsidiaries are losing money.
All the Histradrut's leaders, the members of its assembly, the Histadrut member unions, and workers committees from the entire economy and the public sector took part in the meeting.
"A violent and brutal attempt to take over the factories"
Israel Chemicals today said, "The Histadrut and the workers committee are using dangerous violence, aggression, and brutality to impose the workers committee's control in the factories. They have no scruples about disturbing the daily life of the Negev residents and abusing most of the company workers in pursuit of this unacceptable and illegal objective. The Histadrut and the workers committee planned in advance that the election campaign would be a suitable time to carry out their takeover plan, in the knowledge that they would have a better chance during the election campaign of gaining the support of various politicians seeking votes and political support.
"In addition, this political strike and the vociferous and disproportionate protest in recent days was designed to serve the agenda and political interests of certain political parties in the election campaign. Beyond the expected behavior during an election campaign, however, apparently no serious politician supports the extreme Bolshevik effort by the Histadrut and the workers committee to impose rule by the strong workers committee at the factories and prevent any possible layoffs, even at private companies in the midst of economy measures."
Published by Globes [online], Israel business news - www.globes-online.com - on February 26, 2015
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