Israel Chemicals (TASE: ICL: NYSE: ICL) has closed the DECA fire retardant production line due to the ongoing strike at its subsidiary Bromine Compounds Ltd. Consequently, the company has said that I has fired nine more employees.
The company said, "Due to the strike at the Bromine Compounds plant in Neot Hovav, which has been continuing for more than three months, and because the company has told its customers that it cannot meet its obligations to provide products due to "force majeure," ICL has been forvced to close its production line. ICL closure of the FR-1210 DECA production line stems from customers moving to alternative suppliers, the competitive market for FR-1210, which includes numerous Chinese producers, the move to more sustainable products, and the high cost of resuming production following a long strike which makes it uneconomical."
The product line has 12 employees and while 3 will be moved to other installations, the other 9 will be laid off.
Israel Chemicals is also threatening to close down other plants.
As part of its streamlining plan, which caused the start of the strike in February, ICL is offering voluntary early retirement to 160 employees at the Dead Sea Works and Bromine Compounds.
Published by Globes [online], Israel business news - www.globes-online.com - on May 3, 2015
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