Employees at Miluz Ltd., manufacturer of the "Tal" brand tomato paste, in Nahariya have barricaded the plant since last night. With the backing of the Histadrut (General Federation of Labor in Israel), the employees are protesting the firing of 37 of the plant's 100 regular employees.
The lay-offs are allegedly an attempt to cut the company's workforce ahead of the closing and sale of the plant. The employees claim that one sign of the pending measure is management's emptying of the plant's warehouses in recent months.
Antitrust Authority director general Ronit Kan ordered the sale of the plant, because its owners bought Miluz even though they also own Prinir Ltd., a rival tomato paste manufacturer. The two companies are considered the leaders in the sector, and Kan believes that common ownership harms competition.
Miluz's factory was established in 1965. It has 100 permanent employees, who are unionized with the Histadrut, and 400 seasonal employees, who have no union protection.
Published by Globes [online], Israel business news - www.globes-online.com - on February 17, 2010
© Copyright of Globes Publisher Itonut (1983) Ltd. 2010