The workers committee at the Israel Chemicals Ltd. (TASE: ICL) Bromine Compounds plant today suspended all cleaning services at the company's offices in Ramat Hovav. Workers committee chairman Avner Ben-Senor said that the action was taken because of "unilateral actions by Israel Chemicals' management against employees, which contravene past agreements and understandings." He added that management refused to act in the spirit of the agreements and even fired a contract employee who provided administrative services.
Bromine Compounds has 1,000 employees. The workers committee claims that management is causing ferment among them. "Over the weekend, we halted production at three facilities, and we're now considering again disrupting production, because it seems that the message we're trying to convey to management has not been received," said Ben-Senor.
Last week, union representatives met Israel Chemicals CEO Stefan Borgas for an update on management's plans under its "ICL 1" plan, which includes the consolidation of divisions and headquarters. The workers committee fears that the plan will result in hundreds of layoffs. "I estimate that we're talking about the firing of 400-600 employees," said Ben-Senior. "Borgas said that there will be layoffs, but that the number would be fewer."
Israel Chemicals said, "The company's management has the paramount duty and responsibility to do everything to ensure the future of the company and the livelihoods of the employees. This responsibility and duty are even greater in view of the crisis in Israel Chemicals' markets… Management is preparing accordingly, drawing up detailed plans, which include increasing competitiveness through technology, increasing development and innovation, and lowering production and administrative costs. The company's management calls on the unions to recognize the challenges, cooperate, and act responsibly to ensure the future of the company and the workers' jobs."
Published by Globes [online], Israel business news - www.globes-online.com - on February 18, 2014
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