Israel Chemicals Ltd. workers held a one day warning strike on Sunday to protest against planned layoffs by management at the country’s largest chemical maker. The workers prevented thousands of contract workers from entering the premises of Dead Sea Works, the company’s largest subsidiary.
The workers also decided yesterday to join forces and form one united committee to represent them in negotiations with management and threatened to take additional moves to protest management plans.
The union said that it has tried peaceful means and asked for a meeting with management on the proposed recovery plan to discuss details but have been rebuffed. Therefore the union said it was left with no choice but to take industrial action that will force ICL management to sit with the united committee to discuss details of the plan.
Last month ICL announced a sharp drop in fourth quarter and full year net profits. For the fourth quarter net profits totaled $119 million versus $208 million in the corresponding quarter in 2012. Revenues in the fourth quarter actually rose to $1.42 billion from $1.3 billion a year earlier due largest to increased volumes to China and India. For the full year net profits totaled $819 million versus$1.3 billion on revenues of $6.27 billion in 2013 versus $6.47 in the previous year.
ICL has said that it is implementing a restructuring plan designed to reduce costs by several hundred million dollars by 2016. This includes the laying off of workers at its Israeli-based phosphate division and possibly other units. ICL is also contemplating other measures. ICL also said that it is proceeding with plans to list its shares on the New York Stock Exchange.