Israel`s Ashdod, Eilat and Haifa ports on strike

A STRIKE at Israel`s major ports of Ashdod, Eilat and Haifa after the collapse of wage negotiations, has brought harbour operations to a standstill with the exception some reefer cargo and passenger movement, reported Israel Business News.

The strike is expected to cost the economy ILS400 million (US$113.5 million), said the Federation of Israeli Chambers of Commerce in a statement, said Bloomberg.


Israel Shippers Council chairman Gad Sheffer warned that the strike would cost the economy hundreds of millions of shekels in damage a day, and the price of the dispute among the Histadrut, employers, and the Ministry of Finance would be paid by the whole economy.


Exports account for nearly 50 per cent the country`s gross domestic product (GDP). Israel`s economy grew 4.5 per cent last year, while was partly attributed to a 12.6 per cent increase in exports.


"There is still a wide difference between what the port workers want, namely a pay increase of between 3.5 per cent and five per cent, and the 1.8 per cent already agreed by the Ministry of Finance for other public sector workers. They also want other additional benefits, such as enhanced pension terms," said editor of Israel`s local shipping journal Shipper.co.il Chanoch Winnykamien.