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Decision on El Al’s Future Pending

October 19, 1982
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The future of El Al, Israel’s national air carrier, is expected to be settled tonight. The board of directors will meet to consider recommending to the government, the company’s principal stockholder whether to terminate it, resume service under conditions of extreme economic austerity, or try to sell it to private investors.

The board meeting was called after day-long talks between the directors, management, Histadrut and representatives of the various El Al workers committees. Though labor reportedly agreed to important concession including dismissal of 1,000 of the airline’s 5,000 employes as a cost-cutting measure — no progress was made, according to Nachman Perl, chairman of the board.

Perl accused the union of “hair-splitting” and set the crucial board meeting for tonight. Premier Menachem Begin has rejected an appeal to intervene personally to save the jobs of El Al employes. He told Histadrut Secretary General Yeruhom Meshel that the matter was out of his hands.

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