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El Al Says Operations Will Not Be Disrupted if Its U.s.-based Employes Carry out Strike Threat

March 15, 1984
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El Al said today that it will continue to work to the last minute to avoid a strike by its U.S.-based employes, set to begin at midnight Thursday. But a strike, if it materializes, will cause no disruption of normal passenger and cargo operations, according to David Schneider, North American general manager of the Israel government-owned airline.

The strike is threatened by the International Association of Machinists (IAM) which represents about two-thirds of El Al’s 325 American-based work force. Their jobs include reservation clerks, gate agents, accounting and other personnel in addition to machinists. A 30-day cooling off period in negotiation will end Friday.

The union voted last week to reject a three-year wage freeze offer by the company. El Al withdrew a request for a 10 percent pay cut, an example, according to Schneider, of its willingness to bargain in good faith.

The union also objects to El Al’s request for authority to switch workers temporarily from one job to another when warranted by traffic conditions. Management says this is necessary “to eliminate waste and inefficiency.” El Al was forced to suspend operations for several months in 1982 because of heavy losses and a rash of strikes by ground crews and flight personnel in Israel.

Re-organized on a tighter scale, under new management, it reduced its losses over the past year but still anticipates a large deficit for fiscal 1984 which ends March 31. According to airline officials, management, supervisory and non-union employes will fill union functions if there is a strike.

“We intend to continue negotiations until a settlement is reached, but if the union does strike, we are prepared to fully maintain all our services and schedules for both passenger and cargo service,” Schneider said.

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