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Merchant Marine Paralyzed by Strike

April 19, 1977
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Israel’s merchant marine was paralyzed today by a continuing strike by licensed officers. The strike was condemned at yesterday’s Cabinet meeting and Histadrut has withdrawn recognition of the union involved. But there was no sign of a settlement. There are 28 Israel flag ships idle at Israel’s ports and today a Liberian flag freighter operated by the Zim Israel Navigation Co., was prevented from sailing from Haifa because the harbor pilots complied with the officers’ demands not to move her.

The officers are demanding wage increases and insist that the shipping companies sign International Federation of Transport Workers (ITF) contracts. The shipping companies, for their part, want a no-strike guarantee, noting that there have been 50 strikes in the merchant marine during the past four years. The consequences of the present tie-up could mean the end of Israel’s merchant marine, one of the country’s leading foreign currency earners.

Economic analysts said that if the ships cannot be operated they would have to be sold since neither the government nor the shipping lines could absorb the costs of prolonged lay-up. The Zim Lines, Israel’s largest shipping company, which is government-owned, says it has lost $1 million so far due to the strike. The smaller, privately-owned El Yam company has lost $150,000.

Yehuda Rotem, director general of the Zim Lines, said today that the company would have to shut down its far-flung container services within three days if the strike did not end.

SEVERE LOSS TO ECONOMY

Of immediate concern to the shippers is the fact that some of the idle vessels are occupying space on the quays needed by incoming foreign ships. The National Shipping Bureau said that if the quays are not made available, inbound

According to Arye Mehullal, director of the Marine Transport Users Association, “half of Israel’s foreign trade is already paralyzed.” He said the organization might call on the foreign freight conferences to increase their services to Israel to replace idle Israeli vessels. This would mean a severe loss to the country’s economy. The economy sustained heavy losses last month when a wildcat strike by longshoremen at Haifa, Ashdod and Eilat forced a week-long halt to citrus export shipments.

Meanwhile, the officers have placed Israeli ships at overseas ports on strike notice. Local shipping circles fear that the harbor pilots may join the officers in a sympathy strike which would close Israel’s ports to all vessels. The Knesset will discuss the situation at a special recess session tomorrow called for by Likud.

OTHER STRIKES ON, PENDING

The merchant marine strike is currently the worst labor dispute but not the only one plaguing Israel’s battered economy. Doctors at Kupat Holim clinics stayed off the job yesterday to support demands for higher wages. They threatened a general strike for next Sunday if no settlement is reached.

The Technical Workers Union is threatening a general strike Thursday and employees of the Ministry of Agriculture are also reported to be planning a strike. Government-employed psychologists say they will begin a work slowdown. The Tel Aviv fire brigade announced a labor dispute and EI AI ground crews are threatening to strike for an 18 percent wage increase.

A strike by EI AI flight attendants prevented a jumbo jet from embarking passengers for Montreal this morning. The jumbo took off empty for Canada to pick up passengers booked on the return flight and its own outgoing passengers were transferred to other air lines. The flight attendants are demanding larger crews on the Montreal route. The EI AI management has refused.

So far, the government has been powerless to end these and other labor disputes except by giving in to workers’ demands which all economists agree will only fuel inflation. The Ministerial Wage Committee agreed yesterday to a five percent wage hike for industrial workers in the public sector. Only recently the government had condemned a similar increase granted to workers in Histadrut-owned industries. Private employers have stood fast against further wage hikes but they face possible strikes by workers demanding equal treatment with the public employees.

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