Postal Company to Lay Off 2,000

YERUSHALAYIM -

Israel Postal Company will soon undergo a dramatic downsizing, if the government has its way and the Histadrut does not.

At least 2,000 of the company’s 7,500 employees will be laid off, according to a reform plan drawn up by the Ministry of Finance, the Government Companies Authority and the Ministry of Communications.

The reforms are aimed at preparing for privatization within a few years.

Aside from fewer workers, the plan entails fewer delivery days, fewer branches, selling off real estate and a more aggressive posture in the parcel courier sector.

The Ministry of Finance will bear the costs of the organizational changes — mainly the early retirement of employees so that the company can meet its bond repayment of NIS 400 million by 2021.

The plan is opposed by the workers’ committees and the Histadrut.