There has been an increase in tensions between the management of Israel Electric Corporation (IEC) (TASE: ELEC.B22) and its workers committee over the planned structural change the company is to undergo. IEC yesterday issued a tender for the appointment of an environmental affairs divisional manager, a new role created under the framework of the company's structural reform program.
In a parallel move, IEC recently formally approved the creation of four new managerial positions - a systems management divisional manager, and three new management roles at the company's main power plants at Hadera, Ashdod, and Ashkelon, as part of the transition to the new structure.
The appointments announced by IEC are mostly token gestures, but the fact that they were carried out without consulting the worker's committee is indicative of the internal stand-off that now exists. Last week the IEC worker's committee agreed to begin talks with management on the restructuring, but made their cooperation contingent on several changes being made, contrary to the view taken by CEO Amos Lasker.
Sources inform "Globes" that Lasker sent a letter to IEC workers committee chairman Miki Zarfati, in which Lasker noted that the company intends to begin to implement the restructuring at the beginning of August.
Published by Globes [online], Israel business news - www.globes-online.com - on August 5, 2008
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