20%–23% salary increase in new collective agreement for Tel Aviv light rail workers

The Histadrut, worker representatives, and the management of Tevel signed (Thursday) a new collective agreement at the company, which operates the Red Line of the light rail in the Tel Aviv metropolitan area. The agreement, centered on a significant across-the-board wage increase, will apply to hundreds of workers, including drivers, inspectors, station managers, supervisors, line maintenance staff, customer service representatives, team leaders, and the fault-routing department. This is the second agreement since the company’s employees unionized under the Histadrut’s Transportation Workers’ Union about three years ago.

Key Points of the Agreement:

• An across-the-board increase of 20%–23% to base salary and incentive pay for all employees.
• Retroactive wage differences amounting to 5% of the annual salary for 2025 for every employee who worked during the past year.
• Regulation of conditions for seconding Tevel employees for training, instruction, and knowledge transfer for the new lines (Purple and Green) being developed in the Tel Aviv metropolitan area, including compensation for secondment while safeguarding employees’ rights and their freedom of choice.

The Red Line of the light rail, serving tens of thousands of passengers daily, connects five cities: Petah Tikva, Bnei Brak, Ramat Gan, Tel Aviv-Jaffa, and Bat Yam. The line includes 34 stations, 10 of which are underground. Tevel, the operator of the line, is a joint subsidiary of the Egged Group. The agreement, valid until the end of 2028, ensures significant improvements in employment conditions, alongside stability and job security, during the company’s expansion phase.

Attorney Eyal Yadin, Chair of the Transportation Workers’ Union:
“The agreement signed today is an important achievement for Tevel employees, who operate one of Israel’s largest transportation projects. We secured a substantial improvement in wages and conditions while protecting workers’ rights during the expansion and commissioning of the new lines. This is another step toward strengthening organized labor in the public transportation sector.”

Amiram Ohayon, CEO of Tavl:
“The Red Line of the light rail is a success story, highly rated for quality and customer satisfaction. These achievements are made possible thanks to our professional workforce, which forms a solid foundation for the company’s success. The agreement signed today reinforces our shared commitment to job stability and improved employment conditions for hundreds of employees and reflects a cooperative relationship between workers and management. I would like to thank the workers’ committee and the Histadrut for their professional guidance throughout the negotiation process.”