Histadrut declares labor dispute at Ribbon Communications Israel over planned workforce cuts

The Histadrut announced (Tuesday) the declaration of a labor dispute at Ribbon Communications Israel (ECI), following the company management’s stated intention to implement an efficiency plan that would significantly reduce its workforce. According to the union, the move is expected to substantially shrink the scope of activity at the Israeli site, which could severely jeopardize the long-term viability of the company’s operations in Israel.

Ribbon Communications Israel development center currently employs roughly 550 workers, most of them hardware and software engineers. The bulk of the company’s activity is based at its Petah Tikva site, with an additional, smaller development center located in Be’er Sheva. The veteran Israeli company, which develops advanced communications equipment for network infrastructures, was merged in 2020 into the U.S.-based Ribbon Communications and became its optical division.

Company employees unionized with the Histadrut nearly a decade ago, after a fierce labor struggle sparked by management’s attempt to dismiss around 100 workers. That struggle culminated in the signing of a landmark collective agreement considered one of the most innovative in Israel’s tech sector.

Since the merger with Ribbon Communications, company management has repeatedly sought to promote efficiency measures rather than present a strategic, growth-oriented plan for marketing and selling its products. Recently, management approached the workers’ committee with yet another demand for staffing cuts. According to the workers’ representatives, the current move poses a direct threat to the job security of many employees and may even endanger the continued existence of the Israeli site altogether.

The Histadrut emphasized that the declaration of the labor dispute is aimed at preventing widespread harm to workers, safeguarding the stability of the Israeli development center, and ensuring the rights of employees who may be affected by the company’s planned measures. The organization added that it will continue to accompany the workers and act decisively to preserve the company’s presence in Israel.

Yaki Halutzi, Chair of the Histadrut’s Cellular, Internet and High-Tech Workers’ Union, stated:
“The Histadrut has been the backbone of ECI / Ribbon Communications workers since 2018, through every crisis the company has experienced. As in the past, we will once again stand firm to represent the workers, protect their job security, and ensure the strength and future of the company’s site in Israel. I strongly advise management not to test us. Whoever chooses to challenge us will face the full strength of the united ECI workforce and the full strength of the Histadrut.”