According to Reuters and Calcalist, workers at ZIM Integrated Shipping Services halted all operations on Tuesday. About 800 unionized employees, out of 1,000 total, began the strike to demand job security guarantees. The action follows Germany’s Hapag-Lloyd announcement to acquire ZIM for $4.2 billion.
The strike started Sunday at ZIM’s Haifa headquarters. Workers blocked some vessels at Ashdod and Haifa ports. Union leader Ziva Lainer Schkolnik said, “We stopped work on these ships until management talks with us and considers employee concerns.” Already docked ships will not be unloaded during the strike.
As part of the takeover, Tel Aviv-based FIMI Opportunity Fund will acquire a business carved out from ZIM. This includes 16 vessels that form a dedicated Israeli container line, called New ZIM. Lainer Schkolnik said New ZIM will employ only 120 workers. Nearly 900 current employees risk losing their jobs, many of whom have tenure guarantees.
ZIM declined to comment. Hapag-Lloyd said all ZIM management and HQ staff “will receive job security after closing, to be negotiated in good faith with labor representatives.” The company also plans to maintain Israel as a strong location for the combined ZIM-Hapag-Lloyd operations. A spokesperson said they are willing to discuss all issues with union representatives.
The union expressed concerns over New ZIM’s long-term viability. They noted the smaller size of the line and that 98% of Israeli imports pass through Mediterranean ports. Hapag-Lloyd responded that similar-sized shipping lines in the industry operate successfully and profitably.
The strike escalated into a general work stoppage after a 48-hour warning strike. It now affects all operations, including loading and unloading of specialized vessels such as agricultural cargo ships. Union chairman Oren Caspi said, “Ships are already standing idle, and damage is accumulating. We will paralyze the company if necessary.”
Under the deal, Hapag-Lloyd will acquire ZIM and transfer Israeli operations to FIMI, which will establish a new Israeli shipping company. FIMI CEO Ishay Davidi said, “We will build an advanced, efficient fleet with broad logistical capabilities. Hapag-Lloyd is a strategic partner. We aim to create a financially strong and resilient Israeli shipping company.”
Transportation Minister Miri Regev is attempting to block the sale. She requested an urgent inter-ministerial discussion to examine steps to halt the deal. Regev emphasized the golden share must protect Israel’s maritime supply security.
