Chairmen Ofir Eini of the Histadrut Labor Federation and Uri Yogev of Israel Railways, accompanied by other labor and management officials, reached a 3.5-year agreement in principle, Monday evening, on issues that led to months of sanctions by railroad workers and threatened a rail strike on Tuesday. As a result of the agreement, passenger and freight service are running on their normal schedule.
Final agreements are expected soon on maintenance of new railroad cars by railroad employees with outside contractors to do maintenance only on old cars which are going out of service. Other contract labor will move "in house" in line with the Histadrut's fight against contract labor. Employees who were disciplined will be put back on the job. All workers will receive a 25 percent raise and a 40,000 shekel payment because of railroad reforms, along with a family benefit package, and there will be no layoffs due to contraction before 2030.