The National Labor Union spent the day on Monday attempting to convince the Knesset that the Galilee Emek Chicken factory can be saved. Factory workers were protesting outside the Knesset in a last-ditch effort to keep their jobs.
Accountant Zev Chushinski testified to the Knesset Finance Committee that after going over the factory’s financial statements, he believes the only way to save the company would be for the debt holders to forfeit some of the debt. Chushinski also explained that its major debt holders are actually its major share holders as well, the Emek Factories Conglomerate and the Emek Yisrael Conglomerate.
The Labor Union hopes that it can find a purchaser for the factory, but Chushinski explained, “In order to interest a potential buyer, the share holders would have to forfeit some of the debt that they themselves created. This is an ethical responsibility they have towards their workers.”
Emek Chicken workers have been striking since last week in a last-ditch effort to prevent the factory from closing. They even resorted to selling chickens wholesale in the Haifa market in order to recoup their lost salaries. The workers fear that the factory’s owners will close down shop and sell the factory’s assets in order to recover their losses.
In a similar situation in the Galilee Pri HaGalil factory a few weeks ago, striking workers were able to prevent their factory from closing. The Chatzi Chinam Corporation agreed to purchase the factory and retain all of its employees.