Layoffs of nearly 50% and severance package of US$300 million!ZIM strike crisis subsides…
- Author:weiyun.com
- Source:weiyun.com
- Release Date:2026-02-26
According to foreign media reports, the union representing Israeli employees of ZIM Lines (ZIM) has reached a tentative agreement with ZIM management on employment, severance and compensation matters, ending the strike that lasted for many days and caused the shutdown of port and headquarters operations.
According to the terms of the disclosed agreement: "NEW ZIM", a new company under the private equity investment company FIMI, will retain 120 ZIM employees; another 400 employees will be transferred to the regional headquarters Hapag-Lloyd plans to establish in Israel.
The union president and the company's chief executive also agreed on other matters, including a five-year extension of the collective bargaining agreement.
Hapag-Lloyd expects to contribute at least US$300 million to cover severance pay for approximately 500 departing employees.
Relevant employees will also receive an undetermined bonus tied to the sale.
In addition, the union insists that employees transferred to Hapag-Lloyd must first formally leave ZIM.
Zim employees gradually returned to work on Tuesday, with 400 employees returning to work and the rest working from home.
图源：Shutterstock
However, Israeli media reported that the outside world still expressed concerns about ZIM’s status as a national shipping symbol and its ability to fulfill the terms of the government’s special shares (gold shares).
At a briefing to the government, FIMI CEO stated that the new company "NEW ZIM" will be in a more stable financial position and is fully capable of fulfilling its obligations to Israel.
He pointed out that ZIM has been on the verge of bankruptcy twice in its history and failed to meet the requirements for special shares.
The new company will operate 16 modern ships and have net assets of US$700 million. FIMI has also promised to ensure that all requirements for the special shares are met.
Hapag-Lloyd and FIMI still need approval from the Israel Companies Authority, which oversees special shares matters
Currently, ZIM is preparing complete materials to submit to the government for approval of the sale.Hapag-Lloyd previously stated that it expected to obtain relevant regulatory and shareholder approvals before the end of 2026.
It is reported that the strike was caused by not being consulted during the final stages of merger negotiations and the lack of relevant employment agreements.
Previously, the union stated that according to the merger and acquisition plan, only 120 of the approximately 1,000 employees in Israel could retain their positions. It believed that the plan did not take into account the rights of employees at all.
The strike, initially initiated by office workers, has spread to multiple ZIM locations in Haifa, Holon and Ashdod.There are reports that the union also tried to prevent ZIM’s chairman from entering the company’s campus.
According to the terms of the disclosed agreement: "NEW ZIM", a new company under the private equity investment company FIMI, will retain 120 ZIM employees; another 400 employees will be transferred to the regional headquarters Hapag-Lloyd plans to establish in Israel.
The union president and the company's chief executive also agreed on other matters, including a five-year extension of the collective bargaining agreement.
Hapag-Lloyd expects to contribute at least US$300 million to cover severance pay for approximately 500 departing employees.
Relevant employees will also receive an undetermined bonus tied to the sale.
In addition, the union insists that employees transferred to Hapag-Lloyd must first formally leave ZIM.
Zim employees gradually returned to work on Tuesday, with 400 employees returning to work and the rest working from home.
图源：Shutterstock
However, Israeli media reported that the outside world still expressed concerns about ZIM’s status as a national shipping symbol and its ability to fulfill the terms of the government’s special shares (gold shares).
At a briefing to the government, FIMI CEO stated that the new company "NEW ZIM" will be in a more stable financial position and is fully capable of fulfilling its obligations to Israel.
He pointed out that ZIM has been on the verge of bankruptcy twice in its history and failed to meet the requirements for special shares.
The new company will operate 16 modern ships and have net assets of US$700 million. FIMI has also promised to ensure that all requirements for the special shares are met.
Hapag-Lloyd and FIMI still need approval from the Israel Companies Authority, which oversees special shares matters
Currently, ZIM is preparing complete materials to submit to the government for approval of the sale.Hapag-Lloyd previously stated that it expected to obtain relevant regulatory and shareholder approvals before the end of 2026.
It is reported that the strike was caused by not being consulted during the final stages of merger negotiations and the lack of relevant employment agreements.
Previously, the union stated that according to the merger and acquisition plan, only 120 of the approximately 1,000 employees in Israel could retain their positions. It believed that the plan did not take into account the rights of employees at all.
The strike, initially initiated by office workers, has spread to multiple ZIM locations in Haifa, Holon and Ashdod.There are reports that the union also tried to prevent ZIM’s chairman from entering the company’s campus.