AIG Israel Employees Threaten Strike Over Contract Talks, AI Integration

Employees of AIG Israel staged a work stoppage and held a meeting in the company lobby on Tuesday, signaling a breakdown in negotiations for a new collective labor agreement. The workers' committee announced that if no progress is made, the company's headquarters and call centers will be shut down starting Friday, after the upcoming holiday.

The dispute, declared about a month ago by the Histadrut labor union and the AIG workers' committee, follows nearly a year of unsuccessful negotiations for a new agreement. The committee claims the company's management is offering significantly less than is customary in the Israeli economy, despite AIG's strong business performance in the past year and the first half of 2026.

Tomer Malul, chairman of the AIG workers' committee, stated that the committee has shown responsibility during negotiations and warned that significant progress is needed by Wednesday to prevent the strike. He emphasized that the responsibility for averting the shutdown lies with management. "We are for progress and for intelligence, but not every organizational or technological change can be labeled AI and become an excuse to harm employees," Malul said, referring to the company's intention to implement an AI-powered voice agent. The workers demand that the integration of such technologies and their impact on employment be addressed in the collective agreement.

AIG Israel expressed regret over the workers' decision to take organizational action, stating that management has presented significant proposals to improve employee conditions and genuinely seeks an agreement. The company urged the workers' representatives to act responsibly, conclude negotiations, and avoid actions that unnecessarily harm the company's operations and customers. AIG affirmed its commitment to providing continuous, professional, and high-quality service.

Regarding the AI issue, AIG stated that it is not the core of the dispute but affirmed its belief in innovation and AI implementation for business development and improved customer service, promising responsible integration in consultation with employee representatives.