Mekorot National Water Company Agrees to Over 20% Wage Increases
Translated & summarized from Israel Hayom by baba
Mekorot, Israel's national water company, has signed a new labor agreement granting employees cumulative salary increases of over 20% and a 13,000 shekel signing bonus over five years. The deal, finalized after two years of negotiations, also introduces excellence bonuses, expanded pension benefits, and new professional advancement tracks. The company aims to improve recruitment and retention of skilled workers to meet future challenges in Israel's water sector.
The story in 6 lines · by baba
- Mekorot employees will receive over 20% in cumulative salary increases and a 13,000 shekel signing bonus.
- The new five-year labor agreement was reached between Mekorot management and major labor unions.
- Field workers will receive dedicated salary increases to compensate for essential roles in water supply.
- New professional advancement tracks will be introduced, allowing progress based on experience, not just management.
- The agreement aims to enhance Mekorot's ability to recruit and retain skilled technical and operational staff.
- The deal is seen as an investment in the company's future and its capacity to address water sector challenges.
Employees of Israel's national water company, Mekorot, will receive cumulative salary increases exceeding 20% over the next five years, along with signing bonuses and other benefits. This is part of a new collective labor agreement reached between the company's management, the Histadrut labor federation, the Ovdim in High-Tech union, and the workers' organization, following approximately two years of negotiations.
The agreement includes a signing bonus of 13,000 shekels for each employee and phased salary increases throughout the agreement's term. Additionally, a mechanism for excellence bonuses equivalent to one month's salary has been established, along with an expanded pension salary component and an increased welfare budget for employees.
A significant change targets field workers responsible for the maintenance and operation of water facilities and infrastructure nationwide. These employees will receive dedicated salary increases to better compensate for roles deemed essential to maintaining Israel's water supply continuity. The agreement also introduces structural changes to the company's salary and promotion systems.
For the first time in Mekorot's history, professional advancement tracks will be implemented at all levels and in core positions, allowing employees to progress based on their experience and expertise without necessarily moving into management roles. The company will also adopt a new salary range model, raising minimum wage levels and expanding advancement opportunities, enabling employees who have reached the current salary ceiling to continue increasing their earnings.
Mekorot stated the agreement aims to address increasing competition for skilled engineers, technologists, and operational staff, enhancing its ability to recruit and retain professionals amidst anticipated challenges for Israel's water sector. Minister of Energy and Infrastructure Eli Cohen remarked that the agreement strengthens Mekorot's national role, especially after recent desalination plant disruptions. Histadrut Chairman Arnon Bar-David highlighted the agreement as reflecting Mekorot's evolution into an advanced technological company and the importance of investing in its human capital. Mekorot Chairman Moshe Shimoni noted the agreement was a key objective upon his appointment, emphasizing the workers' proven professional capabilities during recent water supply challenges. CEO Dani Supper stressed the agreement is an investment in the company's future and its capacity to meet water sector challenges. Senior Deputy to the Director of the Wages Department at the Ministry of Finance Omer Hazan added that the agreement provides new tools for promoting excellence, recruitment, and retention, and is expected to improve efficiency and public service.
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