ZIM Workers Escalate Strike Over Hapag-Lloyd Sale

Employees at Israeli liner company ZIM Integrated Shipping Services have intensified industrial action after the announcement of its proposed $4.2bn acquisition by Germany’s Hapag-Lloyd.

Approximately 800 union members, out of a total workforce of about 1,000, launched a warning strike on Sunday at the company’s headquarters in Haifa following reports that a takeover was imminent. By Tuesday, the protest had developed into a full-scale strike, bringing company operations to a standstill.

Union officials stated that cargo handling activities, including the loading and unloading of vessels such as those carrying agricultural goods, would be suspended. Operations at the ports of Ashdod and Haifa have also been affected, with certain ships reportedly left waiting at berth.

“We have stopped some vessels at the ports of Ashdod and Haifa and we will not let the company work on those ships until they talk with us and we are convinced they are considering the employees,” union leader Ziva Lainer Schkolnik told Reuters. She added that vessels already alongside would not be discharged.

The strike follows confirmation that Hapag-Lloyd, alongside Israel’s FIMI Opportunity Fund, secured the tender to acquire ZIM under an agreement signed on Monday.

According to the outlined structure, Hapag-Lloyd will complete the acquisition before separating ZIM’s Israeli operations into a standalone company controlled by FIMI. The newly formed entity, to be called “New ZIM”, will operate 16 ships to preserve direct maritime connections for Israel.

Employees have voiced concerns about potential job losses under the new arrangement. Union chairman Oren Caspi said workers had been informed that only around 120 positions would remain within the new Israeli entity. This could leave nearly 900 employees, including many with long-standing employment protections, without roles.

Caspi noted that he had anticipated negotiations during the initial 48-hour warning strike but claimed that neither current management nor the incoming owners initiated discussions, leading to the decision to escalate action.

“Ships are already standing idle and damage is accumulating,” he told local media. “We will paralyze the company if necessary. They will not receive a functioning company without proper guarantees,” he told financial newspaper Calcalist.

FIMI founder and chief executive Ishay Davidi said the fund views the continuation of a strong, independent Israeli shipping operator as strategically important and plans to develop a modern and efficient fleet within the new structure. Hapag-Lloyd is also expected to establish a research and development centre in Israel, which may provide opportunities for some of ZIM’s technology staff.