The Beit Shemesh engine plans to summon 92 employees for a hearing prior to layoff

The Beit Shemesh engine company, controlled by the Fimi Foundation, has announced to the Histadrut that it plans to summon 92 of its employees - ie 12% of the workforce at the Beit Shemesh plant for a hearing prior layoff. The group is engaged in the production of jet engine parts, including the production of precision castings and the processing of jet engine metal parts, and the manufacture of annular and forged rings.
This activity is mainly carried out by Beit Shemesh engines and by the two wholly owned subsidiaries, Carmel and LPO. Beit Shemesh Engines is also engaged in the refurbishment, maintenance, rental of engines and engine assemblies, engine trading, assemblies and parts, and jet engine engineering and development.
Beit Shemesh engines explained the need for layoffs in the crisis in aviation, which could cause changes in the delivery dates of signed contracts. A group of Beit Shemesh engines has already laid off June 27 of 235 employees of the Carmel forged subsidiary, and has issued a summons for five additional employees.
Gabi Asraf, the chairman of the industrial workers, made it clear that the Histadrut would not hand over further layoffs, and declared a labor dispute in the Carmel foreclosures. The collective.
Asraf noted that all employees dismissed in the Carmel foreclosures and the candidates for dismissal are organized workers. He said this was done as part of the Fimmy's fund to eliminate organized labor in its factories, and that the fund was using the Corona crisis as an excuse for reorganization. Asraf said that the Histadrut informed Drori that upon issuing a summons for a hearing for Beit Shemesh engine workers, the organization would declare a labor dispute in this plant as well. He emphasized that the company has a backlog of orders for the next 20 years, so there is no reason for layoffs due to several months of crisis.
At the end of May, Beit Shemesh engines reported $ 3.7 million in revenue of $ 49 million in the first quarter of 2020, compared with $ 5.7 million in revenue of $ 39 million in the corresponding quarter of 2019. The company noted that it experienced sales growth in both of its operating segments, and that the decline in net profit was due to the fact that net profit in the first quarter of 2019 included a $ 3.7 million opportunity profit from the acquisition of the Carmel subsidiary.
The company noted that its order backlog reached $ 2.3 billion, and estimated that by 2020, there would be an insignificant reduction in sales compared to 2019, mainly in the parts sector, and therefore the company's profits could fall.