ROSH
HA'AYIN, Israel,, July 13,
2022 /PRNewswire/ -- Partner Communications
Company Ltd. ("Partner" or the "Company") (NASDAQ and TASE:
PTNR), a leading Israeli communications
operator, announced today that further to the Company's
report dated December 14, 2021
regarding the signing of a collective employment agreement for a
period of three years until December 31,
2024 (the "Collective Employment Agreement"), the
Company, the employees' representatives and the Histadrut New
General Labor Organization (the "Parties"), signed a
special collective employment agreement, that is valid
until December 31, 2024 (the
"Special Collective Employment Agreement"), that
regulates, among other things, a salary increase mechanism
for the years 2023 and 2024 and a mechanism for employee
participation in the Company's profits from year 2023 onwards.
The Special Collective Employment Agreement grants the
employees, among other things, salary increases for each of the
years 2023 and 2024 in the amount of 3.5% for employees with a
seniority of at least 1.5 years, to be differentially allocated,
special salary increases for the years 2023 and 2024 for employees
with a seniority of at least 4 years with salaries that do not
exceed the salary level set forth in the Special Collective
Employment Agreement; a mechanism for employee participation in the
Company's profits starting in 2023 in accordance with the Company
meeting its targets and a one-time retention grant for employees
with a seniority of at least 2 years, to be differentially
allocated.
The Special Collective Employment Agreement will include
the Company's statement that at least until December 31, 2024, it will maintain the Company's
assets (the cellular network and the fiber network) under its
ownership at least as the situation is on the day of signing the
Special Collective Employment Agreement, and will not take
streamlining or downsizing termination steps, except in specific
cases, and subject to the agreement of the employee
representatives.
The Special Collective Employment Agreement exhausts the
Parties' claims until December 31,
2024, for the matters settled therein, including all matters
pertaining to participation in profits, salary increases and
acquisition of control of the Company and the Parties' undertaking
to maintain industrial silence on matters regulated therein. As a
result, the labor dispute that was announced on April 12, 2022 is cancelled.
The estimated cost of the matters included in the Special
Collective Employment Agreement (not including the cost of employee
participation in the Company's profits that is conditional upon
future results) is approximately NIS 20.3
million for the year 2022 and approximately NIS 41.6 million for both of the years 2023 and
2024.
For further information please see the Company's Annual Report
on Form 20-F for the year ended December 31,
2021 – "Item 3. Key Information - 3D.2j - The unionization
of our employees has negatively affected and may continue to affect
our financial results" and "Item 6 DIRECTORS, SENIOR
MANAGEMENT AND EMPLOYEES - 6D. Employees".
Forward-Looking Statements
This press release includes forward-looking statements, as
this term is defined in Section 27A of the US Securities Act of
1933, as amended, Section 21E of the US Securities Exchange Act of
1934, as amended, and the safe-harbor provisions of the US Private
Securities Litigation Reform Act of 1995. Words such as "will",
"believe", "anticipate", "expect", "intend", "strive", "seek",
"plan", "could", "may", "foresee", "target", "objective", "goal",
declensions thereof and similar expressions typically convey
forward-looking statements, but these words are not the only words
that convey these statements. We have based these forward-looking
statements on our current knowledge and our present beliefs and
expectations regarding possible future events. These
forward-looking statements are subject to risks, uncertainties and
assumptions, including potential difficulties which may arise from
the signing of the collective employment agreement and its
financial impact on the Company.
About Partner Communications
Partner Communications Company Ltd. ("Partner") is a leading
Israeli provider of telecommunications services (cellular,
fixed-line telephony, internet and television services). Partner's
ADSs are quoted on the NASDAQ Global Select Market™ and its shares
are traded on the Tel Aviv Stock Exchange (NASDAQ and TASE:
PTNR).
For more information about Partner see:
http://www.partner.co.il/en/Investors-Relations/lobby/
Contacts:
Mr. Tamir
Amar, Deputy CEO & Chief
Financial Officer, Tel:
+972-54-781-4951
Mr. Amir Adar, Head of Investor Relations & Corporate
Projects, Tel: +972-54-781-5051, Email: investors@partner.co.il
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SOURCE Partner Communications Company Ltd.