Israel’s ECI Telecom to Lay Off 6% of Workforce
In an email to employees, the telecom equipment manufacturer’s CEO Darryl Edwards wrote the layoffs were needed because of global competition, a decline in governmental support, and a strong shekel
Israel-based ECI Telecom Ltd. announced it would soon lay off 6% of its workforce, or about 100 workers, in an email sent to the company's employees by ECI's chief executive Darryl Edwards on Thursday.
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In the email, which was obtained by Calcalist, Mr. Edwards said the privately-held telecommunications equipment manufacturer is trying to become more efficient in order to face increased global competition. In explaining the layoffs, he also cited a decline in the support ECI receives from the Israeli government and shekel’s appreciation against the dollar.ECI has been approached for comment but has yet to respond.
In April, Calcalist reported that the company’s main investor, Shaul Shani, had poured $40 million into the company in order to maintain control of the ECI.At its height, which was in the 1990s, ECI was one of Israel largest tech companies, employing about 6,000 people.