Immediate Report – Signing a Collective Agreement at Bezeq International
Bezeq The Israeli Telecommunications Corp. Ltd.
(the “Company”)
December 29, 2024
Attn.
Israel Securities Authority
Tel Aviv Stock Exchange Ltd.
Immediate Report – Signing a Collective Agreement at Bezeq International
Further to section 4.8 of the Description of Company Operations in the Periodic Report for 2023, the Company hereby reports that on December 26, 2024, the Company received notice from its subsidiary Bezeq International Ltd. ("Bezeq International") that it has signed a collective agreement with the General Federation of Labor and the employee representatives, for the period from January 1, 2025 to December 31, 2027.
The agreement includes a retirement plan for up to 140 Bezeq International employees in 2025-2027, and voluntary retirement of up to 10 Bezeq International employees in 2027.
After signing the agreement as set out above, Bezeq International is expected to record a non-recurring provision amounting to NIS 75 million in the fourth quarter of 2024. This includes a provision for employee retirement expenses amounting to NIS 70 million and another NIS 5 million for one-time bonuses, including a bonus conditional on a change in the holding rate of the current holders of the control permit in the Company.
It should be clarified that the estimates for the cost of the retirement plan are forward-looking information as defined in the Israel Securities Law, 1968, based, among other things, on assumptions and estimates for implementation of the retirement plan. These estimates may not materialize, or may materialize differently than expected, depending, among other things, on how and to what extent the agreements and the retirement plan are implemented, taking into account Bezeq International’s needs and ability to implement its plans and fulfill the other terms and conditions set out in the agreements.
Yours sincerely,
Bezeq The Israeli Telecommunications Corp Limited
The above information constitutes a translation of the Immediate Report published by the Company. The Hebrew version was submitted by the Company to the relevant authorities pursuant to Israeli law, and represents the binding version and the only one having legal effect. This translation was prepared for convenience purposes only.