Workers from the Israel Postal Company will expand a strike covering the country’s periphery to include Tel Aviv on Tuesday morning from 8:00-11:00, as negotiations between management and workers collapsed.

The latest issue is anger at the Finance Ministry for refusing to absorb 1,500 workers who have worked for five years or more on a temporary basis. The union accuses the ministry of trying to oust permanent workers and hire the temporary ones for lower wages.

“The Treasury is determined to fire thousands of workers and hires contractors in their places, who can be easily fired and paid the minimum wage,” said Postal Union chairman Shimon Farjun.

For its part, the company maintained that it was making its best efforts to keep the company financially viable, which included not only downsizing but also outsourcing some of its work and partially privatizing the state-owned company.

Globes reported that the severity of the crisis had led the Government Companies Authority to suspend negotiations and convene its board of directors. Bondholders are concerned that the company will go bankrupt, and are taking the company to court Wednesday to appoint their own representative.

The workers went on strike in March and April of this year as well over a downsizing plan that would have seen 2,000 of the companies 9,000 workers fired. That number has since come down to 1,000, and the workers have agreed to extend opening hours into the evenings, among other provisions.

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