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Israel Privatizes Postal Service
Israel privatizes its postal service for the first time, handing operations over to Milgam, a municipal service provider.
English
Israel
EconomyIsraelLabour MarketGovernmentInternational TradeBusinessPrivatization
Israel PostMilgamRami LevyCommunications Ministry
Shlomo KarhiShimon PargonYali Rothenberg
- What major event took place regarding Israel's postal service?
- Israel's postal service has been privatized for the first time in the country's history. Municipal service provider Milgam purchased the service for NIS 461 million ($125 million) after a competitive bidding process.
- What are the primary goals behind the privatization of the postal service?
- The privatization is intended to improve service quality and efficiency, addressing financial challenges and modernizing operations to adapt to the digital age. The Communications Ministry hopes that competition will drive innovation and better service for citizens.
- What company acquired Israel's postal service, and what other services does it provide?
- Milgam, the winning bidder, provides various municipal services, including water and sewer system maintenance, parking management, and IT solutions. The company beat out 14 other bidders, including Rami Levy.
- What are the long-term hopes and expectations for the future of the privatized postal service?
- Accountant General Yali Rothenberg sees privatization as a new opportunity for the postal service to become more efficient and innovative, ultimately benefiting Israeli citizens. The move is intended to address long-standing financial issues and improve service.
- What were the reactions of government officials and union representatives to the privatization?
- Communications Minister Dr. Shlomo Karhi expressed confidence that the new management will bring improvements. He also praised the postal workers and their union for their collaboration in this transition.