The workers’ union at insurance company AIG Israel announced a labor dispute on Sunday over disagreements with management on renewing the company’s collective agreement after nearly a year of negotiations. The union says management, led by CEO Yfat Reiter, is piloting an AI tool designed to simulate tasks currently performed by employees, a move the committee says could lead to job losses and undermine employment stability. The union is demanding that AI use be addressed in the collective agreement. The dispute declaration triggers a 15-day cooling-off period, after which the union and the Histadrut may take organizational measures, including a strike. AIG Israel employed 852 people in 2025, up from 838 in 2024; of those, 574 worked in service and sales centers, areas potentially affected by AI tools. AIG said it regrets the dispute declaration while serious negotiations are underway, adding it has presented appropriate offers on wages and conditions, and that AI implementation will be carried out responsibly and in accordance with the law.