Jerusalem, 12 November, 2026 (TPS-IL) — Israeli airline Arkia is facing a change of ownership and a possible labor confrontation after its longtime owners agreed to bring in a new investor group, which will inject tens of millions of dollars into the carrier.
The agreement, announced Thursday by brothers Rafi, Joe and Avi Nakash, gives the incoming investors control of the airline. The Nakash brothers, Israeli-American businessmen whose international holdings span aviation, real estate, fashion and hospitality, will retain a stake in the company. Neither the size of the new group’s holding nor the division of shares following the transaction has been disclosed.
Arkia is one of Israel’s two largest domestic airlines, alongside Israir, and also operates international routes, making it an important part of the country’s aviation industry.
The deal has already sparked opposition among employees, who previously held approximately 22% of Arkia. Workers fear their stake will be substantially reduced through the new capital injection and say the owners are making major decisions without their approval.
The Transportation Workers Union of the Histadrut labor federation declared a labor dispute Thursday, accusing management of pursuing layoffs and cost-cutting measures without reaching agreements with employee representatives.
The union said employees were concerned about the cancellation of routes, the company’s financial stability and the future of their jobs and working conditions. The dispute could lead to disruptions affecting Arkia’s flights.
The incoming investors include businesswoman Einav Adiv-Barrer, real estate entrepreneurs Kidan Dehari and Yaron Adiv, and businessman Yariv Lerner.
The investors said they were making a long-term commitment to the airline.
“Our investment is intended to stabilize the company, strengthen its operations, and ensure its continued operation for the benefit of its employees, passengers, and the Israeli economy,” they said.
