The three-month labor dispute at

ECI Telecom

(Nasdaq:ECIL) is apparently over. Today representatives of ECI's unionized workers signed a memorandum with the executive, agreeing to the dismissal of 60 workers, coming into force in a week. The future of another 60 workers is to be decided by an arbitrator, former State Comptroller and Justice Miriam Ben-Porat.

ECI had sought to dismiss 149 unionized workers. The compromise was reached after an intense, prolonged struggle with the Histadrut labor federation.

TheStreet Recommends

The feuding parties have informed the Tel Aviv District Court of their agreement. The court is expected to accept it and grant the compromise the status of a ruling.

The parties agreed on a safety net designed to assure the future of the unionized workers being retained at in ECI. People under 44 years of age who have been working in the company for 16 years or more will be eligible for pension at the age of 46, and will get pension benefits for 18 years of work. Minimum wage workers will be eligible for a monthly pension not less than NIS 3,000, linked to the consumer price index. The safety net will be in force until 2012.

Final negotiations between the workers and the executive will resume after the Passover holiday beginning next Sunday.