Governor of the Bank of Israel Prof. Stanley Fischer and Ministry of Finance Director of Wages Eli Cohen reached a compromise on the return of tens of thousands of shekels, which the ministry asserts was illegally paid to Bank of Israel employees. The returns will apply to salaries and benefits paid since 1998, and not from 2003 as agreed in the agreement with former Bank of Israel workers committee chairman Rafi Lankri.
Fischer’s concession brought the current labor crisis at the Bank of Israel to an end, although Bank of Israel workers committee chairperson Rimona Leibowitz was not a party to the agreement and will have to give her consent. Fischer and Cohen agreed that both Bank of Israel executives and employees will have to return the excess salary payments.
In addition to Fischer and Cohen, the Prime Minister’s economic advisor, Prof. Manuel Trajtenberg, Bank of Israel director general Yacov Dinon, and Lankri participated in the negotiations.
Sources inform ''Globes'' that both former and current members of the Bank of Israel management will have to return large amounts of money. Danon will return NIS 90,000, former supervisor of banks Yoav Lehman, former director general Oded Heztroni, and former executive Ephraim Gross will also return money.
Published by Globes [online], Israel business news - www.globes.co.il - on March 18, 2007
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