SUBSCRIBE TO TMCnet
TMCnet - World's Largest Communications and Technology Community

TMCNet:  Accountant General tells Leumi CEO to halve salary [Globes, Tel Aviv, Israel :: ]

[June 19, 2014]

Accountant General tells Leumi CEO to halve salary [Globes, Tel Aviv, Israel :: ]

(Globes (Tel Aviv) Via Acquire Media NewsEdge) June 19--Accountant General Michal Abadi-Boiangiu has advised Bank Leumi (TASE: LUMI) CEO Rakefet Russak-Aminoach to halve her salary, or the Ministry of Finance will do it for her through legislation. The issue came up in a conversation between the two women.


The Ministry of Finance wants to limit executive salary costs at banks and financial institutions at NIS 3.5 million a year. Above this figure, it will not recognize the compensation for tax purposes. This figure means that Russak-Aminoach will have to halve her salary.

The Ministry of Finance lacks the authority to reduce salaries of bank executives, which is the purview of the Bank of Israel. However, this could be done through legislation. The ministry also owns 6% of Bank Leumi through a government company headed by Abadi-Boiangiu.

In February, the state opposed the salary package of Bank Leumi executives, partly because of the bonus targets that were too and basic salaries, which were too high in Abadi-Boiangiu's opinion. The maximum basic salary in the compensation package is NIS 130,000 a month for a member of management and NIS 183,000 for that of Russak-Aminoach. The Ministry of Finance is also displeased that the bank wants to grant a bonus equal to a month's salary, and a signing bonus of 12 monthly salaries for new executives. The ministry also says that the severance compensation of 200-250% is excessive and unreasonable.

___ (c)2014 the Globes (Tel Aviv, Israel) Visit the Globes (Tel Aviv, Israel) at www.globes.co.il/serveen/globes/nodeview.asp?fid=942 Distributed by MCT Information Services

[ Back To Technology News's Homepage ]

OTHER NEWS PROVIDERS







Technology Marketing Corporation

800 Connecticut Ave, 1st Floor East, Norwalk, CT 06854 USA
Ph: 800-243-6002, 203-852-6800
Fx: 203-866-3326

General comments: tmc@tmcnet.com.
Comments about this site: webmaster@tmcnet.com.

STAY CURRENT YOUR WAY

© 2014 Technology Marketing Corporation. All rights reserved.