Workers committee chairman Itzik Neeman has ordered all branches to stop marketing mortgages, starting today.
The dispute between the employees of Bank Otsar Hahayal and its owner of the past three years, First International Bank of Israel (TASE: FTIN1;FTIN5), has worsened. Sources inform ''Globes'' that Bank Otsar Hahayal workers committee chairman Itzik Neeman has ordered all branches to stop marketing mortgages to the bank's and other customers, starting today. The mortgages are forwarded to First International Bank for handling.
Neeman told "Globes", "This is the first step in the labor dispute, and we'll take further action if we see no progress."
Bank Otsar Hahayal's employees claim that, after reaching agreements with the bank's management over bonuses and other benefits, the management of First International Bank, run by president and CEO Smadar Barber-Zadik, intervened and demanded a reduction in the benefits. First International Bank denies the allegation.
Published by Globes [online], Israel business news - www.globes-online.com - on July 16, 2009
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