"First International's management treats the workers of the group's banks like garbage cans," said First International Bank of Israel (TASE: FTIN1;FTIN5) subsidiary Bank Otsar Hahayal workers committee chairman Yitzhak Neeman in a letter to the bank's directors, in which he threatens them with legal action for allegedly violating their fiduciary duty toward the bank.
Last Wednesday, 900 employees of Bank Otsar Hahayal joined the strike by employees of its parent company, First International Bank, which is now entering its second week.
"Bank Otsar Hahayal is not holding genuine negotiations with us since it seems that its representatives sitting with us have absolutely no authority. As members of the board of management, you have the duty to ensure that the conduct of the company's functionaries does not involve a conflict of interests of the bank. Your silence is thunderous, your astonishing conduct puts in doubt your fiduciary duty toward the bank, its customers, and its employees," states the letter to the directors.
First International Bank's share price rose 2.5% by midday today to NIS 63.06.
Published by Globes [online], Israel business news - www.globes-online.com - on July 11, 2010
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