The Knesset Finance Committee on Wednesday, 6 Adar-II passed a regulations setting a salary limit of NIS 2.5 million annually on bank and insurance company employees in a first step to eliminate the exorbitant salaries given to some of the senior officials in those industries.
According to the formula, one may earn up to 44 times of the lowest wage earner in the same bank or insurance company up to a maximum of NIS 2.5 million annually, which is about NIS 208,000 monthly at the current exchange rate.
Committee Chairman MK Moshe Gafne called the move a “historic one” and he feels this is a first step towards a measure of social equality during a time there is a growing number of working poor families nationwide. He added that while he has the utmost respect for the talents and professionalism of the banking industry’s leaders, the salaries are outrages and intolerable.
At present, the average salary package for the CEOs of major Israeli banks in 2015 was NIS 5.85 million. The CEO of Bank Leumi earned NIS 8.1 million in 2015 including dividends and bonuses.
(YWN – Israel Desk, Jerusalem)
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2 Responses
I’m not agreeing or disagreeing, but what would frum Jews in America say if MK Gafne had advocated and passed this law in the US?
As Thatcher said:
Socialists don’t mind the poor get poorer as long as the rich also get poorer