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Bank Leumi Media Monitoring 03/04/15

English Language Press - There are no relevant clips to report at this time.

Swiss German Language Press

1. Overview: US-Swiss Tax Dispute

   Mar 3, 2015 | Neue Zurcher Zeitung

   Switzerland and Australia are negotiating an agreement regarding automatic exchange of information (AEI). A joint statement about the matter was signed yesterday in Canberra.

Israeli Press

2. Banks Raise Minimum Wage to NIS 5,000

   Mar 3, 2015 | Globes (English)

   By Irit Avissar
   
   
   In contrast to the rest of the economy, some banks are raising the minimum wage for their employees to NIS 5,000 immediately
3. Livni: "I Spoke With Noni Moses Before I Put Forward the Israel Hayom Law to the Ministerial Committee"

   Mar 3, 2015 | The Marker (Hebrew)

   By Nati Toker
   
   
   Is Yediot Aharanot the pressure behind the scenes for the bill to restrict the free distribution of Israel Hayom?

Bank Leumi Media Monitoring 03/04/15

English Language Press - There are no relevant clips to report at this time.

Swiss German Language Press

1. Overview: US-Swiss Tax Dispute

   Mar 3, 2015 | Neue Zurcher Zeitung

   -        Switzerland and Australia are negotiating an agreement regarding automatic exchange of information (AEI). A joint statement about the matter was signed yesterday in Canberra.

   Switzerland is in negotiations regarding AEI with the EU and the US, but also with some other countries with which it has close economic ties and with which it believes tax matters can be regularized. Australia is among these countries, it says in the joint statement.

   Switzerland and Australia want to start collecting data in 2017 and exchange data from the beginning of 2018. Switzerland hopes to reach an agreement with the EU still this year.

   Switzerland is also in negotiations with the US, although the US has already imposed unilateral exchange of information through the tax law FATCA. When it comes to FATCA, the Swiss government wants to switch over from Model 2 to Model 1. Model 1 enables direct flow of information between tax authorities. At present, Swiss banks deliver certain information regarding US accounts to the US authorities, which can get hold of the desired information through administrative assistance.

    http://www.nzz.ch/wirtschaft/newsticker/schweiz-und-australien-streben-automatischen-informationsaustausch-an-1.18494520

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Israeli Press

2. Banks Raise Minimum Wage to NIS 5,000

   Mar 3, 2015 | Globes (English)

   By Irit Avissar

   In contrast to the rest of the economy, some banks are raising the minimum wage for their employees to NIS 5,000 immediately. Starting in March, several banks are raising their minimum wage from NIS 4,300 to NIS 5,000. Under the law approved a few weeks ago, the minimum wage is due to rise in four installments by 2017, but several banks have decided to advance the date.

   The two largest banks, Bank Hapoalim (TASE: POLI) and Bank Leumi(TASE: LUMI), have decided to raise the minimum wage for both their employees and their contract workers. 1,100 regular employees and 800 contract workers at Bank Hapoalim will benefit, as will 1,400 regular employees and 900 contract workers at Bank Leumi.

   In some cases, the gross pay of the employees in question is already more than the minimum wage, but their base pay is still less than NIS 5,000 per month, and they will therefore receive a raise. At most of the banks, the base salary component, on which pensions are paid, is relatively low, with the bank granting various supplements (on which no pension is paid in most cases) that bring salaries to a more reasonable level.

   At Bank Hapoalim, for example, there are employees whose base pay varies around the minimum, but whose supplements total NIS 8,000 (meaning that their supplements are 60% greater than their base pay). These employees will also be granted a raise in their base pay.

   Bank Hapoalim said in response, "The bank is proud of its decision to raise the minimum wage in a single installment, rather than spreading the increase over the next two years. It was clear to us that all the employees deserve this, including those working through external companies, and we see no reason to distinguish between one employee and another, because the right to earn a decent living belongs to all.

   Bank Leumi's decision to raise the minimum wage was part of the new wage agreement signed with the workers' committee several weeks ago. It turns out, however, that in addition to salary raises, Bank Leumi is also raising the salaries of contract workers, starting in March.

   First International Bank of Israel (TASE: FTIN) also decided to raise the minimum wage for its employees to NIS 5,000. First International Bank has almost no contract workers, and relatively few employees who will benefit from the increase.

   Israel Discount Bank (TASE: DSCT) has not yet raised its minimum wage, but the matter is currently under discussion at the bank. It is believed that the bank is favorably disposed towards raising the minimum wage to NIS 5,000 for both its regular and contract workers, but it is not yet clear when an official decision on the matter will be made.

   The minimum wage hike is also on the agenda of Mizrahi Tefahot Bank (TASE:MZTF), but it will take more time for this bank to grant the raise. The bank is due to formulate a new wage agreement with its workers committee (although it is unclear how far the negotiations between the parties have progressed), and the new agreement will probably include a minimum wage hike. Mizrahi-Tefahot Bank has employees whose base pay is at the minimum wage level, but they also receive supplements, on some of which pension is paid, and the new agreement is expected to introduce order into the bank's salary calculations in order to determine who is entitled to a pay rise.

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3. Livni: "I Spoke With Noni Moses Before I Put Forward the Israel Hayom Law to the Ministerial Committee"

   Mar 3, 2015 | The Marker (Hebrew)

   By Nati Toker

   Is Yediot Aharanot the pressure behind the scenes for the bill to restrict the free distribution of Israel Hayom? Tzipi Livni (Zionist Union) stated at the Government-Business-Press conference that “Noni Moses knows my position and I know his position, but the origin of my position is not related to helping another newspaper. I spoke with Yediot Aharanot’s publisher, Noni Moses and received opinions gathered by Yediot Aharanot, dealing with the economic feasibility, but everything was transparent in the ministerial committee”.

   Livni was relating to the activities behind the scenes to promote the bill brought forward by Eitan Cabel and other MKs. The bill has passed its first reading in Knesset. There are more than a few commentaries that is around this bill, that the elections were called.

   -        The article summaries different issues raised at the conference.  

   -        Zehava Galon, chairwomen of the political party Meretz,  related to the Bank Leumi affair and the issue of Galia Maor and Eitan Raff’s bonuses. She stated “it is not right the Galia Maor and Eitan Raff left with a golden parachute of millions when it became clear that Leumi was running a tax shelter, the requirement should be that the insurance company does not insure them”. 

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