Discount Bank hires Eini as labor relations consultant

Ofer Eini  picture: Tamar Mitzpi
Ofer Eini picture: Tamar Mitzpi

The former Histadrut chairman will advise the bank on its streamlining plan and wage agreement.

Israel Discount Bank (TASE: DSCT) CEO Lilach Asher-Topilsky is bringing in a big gun to deal with the bank’s workers’ committee. Ofer Eini, former chairman of the Histradrut, General Federation of Labor, has been hired to advise on the tense labor relations at the bank.

A few weeks ago, Discount Bank announced its strategic plan, which primarily involves streamlining. Under the plan, some 1,000 workers are to retire over the next five years (most of them at retirement age), and it is as of yet unclear how many new employees will be hired to replace them.

The workers’ committee, headed by Meni Greenstein, issued a circular to the employees expressing its dissatisfaction with the plan and its objectives.

Another upcoming challenge is the wage agreement, which the parties will need to hammer out next year. The bank hired the consulting firm McKinsey & Company to put together the program, but apparently realized that in order to reach an agreement with the workers’ committee, and to minimize friction with them, it would be better to employ someone who is intimately familiar with the field, and who comes from the workers’ committee’s side. The bank chose Eini, who was a dominant chairman at the Histadrut.

Discount is the bank with the poorest efficiency in the Israeli banking system. The bank’s workers’ committee is extremely dominant, and over the years there have been numerous labor disputes at the bank, most of which ended with the workers’ committee’s demands being met.

Discount Bank said, "The bank has hired Ofer Eini, former Histadrut chairman, to advise the bank in matters of labor relations. Ofer Eini brings many years of experience working as a leader and as a public figure, and the bank is convinced that he will contribute greatly to the advancement of labor relations at Discount Bank."

Eini said, "I only accepted the position after speaking to the workers committee and getting their blessing."

Published by Globes [online], Israel business news - www.globes-online.com - on October 2, 2014

© Copyright of Globes Publisher Itonut (1983) Ltd. 2014

Ofer Eini  picture: Tamar Mitzpi
Ofer Eini picture: Tamar Mitzpi
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