JERUSALEM, June 29 A plan to rein in executive
wages at financial firms cleared a key hurdle on Sunday when
parliament's legislative committee approved the proposal.
It still needs final approval from parliament's full plenum.
The Finance Ministry has proposed that executive salaries
above 3.5 million shekels ($1.0 million) would not be recognised
for tax purposes.
The ministry's rationale behind the proposal is that
financial firms have a significant influence on the economy in
terms of household expenses such as bank and management fees and
commissions. It is also seeking to set a standard for wages of
Under the plan, such high salaries would need approval from
a majority of minority shareholders.
($1 = 3.4227 Israeli Shekels)
(Reporting by Steven Scheer)