What are Iscar employees set to gain from Buffett's $2bn investment?
Not much is the answer. Iscar is an old-fashioned business, where management is hardly distinguishable from staff and nobody gets hair raising bonuses. On the other hand, when the global recession kicked in and the company's sales plummeted, not a single employee lost his job.
The $2 billion agreement announced last week, through which billionaire investor Warren Buffett’s Berkshire Hathaway firm is to purchase the 20% of the Israeli firm Iscar that it did not already own, raises the question of how it will affect the company’s employees.