Tel Aviv District Court yesterday turned down a request by insurance company Migdal to issue a temporary injunction against the Bank Leumi workers union. The company had asked the court to compel the bank employees to maintain their collective insurance arrangement with it, and to stop them going over to another company, Harel.
Migdal had claimed that it has a right to demand that the Leumi workers keep to their agreement, at least until it expires in 2011. According to Migdal, the Leumi workers are the second largest group to join the Migdal collective insurance arrangement, worth tens of millions of shekels, and cancellation of the agreement would cause them severe financial damage.
The Leumi workers responded that Migdal had misled them into signing an extortionate agreement. They claimed Migdal had colluded with a professional adviser hired by the Leumi employees to get them to sign an inappropriate and unfair contract.
The workers claimed they had only realized this recently, when the agreement had come under external scrutiny.
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