IBA delays July salaries

License fee revenues coming in at a trickle, and the IBA's financial deficit makes it impossible to pay out salaries on the due date.

By GREER FAY CASHMAN
IBA 298.88 (photo credit: Courtesy)
IBA 298.88
(photo credit: Courtesy)
Israel Broadcasting Authority's threats that employees would not receive their July salaries came closer to reality Monday when IBA Chairman Moshe Gavish said Monday at the weekly meeting of the IBA management committee that there would be a delay in payments. License fee revenues have been coming in at a trickle, and the IBA's financial deficit simply makes it impossible to pay out salaries on the due date, said Gavish. He was, nevertheless, hopeful that salaries could be paid on August 7, when last quarter license fee payments should arrive at the bank. In the interim, Gavish said he hoped that Bank Yahav would demonstrate sensitivity and understanding towards those IBA employees who sought to get loans from the bank to tide them over until their salaries were deposited. Members of the management committee expressed doubts about there being sufficient funds to pay out salaries, even by August 7, and said that this was a major sign of the impending collapse of the IBA. Most were certain there would also be a delay in paying August salaries, if they would be paid at all.