Broadcom Israel Executive Files 3.3M NIS Lawsuit Over Stock Options
Senior Broadcom Israel executive Eitan Cohen has filed a 3.3 million NIS lawsuit alleging wrongful termination and age discrimination to avoid vesting over $5 million in stock options.
A senior executive at Broadcom Israel, Eitan Cohen, has filed a 3.3 million NIS lawsuit against the company at the Tel Aviv Regional Labor Court, alleging he was wrongfully terminated to prevent the vesting of over $5 million in stock options. Cohen, 58, who served as a Director of R&D and managed a development center in Bulgaria with approximately 360 employees, claims his dismissal in January 2026 was driven by age discrimination and a desire to avoid high compensation costs.
According to the lawsuit, Cohen has 36 years of experience in the semiconductor industry, including ten years as the owner of an ASIC company acquired by Broadcom a decade ago. His compensation package included a base salary, global overtime pay, annual bonuses, and substantial grants of restricted stock units (RSUs). Cohen asserts that at the time of his termination, his unvested RSUs were valued at more than $5 million.
The plaintiff argues that the dismissal process was flawed and retaliatory, noting that the pretext of operational downsizing in specific chip manufacturing sectors does not reflect the broader financial health of his division. Furthermore, Cohen claims the company refused to consider alternative placement within the organization.
Broadcom, represented by Adv. Shira Lahat, strongly denies all allegations of age discrimination. The company stated that the decision to terminate Cohen's employment was based strictly on business considerations related to workforce reductions and market shifts in chip manufacturing, adding that unallocated stock options do not accelerate upon standard termination.
