Histadrut, Treasury in talks to avert strike

Avi Nissenkorn
Avi Nissenkorn

Ministry of Finance wages director: A NIS 200 rise in the monthly minimum wage will increase state spending by NIS 1 billion.

Negotiations are resuming between the Ministry of Finance, the Histadrut (General Federation of Labor in Israel), and the employers' organizations, following a tripartite meeting today between Minister of Finance Yair Lapid, Histadrut chairman Avi Nissenkorn, and Manufacturers Association of Israel president Zvika Oren. The meeting follows the Histadrut's announcement that it will call a strike starting on Sunday, December 7 in support of its demand for increasing the minimum wage from NIS 4,300 to NIS 5,300 and restricting the use of contract workers.

At the end of the meeting, the Histadrut said, "It is premature to speak of progress. The threat of a strike still applies." The Ministry of Finance said, "It was agreed at the meeting to continue discussions in small work teams, which will hold their first meeting tonight."

Lapid said that he saw no reason at the moment for a general strike, which would cause harm to "both the public and the economy." Lapid pointed out that the economy was currently recovering from Operating Protective Edge, and stated, "A strike now is irresponsible at the national level."

One of the participant at the meeting said that Nissenkorn was afraid that a general strike would renew the initiative for legislation banning strikes in essential services.

Lapid, who was accompanied to the meeting by Ministry of Finance director general Yael Andorn and Director of Wages Kobi Amsalem, repeated that he was ready to raise the minimum wage significantly, provided that this did not cause a breach in the budget framework. As revealed by "Globes," Amsalem estimates that a NIS 200 monthly rise in the minimum wage will increase state spending by NIS 1 billion.

Published by Globes [online], Israel business news - www.globes-online.com - on November 27, 2014

© Copyright of Globes Publisher Itonut (1983) Ltd. 2014

Avi Nissenkorn
Avi Nissenkorn
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