MK Dov Khenin (Hadash) accused the new Netanyahu’s government of declaring war on workers in response to a proposal that would prohibit most strikes in the public service sector. The proposal would also get rid of labor courts, leaving labor disputes to be resolved in the regular court system. “In order for workers to be able to fight for their rights tomorrow, they have to fight today for their right to do so,” he declared. The proposal would prohibit nearly all strikes in public service professions deemed “vital services,” and would require workers to first attempt mediation.

Histadrut labor federation spoke out sharply also on Tuesday as media reports suggested that Prime Minister Binyamin Netanyahu was planning a severe austerity budget that would eat into their interests. According to “Haaretz” senior officials have drawn up a plan that would cut the next biannual budget by NIS 27 billion, with NIS 9 billion trimmed in 2013 and a further NIS 18 billion going by the wayside the following year.

MK Khenin during a workers demonstration in front of the Likud headquarters in Tel-Aviv, “Metzudat Ze’ev”, on January 2013 (Photo: Hadash)

The plan, to be presented to the new government once it is sworn in, was formulated in the past three months, and will also forbid strikes in essential services and cancel the Labor Courts. Apart from the cuts, the plan does not call for new taxes or tax raises, but rather opts for the annulment of tax exemptions, thus generating an income of at least NIS 5 billion in each of the next two years.

The officials behind the plan include Harel Locker, director-general of the Prime Minister’s Office, Eugene Kendel, head of the Economical National Council at the Prime Minister’s Office, and Uri Yogev, former head of the budgets department at the Finance Ministry.  One of the officials told “Haaretz” that based on former Prime Minister Ehud Olmert’s statement, the government had already invested NIS 11 billion to deal with Iran in 2012.

According to “Haaretz” the officials also focused on neo-liberal “reforms”. Two of these have the potential to stir up severe opposition: A ban on strikes in essential services, while establishing a procedure for arbitration in such cases, and the complete canceling of the Labor Court. The Histadrut labor federation is expected to use all its power to oppose these last moves.