Extended Unemployment Benefits and Business Support Through December

Earlier this week, Histadrut Chairman Arnon Bar-David and the Ministry of Finance reached an agreement on continued unemployment benefits and business support through December.

Productive discussions with the Ministry of Finance resulted in a mutual agreement to extend the Unpaid Leave plan throughout December. The agreement was reached after extensive deliberations with Shlomi Heisler, the Director General of the Ministry of Finance, and the Treasury’s management.

Under this arrangement, the unemployment benefit plan will persist in supporting the economy, providing relief to those affected by economic challenges during these trying times. Additionally, a reward plan for businesses will also continue until the end of December, reinforcing the commitment to sustaining economic stability.

On 20 November, the Israeli Bureau of Statistics advertised that almost 500,000 Israelis were unemployed under the extended definition it developed in response to the war. A forecast that this number would rise significantly during the month of December was not a welcomed sign of the unfolding financial situation in the country.

In this context, Chairman Bar-David emphasized the necessity of taking decisive actions to regulate moves that will offer certainty for the Israeli economy. He said, “I see an obligation to act to regulate the moves that will provide certainty for the Israeli market and economy in this difficult time. We are alert to every move and will continue to act responsibly.”

Bar-David also convened for a meeting with Bank of Israel Governor Prof. Amir Yaron, in Jerusalem on Sunday. The meeting, attended by professionals from both Histadrut and the Bank of Israel, centered on discussions regarding the economic consequences of the ongoing conflict on the broader economy and the specific impact on the labor market. The participants also addressed the policies adopted to ensure economic activity during the conflict and its subsequent stability.

As Israel faces unprecedented challenges, the Histadrut remains committed to promoting measures that safeguard the well-being of the Israeli economy and its workforce. The ongoing collaboration of the Histadrut with the Ministry of Finance and the Bank of Israel reflects its commitment to addressing the economic implications of the current situation and charting a course for a stable and resilient future.