Histadrut’s Blumenberg: “AI Must Empower Workers, Not Replace Them”

May 28, 2025

Deputy Director General Adam Blumenberg calls for government intervention and long-term workforce strategy in face of AI revolution

In a powerful address at the Eli Hurvitz Conference, Adam Blumenberg, Deputy Director General of Economics and Policy at the Histadrut, urged Israel to embrace artificial intelligence (AI) as a tool for worker empowerment, while warning of its potential to displace vulnerable workers without proper government intervention.

“Before we talk about the future, we must address the now,” Blumenberg said, referencing the 600-day war and the 58 hostages still held by Hamas. “These human tragedies demand immediate attention, even as we prepare for the technological challenges of tomorrow.”

Turning to the economic implications of AI, Blumenberg compared the current revolution to historic shifts like Ford’s assembly line and the rise of the internet. He noted that such transformations, though disruptive, ultimately reduced inequality, increased productivity, and shortened work hours.

“The Histadrut’s position is clear,” he stated. “Technology must be embraced, but in a way that enhances human dignity, reduces working hours, and ensures fair income.”

Key Highlights from Blumenberg’s Speech:

  • AI Risk and Opportunity: Citing data from the Bank of Israel and international research, Blumenberg warned that 20–23% of Israeli jobs are at risk of replacement by AI systems, not augmentation.
  • Need for Lifelong Learning: He emphasized the urgency of investing in lifelong education and workforce retraining, particularly for populations in Israel’s geographic and social periphery.
  • Universal Basic Income and Flexicurity: Blumenberg called for a national dialogue on universal basic income (UBI) and flexicurity models, blending income security with labor market flexibility, as AI transforms labor dynamics.
  • Government Responsibility: He stressed the government’s duty to step in where the market fails, especially in reskilling programs, privacy protections, and regulating AI in HR processes.
  • Public Sector Agreements: Blumenberg reminded that the Histadrut had already signed a framework agreement in 2023 to support the integration of new technologies in the public sector, with the condition of worker involvement in the process.

“The Worker Will Not Be Replaced by the Machine”

In his closing remarks, Blumenberg delivered a resonant message:
“The worker will not be replaced by the machine. The worker will be replaced by another worker who knows how to work with the machine.”

As AI adoption accelerates across Israel’s economy, the Histadrut is taking a proactive stance, championing smart policy, social equity, and worker empowerment in the digital age.

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