Minimum wage should be increased to NIS 6000 a month - Labor MK

Efrat Rayten chaired an urgent meeting in an attempt to save an economic deal that would raise Israel's minimum wage. The goal: NIS 6000 per month by 2024.

 Illustration photo of the new 100 Israeli Shekel bill. December 31, 2017. (photo credit: NATI SHOHAT/FLASH90)
Illustration photo of the new 100 Israeli Shekel bill. December 31, 2017.
(photo credit: NATI SHOHAT/FLASH90)

Labor MK Efrat Rayten, chairman of the Knesset's Labor and Welfare Committee held an urgent meeting in an attempt to save an economic deal that would raise Israel's minimum wage. 

What does the deal include?

Rayten proposed raising the minimum wage immediately by about 250 shekels per month so that it will reach 6000 shekels per month by the end of 2023-2024.

Representatives from the Finance Ministry, major employers and the Histadrut labor federation, along with MKs who support raising the minimum wage, attended the meeting. 

The other terms of the package deal, including flexibility in managerial employment and a change in the format of taking days off, will remain unchanged.  

What did everyone think of the minimum wage proposals?

 Labor and Welfare Committee Chairman Efrat Rayten leads a committee meeting at the Knesset, the Israeli Parliament in Jerusalem on June 20, 2022. (credit: YONATAN SINDEL/FLASH90)
Labor and Welfare Committee Chairman Efrat Rayten leads a committee meeting at the Knesset, the Israeli Parliament in Jerusalem on June 20, 2022. (credit: YONATAN SINDEL/FLASH90)

Histadrut chairman Arnon Bar-David supported Rayten's position, claiming that workers' wages had eroded as a result of inflation and that they should be paid a monthly increase of at least 200 shekels to the minimum wage.

Yet, both the employers' representatives and the Finance Ministry strongly oppose the change in the outline. 

Dubi Amitai, president of the Farmers Federation in Israel, said he did not intend to respond to the change in the outline signed between the parties, which included a salary increase of NIS 100 in the first round.

"We signed a package deal which is balanced in all respects. With all due respect to Rayten, whose service I appreciate, it is impossible to violate all agreements several months after they are signed," he said. 

"We signed a package deal which is balanced in all respects. With all due respect to Rayten, whose service I appreciate, it is impossible to violate all agreements several months after they are signed."

Dubi Amitai, president of the Farmers Federation in Israel

Finance Ministry Director-General Ram Blnikov also opposes raising the minimum wage for fear that the wage increase will further heighten inflation and ultimately hurt employees. 

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Even if the Labor committee finally reaches an agreement on changing some terms in the package deal, it’s doubtful whether the Knesset will approve it.

The end of last week was the deadline for approving bills.