Israel remains plagued by the global economic crisis even though the Israeli Shekel continues to strengthen against the U.S. Dollar. In April, unemployment rose 3-percent to make the unemployment rate 7.6-percent of the workforce. The total number of Israelis declaring unemployment reached 235,600, although holidays in April probably stymied the loss which will likely skyrocket in May. In an interview with Calcalist, Finance Minister Yuval Steinitz defends the government plan aimed at curbing unemployment and cutting down on foreign labor. Notably, he states:
“The financial plan is meant to fight unemployment is several ways: Indirectly – by putting up NIS 26 billion ($6.63 billion) as collateral for a wide scale solution to the credit crunch; and directly – by reducing foreign labor and encouraging unemployed Israelis to take over jobs usually held by foreign workers. There are over 400,000 foreign workers in Israel – that is an astounding figure considering our size….
Foreign workers do not compete with Israelis in the law, medical or academic professions. They compete in the service industry, with janitors and hotel chambermaids, by undercutting pay. When these jobs are available to Israelis again, their wages will be better as well.
“The Israeli market produces enough jobs; the problem is these jobs are not manned by Israelis. True, they’re not sexy jobs, but we have to reduce the number of foreign workers.”
Moreover, some analysts contend that the GM bankruptcy could significantly affect the Israeli economy. Israeli suppliers of GM parts could see a reduction in sales to the United States and international companies that rely on GM for revenue will also likely be forced to curb trade with their partners.
A few months ago, I wrote about the early stages of the conflict in Ukraine through the lens of Sun Tzu’s The Art of War. While it appears likely that the war will carry on into the foreseeable future, enough time has passed for us to make an honest assessment of each side’s relative […]
The Ukrainian Army has made dramatic strides in the last few weeks. Ukraine’s tactical commanders have outfoxed their Russian counterparts, and by issuing a feint towards the south the UA has been able to earn substantial gains in the north of their country. The impact of these efforts have been compounded by the steady stream […]
In mid-May the Irish political party, Sinn Féin, won the plurality of seats in the Northern Ireland Assembly. Many American readers might not fully understand the significance of Sinn Féin’s political victory- but rest assured that subjects of the United Kingdom and a wide range of political movements the world over have heard the message […]
The first wave of the Russian offensive in Ukraine has fallen short of Russian autocrat Vladmir Putin’s ambitions. Most analysts deduced that Putin had hoped to achieve a decapitation strike of the Ukrainian government- taking Kiev and replacing Ukrainian President Vladimir Zolinski with a pro-Kremlin voice. Kiev has been threatened repeatedly through the course of […]
On the weekend of March 26th, the notorious MS-13 gang went on a massive killing spree in El Salvador which left more than 70 people dead by Sunday. Even for a country where powerful gangs hold massive sway, this recent tragedy stands out considering that it was the bloodiest day on record since the civil […]
