Premier Meir Expected to Report Formation of New Coalition Government

Premier Golda Meir was expected to inform President Zalman Shazar tonight that she had succeeded in forming a broadly based national coalition government. Her reported success came after the Gahal faction agreed to a compromise proposed by the Labor Alignment governing its freedom of action in the Knesset.

The two factions comprising Gahal–Herut and the Liberal Party–met at their respective centers in Tel Aviv today and were believed virtually certain to endorse the compromise. Their action will remove the last obstacle to the formation of a new government which Mrs. Meir has been trying to put together for more than a month.

Gahal, although a member of the Government, will be permitted to abstain from voting on Government-supported measures dealing with the settlement of labor disputes. The abstention right can be exercised only once on a given bill, but Gahal accepted the limitation, feeling that it will be able to use the right wing it will have the most effect.

Gahal (Herut-Liberal Alignment) favors the compulsory arbitration of labor disputes when they involve essential national services and non-binding arbitration of other labor disputes. The Labor Alignment, which holds a majority in the governing councils of Histadrut, Israel, labor federation, opposes arbitration on the grounds that it interferes with Histadrut’s functions. Gahal, the country’s second largest political party, held out for its right to differ with the Government on such legislation though it will not be an opposition party.

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