Heads of Government corporations in Israel were on notice today they were not to approve any new wage demands before the Government determines an overall wage policy.
The warning was given by Finance Minister Pinhas Sapir, prior to his departure for a nine-day visit to the United States. He spoke at a meeting of board chairmen and managers of Government corporations here. The Finance Minister also declared the Government would not be intimidated by threats of wildcat strikes in support of wage demands.
He said that he would propose to the Cabinet that any manager who approved wage demands prematurely should be dismissed immediately. The meeting was called at the request of several managers who said they wanted Government backing in opposing “exorbitant” wage demands.
The Finance Minister said he “assumed” that workers in such corporations who have received pay increases averaging 25 percent during the past year would agree to forego further increases for at least another two years. He also said that wages of production workers would have to be linked to increased productivity and added that the formulas would be determined in negotiations between employers and the Histadrut, Israel”s labor federation.
Meanwhile, the Ministry of Housing announced today that Israel will need 30,000 new housing units annually in the next few years to provide housing for new immigrants and shelter for the natural increase of its population. To provide this housing, the Ministry has taken the first steps toward attracting private housing developers to cooperate with the Government in an extensive building program in development areas.
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The Archive of the Jewish Telegraphic Agency includes articles published from 1923 to 2008. Archive stories reflect the journalistic standards and practices of the time they were published.
