Premier David Ben Gurion, intervening in the general debate in the Knesset, today called for nationwide support of a proposal to impose a special tax to solve Israel’s unemployment problem. He urged the Israeli people to accept the tax not as a “political issue” but as a “humanitarian matter.”
The Premier pointed out that the government could not use either funds from American grants-in-aid, German reparations payments or the development budget for this purpose since these funds “from the outside are earmarked for certain projects.”
Pressing the humanitarian aspects of the situation on his listeners, Mr. Ben Gurion asked: “How can we sit quietly and have our regular meals when we know that there are many thousands who cannot afford meals?” He concluded with an appeal for immediate mobilization of funds for unemployment relief.
An inter-party committee of Ministers last night reached a compromise on the special tax to provide funds to make jobs available for Israel’s 16,800 unemployed. The compromise, proposed by Progressive leader and Minister of Justice Pinchas Rosen, calls for a 15,000,000 pound tax, with taxpayers receiving vouchers which permit them to deduct the amount of the tax from future general purpose levies. The Mapal Ministers had demanded a 25,000,000 pound assessment, but the General Zionists opposed this on the ground that the people are already too heavily burdened with taxes.
The Ministerial committee was scheduled to meet again today to work out technical problems in connection with the levy and to decide on how to raise short-term funds until the new tax is collected.
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