The presidium of the Israel Manufacturers Association met today to consider demands of Premier Levi Eshkol that they provide more jobs in export production in return for efforts by the Premier to ease scheduled increases in cost-of-living allowances to workers.
The industrialists met last night with the Premier to discuss problems created for industry during the current economic slump by the insistence of the Histadrut, Israel’s labor federation, on a five percent wage increase for most production workers and for the cost-of-living allowance boost. The Premier replied, in effect, that if the increases policy was eased, what evidence could the manufacturers provide that this would create large-scale additional employment.
The industrialists agreed to examine today the possibility of each export-oriented company taking on more workers and they will present their findings to the Premier. Come companies, it was learned, can add workers though they may need incentives to do so. While the Premier appeared ready to push for easing of wage and other cost pressures, it was almost certain that Mapam, a leftist coalition partner, would launch a campaign for adherence to the agreed-upon policy of wage increases.
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