After almost an entire day of a nationwide general strike Wednesday and an entire night of intensive negotiations between Finance Minister Yuval Steinitz (Likud) and Histadrut Labor Federation Chairman Ofer Eini, the parties were on the verge of a breakthrough Thursday morning, Israel Radio reported. Eini and Steinitz held marathon late-night negotiations to work out a deal that would get the countrys basic services up and running again, while working out how to improve employment conditions of the countrys contract workers. The two sides were reportedly drawing up a document of agreed-upon principles on Thursday. Israels bank, railway, ports and stock market were closed on Thursday for the second day of a general strike as the government and the main labor union held talks on the status of contract workers. The Histadrut Labour Federation, the umbrella organization for hundreds of thousands of public sector workers, said the strike - which the Treasury estimates is costing the economy $500 million a day - would also close the Bank of Israel and government offices. Histadrut wants the government to hire about 250,000 contract workers, such as cleaners and security guards, whose working conditions are inferior to workers directly on government payrolls. Depending on the progress the sides make throughout the day, National Labor Court President Nili Arad was expected to decide whether to allow the general strike to continue, after hearing from representatives of both parties. According to Israel Radio, the tentative deal includes an agreement by the Finance Ministry to absorb a small number of contract workers and offer them tenure, as well as a salary raise. Under the new deal, contract workers would also receive social security benefits previously denied to them. The Finance Ministry intends to allocate 100 supervisors to ensure that employers provide contract workers their rights, Israel Radio reported. Ben-Gurion International Airport was shut for an hour and a half on Thursday. An airport spokesman said regular activity had resumed but a new flight schedule was still being drawn up. The Histadrut announced that Ben-Gurion International Airport was returning to full operational status, although it would still be until the afternoon hours before flights could depart. Meanwhile, workers were told to return to their jobs at other air and sea ports throughout the country. Hopes of reaching an agreement were low going into Thursday nights marathon session. The gaps are wide and we havent really made any progress yet, Eini said as he headed into the meeting. Speaking to reporters prior to his talks with Eini, Steinitz said, The strike is costing the Israeli economy 2.5 billion shekels per day. The Israeli Chamber of Commerce estimated the strike would cost the economy $100 million a day. However, the economic damage sustained on Wednesday was relatively low because it fell on Tu BShevat, a holiday that many Israelis traditionally take off to visit the countrys nature parks. The strike had shut down national and local government offices, municipalities, the National Insurance Institute, banks, the stock exchange, the Postal Authority and the ports. Bus lines have been operating as usual but train service was shut down. Daycare centers operated by the WIZO, Naamat and Emunah organizations were shuttered as well.
