Israeli Workers Seek to Cripple Economy Over Judicial Overhaul

Israel’s biggest labor group triggered one of the most widespread strikes in the country’s history to paralyze the economy and pressure Prime Minister Benjamin Netanyahu to halt a plan to dramatically weaken the judiciary.

(Bloomberg) — Israel’s biggest labor group triggered one of the most widespread strikes in the country’s history to paralyze the economy and pressure Prime Minister Benjamin Netanyahu to halt a plan to dramatically weaken the judiciary.

The Airports Authority grounded all outbound flights, while walkouts took place at ports, major retailers and Israel’s largest investment fund, FIMI. Bank Hapoalim BM, one of the country’s largest lenders, closed all its branches.

The call to shut down a $530 billion economy had the rare support of the country’s major employers, and stepped up opposition to a policy that has divided Israeli society, battered the currency and led to unprecedented protests by thousands of people. Netanyahu has said he’s considering a delay to the overhaul, and is due to speak later Monday.

Members of the health sector joined the national strike, as did municipality authorities. A representative group of the technology industry urged members to leave work to protest outside the Knesset, Israel’s parliament in Jerusalem. Monday.com Ltd. was one firm to take part and Wix.com Ltd. said it would allow employees to attend the demonstrations without taking vacation.

“We are here today in a historic moment, launching a historic strike where employers and workers in the state of Israel are joining hands and shutting down the state,” Arnon Bar David, head of labor group Histadrut, said at a news conference.

The unprecedented show of unity came after Netanyahu dismissed Defense Minister Yoav Gallant for warning the judicial overhaul is creating a rift in society and damaging security. Gallant asked the government to suspend all legislation that would push the overhaul forward and called for an end to protests. 

Economy Minister Nir Barkat backed him up, saying the policy wasn’t worth the risk of a civil war. Yet National Security Minister Itamar Ben Gvir, whose far-right support was key to Netanyahu coming back to power, is threatening to resign in the event of a backtrack, Haaretz reported. 

The government says judicial changes are needed to rein in a legal system that has unilaterally taken on too much control. Opponents argue the proposed changes would undermine the checks and balances of Israel’s democracy.

 

–With assistance from Gwen Ackerman.

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