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A new government, can we build on you or will the state continue to turn a blind eye? - Walla! Of money


To the attention of the ministers entering the housing and labor ministries: the construction industry in Israel has become a kind of modern Tower of Babel: because of the many languages ​​that are heard on the work sites, workers are falling to their deaths

A minor work accident (illustration), a large part of them are caused by a short in communication (Photo: ShutterStock)

From the beginning of the year until the ninth of November, 64 people were killed in work accidents after during the entire year of 2021, 72 workers found their deaths, according to data from Ko LeOved - and this follows 66 workers who died in work accidents in 2020 and 86 who died in work accidents In 2019, it is the last year before the Corona virus. It is very possible that most of you have not heard about the deaths, even if there was news on the subject, it was on the margins.

You have not heard about the deaths this year for the simple reason that 20 of the dead are Israeli Arabs, 13 Palestinians, 5 Chinese, 12 Their identity is not known at all, perhaps unregistered foreigners among the 30,000 tourists who "forgot" to leave Israel? And 13 Jewish Israelis. Many of the dead died from falling from a height. The dead are from all industries, not just the construction industry. Safety in the construction industry is notorious, you've all heard of the cranes that collapsed

In the coming year, the situation may worsen because the cost of capital has increased following the sharp interest rate hikes and worsened the accessibility of businesses to loans from banks or the secondary market.

Companies in all industries will be forced to reduce investments and extend the life of existing equipment and machines in order to use them to the fullest, as much as possible.

Palestinian workers on their way to work in Israel.

A gray area that must be regulated (Photo: Shlomi Gabai)


Palestinian workers in the construction industry: the quota currently stands according to the government's decision from August 2021 at 80,000 and foreigners who can officially work in Israel, their number should reach 22,000 workers in 2025. All workers legally in Israel are entitled to medical treatment and rehabilitation and reimbursement of expenses through the National Insurance Institute.

Behind There remain the brothers of the Palestinians, the Sheba, illegal residents, each to his own fate, it is estimated that there are between 20,000 and maybe up to 40,000 Sheba in Israel. If there are no attacks like the ones that happened this year, then the authorities turn a blind eye, knowingly. They need to build more and more apartments because The shortage and the rise in prices, and who will build? But in the event of an accident, who will compensate and who will take care of the widows and orphans of the unregulated workers from Judea and Samaria? Who takes care of the thirty thousand illegal immigrants with expired tourist visas, who work in housekeeping or nursing?

The new Minister of Construction and the Ministers of Finance and Labor will be obliged, as soon as the new government is formed, to immediately open talks with the Chinese government in order to organize the introduction of tens of thousands of Chinese to Israel.

Their entry was delayed in recent years, initially due to the Chinese government's demand that they not work in "territories" considered occupied and then due to the outbreak of the Corona virus.

Now there is a golden opportunity to bring workers from China beyond the quota that the government set last year.

The crisis in the housing industry in China, which has been severe for decades, is an opportunity, which will make it possible to receive skilled and hardworking Chinese workers who were expelled from working in China, which every contractor would be happy to receive, they are second to none in their ability.

The Israeli economy, currently the strongest economy in the world in terms of current activity and also according to the forecasts for the future, including debt to GDP, deficit.

The current account surplus is beginning to slow down, as in the rest of the world, against the background of the sharp increase in interest rates that the leader of the US central bank (followed by the whole world, including the Bank of Israel). The number of new apartments left for sale jumped in September by 3,814 apartments compared to September 2021, according to Seasonally adjusted data, for 48,099 apartments waiting for a buyer, a record since September 2020.

The growth rate of the economy has been decreasing continuously since the last quarter of 2021 where there was a growth of 10.5% compared to the third quarter of 2021, the rate decreased to 9.8% in the first quarter of the year , to 7.7% in the second quarter of the year and to 5.8% in the third quarter of the year.

The rising interest rate in Israel and in the world has a negative effect.

The unemployment rate rose in October this year to 4.3% after 3.9% in September, a record since November 2021.

In order to prevent a slide into a slowdown in the rate of growth, the new government should extend the income tax regulations regarding accelerated depreciation. During the Corona virus, factories were given the opportunity to perform accelerated depreciation at a rate double that stipulated in the income tax regulations - if it is a work vehicle that is not a truck, or machinery and other equipment.

The regulations expired on June 30 this year and were not extended due to changing governments.

The Ministries of Industry and Finance would do well to extend the regulations in order to bring about an increase in the purchase of new equipment that will enable economic activity to be optimized, this will be a compensation for the jump in the cost of capital that the factories will need to take out for the loans accompanying the purchase of the equipment.

The Israeli economy suffers from low productivity in everything related to industry and local activity, in contrast to the high productivity in the high-tech industry, the main activity of which is devoted abroad and where its arena of competition is.

That is why high-tech work productivity is essential and works well.

During a sharp increase in the price of capital, the ratio between capital and labor per unit of output may shift in favor of labor, due to the increase in the cost of capital.

Therefore, an injury to labor productivity in the economy may develop, especially now that we are almost in frictional unemployment.

Extending the regulations for accelerated depreciation will result in the prevention of rapid sliding and an increase in the share of labor compared to capital in current production in the cost of a product unit of this or that item.

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Traffic congestion on the roads.

In order to increase the low productivity of the Israeli worker, we must save us from traffic jams (Photo: Reuven Castro)

A country in a traffic jam

One of the reasons for the low productivity in Israel, in most industries, is the travel time, a daily commute to and from the workplace, or daily mileage in the vernacular.

In recent years, especially since the time of Israel Katz as Minister of Transportation, huge sums of tens of billions of shekels have been invested in transportation infrastructure: roads, expressways also through tunnels through mountains and hills, interchanges, access roads, service roads alongside the roads, railroads and other train lines Urban and interurban. And see it's a wonder, the time that the frustrated Israeli spends on travel is actually increasing. Even those who have a private car, spend endless hours sitting in their car, sometimes at low speed, to drive them out of their minds, when even the Wise is starting to disappoint in recent months.

How is it that in a high-tech country like Israel, one of the leaders in the world, there is no very sophisticated system with the best artificial intelligence to coordinate in real time between the road segments and the types of means of transportation that the passenger chose to make his trips?

There are a number of applications for public transportation, such as Mobit, but the government's investment in developing additional and powerful applications, no matter how much it costs, will be cheaper than a loss of tens of billions of shekels to the economy due to the lack of coordination required, mainly in terms of schedules, between the means of public transportation.

Precisely because there was success in the entry of women into the labor market (in October of this year, the participation rate was 59.6% compared to men's 66.6%), the investment in such applications is essential, the order of the day today.

The Israeli government must make use of Israeli high-tech capabilities for the benefit of the entire population.

In research and development, Israel is in first place in the world with an expenditure of 5.8% of the civilian expenditure on R&D, in second place in the world is South Korea with close to 4.8% and around 3.5% in Sweden, Belgium and the USA - and 2.8% in the OECD countries (on average ).

Israeli spending increased in 2021 by 8.2% to NIS 87.7 billion.

In 2020, half of the R&D funding in Israel originated abroad and about 40% from the business sector.

The government's share of civilian R&D was only 1.1% of all R&D, non-profits 0.8%, higher education institutions 7.1% and the rest financed by the business sector - 91%. The government financed, also through higher education institutions, 8.9% only of the total funding of civil research and development in Israel. Is it any wonder that there is not enough money to finance the improvement of civil transportation timing for the benefit of the workers in the economy, with such low funding from the government?

It is the responsibility of the government: to make the online accessible to the entire population and to find a solution for those who are not familiar with the virtual space (Photo: ShutterStock)

money in the bank

The broad government, meaning also the Bank of Israel, allows to reduce the number of public service bank branches and the number of Dar branches.

The government neglects an old and weak population with a low ability to resist the authorities.

The number of people aged 65 and over who use the Internet has risen to 74%, but still 26% of them do not use such an essential tool for managing their civil lives, correspondence with the authorities or the banks.

Among young people, 94% use the Internet.

Only 41% of the elderly use the Internet for banking operations, 28% for bill payments, 34% for receiving services from the government office, 48% looking for health information.

Government ministries - through dedicated budgets - must prevent confusion, derived from the Tower of Babel - prevent confusion in communication between people from different cultures and origins.

This will make it possible to increase productivity and also prevent work accidents.

There will be an immediate need to increase understanding and communication between the Jewish, Arab, Russian, and Ukrainian workers, as well as Amharic-speaking Ethiopian immigrants.

It will be necessary immediately to give Israelis, including managers, courses in spoken professional Arabic, to improve the Hebrew spoken by the Israeli Arabs, to teach the Arabs of Judea and Samaria basic plus professional Hebrew as well as to improve the Hebrew spoken by the Russians and Ukrainians as well as the Ethiopians.

Language courses can prevent misunderstandings, increase production and of course prevent work accidents.

Please note: only 38% of those aged 65 and over are proficient in the Hebrew language, the ability to speak only exists among about 60% and in reading only 58%, out of this group.

About 46% of Arabs aged 65 and over do not know how to read Hebrew at all, among women 65% aged 65 and over cannot read Hebrew.

Because of this, the new government must increase understanding between people in Israel, through courses and classrooms.

Increase normal literacy and digital literacy.

At the same time to increase if abilities in the field of computer and internet.

Those who do not master digital literacy, even if they can read and write, become and will become within a few years a kind of illiterate in modern terms.

The banks and companies including government arms will minimize the elders to an irrelevant point on the horizon.

Today's bon ton is building higher and higher, 30 floors and a little more than fifty boxes, this is a figure that creates confusion on his part.

As the number of casualties in work accidents in the construction industry increases, the number of work accidents in the industry is among the highest in the world.

According to a model of the work branch of the Occupational Safety and Health Administration together with the Central Bureau of Statistics, with an accuracy level of 80%, for every 100 buildings of up to 10 stories there are 3 casualties and for every 100 "tall" buildings there are and will be 50 casualties on average.

As mentioned , most of the casualties in the construction industry are from falls from a height - and the height will continue to rise. This means that in the coming years the number of fatalities in the construction industry will increase drastically, the least that can be done beyond increasing safety is to know the identity of the workers and their families in order to give them support and medicine during the disaster that struck them. The high interest rate that is Her husband does not bode well for their families. Excuse me honorable ministers, are you even interested in making essential changes or will you continue to turn a blind eye and blame each other, the government of its predecessor?

  • Of money


  • Minister of Housing

  • real estate

  • Foreign workers

Source: walla

All business articles on 2022-11-25

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