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"If the government continues to ignore it, we will shut down the entire construction industry" - Voila! Real estate

2022-07-31T11:10:32.760Z


The contractors who build the infrastructures and public buildings call in protest to the government: urgent assistance is required, we are on the verge of collapse; Chairman of the Construction Workers Union: "It is not possible for the state to ignore the requirements"


"If the government continues to ignore it, we will shut down the entire construction industry"

The contractors who build the infrastructures and public buildings call in protest to the government: urgent assistance is required, we are on the verge of collapse;

Chairman of the Construction Workers Union: "It is not possible for the state to ignore the requirements"

David Rosenthal

31/07/2022

Sunday, July 31, 2022, 1:56 p.m

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The contractors' demonstration this morning (photo: Assi Efrati)

This morning (Sunday) the Association of Contractors Boni Ha'aretz held a protest demonstration in front of the government building at the Azrieli junction in Tel Aviv.

This is a protest by the body representing the contractors in Israel over the explosion of the negotiations with the government in which the contractors presented a demand from the government to compensate the contractors who build infrastructures and public buildings, for a jump in the costs of construction inputs following the corona virus and the war in Ukraine.



According to BDI data, only in 2021 over 600 contractors collapsed.

In the estimation of the association - many of these contractors were cut off from the industry following the refusal of the state and the municipalities to compensate them for the increase in the cost of construction inputs.

The crisis in the infrastructure sector affects all areas of life of every citizen in the State of Israel.

Infrastructure affects the traffic jams on the way to work, the queues at the hospitals, the number of schools and classrooms, the lack of community centers, train stations, broken sidewalks and internet and electricity infrastructures that are not progressing. Of course, the crisis also affects the housing industry, since it is impossible to complete the construction of apartments and delivery of them to the buyers as long as the infrastructure development in the area has not been completed in accordance with the standards.



The Association of Contractors Boni Ha'aretz appealed to the leading government officials in an attempt to prevent the collapse of the industry, and sent letters to Prime Minister Yair Lapid, Finance Minister Avigdor Lieberman, Accountant General Yahli Gerdos, Education Minister Yifat Shasha Biton, State Comptroller Matanyahu Engelman and Finance Ministry Director General Ram Belnikov. However, the issue was not addressed at all and meanwhile the industry is close to collapse due to the dramatic increases in the prices of construction inputs and the government's unwillingness to compensate for this.

"The Bank of Israel recommended that we should invest more in infrastructure" (Photo: Assi Efrati)

Raul Sargo, President of the Builders of the Ha'aretz Association of Contractors: "We are here at the threshold of the collapse of the government of this government and its predecessors. This is where the deep crisis in which the construction contractors in Israel are facing unfolded - and at the beginning of it will be the severe effects it will create in the Israeli economy. Government representatives are sitting here in the air-conditioned offices we built and are ignoring us The Israeli government must see the contractor as a partner and not an enemy. We are here together and we are here strong and we are here to make it clear to the Israeli government - the situation is serious and hurts the contractors and the workers. For the sake of the industry and Israel's captivity - we demand from the government - get under the stretcher."



The Chairman of the Histadrut Workers' Union of the Building and Related Industries, Yitzhak Moyal told the protesters: "Histadrut Chairman Arnon Bar David and I support this just struggle, we are with you. It is not possible for the state to ignore your just demands, it is not possible for this crisis to continue without the government helping. If there is no change in the government's attitude, this struggle will intensify and we will shut down the entire industry, today it is with the infrastructure contractors - tomorrow also in other places."



Tzvika David, Vice President and Chair of the Infrastructure Division of the Association of Builders of the Haaretz Contractors: "In Israel there is no government body that centralizes the development needs of the infrastructure and public construction sector, and can ensure coordination and cooperation between all the relevant authorities.

The next step that needs to be immediate is the establishment of a central and professional body of the government that will lead the work in the field of public construction and infrastructure and implement the solutions that we all long for: a uniform contract, proper risk distribution, a correct credit policy and reasonable threshold conditions in all projects that rely on public money.

This will expand the competition, save everyone money and boost the scope and level of Israel's infrastructure.

Stop waiting - do it now."



Nir Yanushevsky, vice president and chairman of the contract construction division of the Association of Contractors Building the Land: "We need to invest more in infrastructure.

The Bank of Israel recommended it, the legislator calls for it, the government makes decisions and everyone feels the need every hour in traffic.

But no one discusses how to do this.

After all, if Israel needs to be doubled within 20 years, then the infrastructure needs to be more than doubled.

It is also necessary to improve the ability to budget and determine the schedule of the work orderers. If the state does not deepen the treatment, the implementation arm will simply die and the state will be left with limited execution capacity, plans on paper and stuck in traffic jams."

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Source: walla

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