Jeremy's Knesset Insider

Last Tuesday’s session lasted about two hours. One bill was discussed and advanced after passing in its first reading. The bill prohibits local authority general managers from being elected to serve as mayor or on the city council within 30 months of their service. Speaker Rivlin broke from the government position and opposed the bill on the grounds that the bill was directed at a certain individual.

Non-Bill Summary

• 17 MKs and Minister Begin (Likud) took part in the one minute speech segment and spoke on a wide variety of topics.
• Six MKs asked queries to Agriculture Minister Noked (Independence)
• House Committee Chairman Levin (Likud) announced that MK Whbee (Kadima) will replace MK Gal-On (Meretz) in the Funds Committee and that MK Gal-On will become a permanent substitute in the same committee. He also announced which disputed bills will be discussed in which Knesset committees.

Bill Summary

Amendment to the Local Authorities Elections Bill                

MK Miller (Y.B.) explained his amendment would prohibit a local authority general manager (director general) from being elected to serve as mayor or on the city council within 30 months of his resignation or termination from service. He explained that the position is too powerful to allow someone to jump from managing the city to making the decisions on the city without taking some time off.

Speaker Rivlin charged that this bill was tailor made to prevent a certain person from running for mayor. Miller denied the charge that this was a personal bill directed at a certain person. Speaker Rivlin announced he wasn’t convinced and that he would break from the government and oppose the bill.

The bill passed its first reading 11-2 and was sent to the Interior Committee.

Last Monday’s session lasted about three hours. Two bills were discussed, and both were advanced after passing their first readings. Prime Minister Netanyahu was in Italy, so the opposition did not propose any no-confidence motions, which resulted in a low attendance for the short session. The two bills advanced place limitations on subsidiaries of manpower contractors and regulate the supervision and discipline of corporate managers who deal with portfolios and funds.

Non-Bills Summary

• Five motions were discussed. Four of the motions were sent for further discussion in the various committees by votes of 10-1, 7-2, 7-1 and 6-0. One of the motions was not voted on.

Bills Summary

Amendment to the Manpower Contractors Employment Bill

MK Yacimovich (Labor) called the employees of manpower companies the weakest link in terms of workers’ rights and salaries. She stated that the subsidiaries that the manpower contractors use to recruit these workers are even worse. She explained that her amendment would place a prohibition of communication on these subsidiaries and those violating the law will be sentenced to six months in prison. She explained that both companies currently take a portion of the employee’s salary so that he currently receives NIS 20.92 for an hour’s work, less than minimum wage, without a minimum of monthly hours.

MK Ezra (Kadima) agreed the problem is with the secondary companies piggybacking on the mother manpower contractors and praised the bill. He hoped that the bill will start the process of eliminating these secondary companies.

MK Ben Ari (N.U.) revealed that over a million workers are employed by manpower contractors and that he is worried that in a majority of these companies the employees are not receiving their rights, such as seniority and pension. He blasted universities for playing the same game with temporary professors and firing and rehiring other professors every eight months. He reported that other big companies such as large banks play the same game as manpower contractors. He suggested placing a cap on the number of employees the contractors are allowed to hire. He concluded that he trusts the manpower contractors will find a new loophole after we plug this one.

MK Zeev (Shas) said that most companies have no idea the games the manpower contractors play and those companies should not be held responsible for the contractors’ faults.

The bill passed its first reading 4-0 and was sent to the Labor Committee.

Amendment to the Corporate Fund Managers and Portfolio Managers Governance Bill

MK Amnon Cohen (Shas) explained that the amendment would regulate the supervision and discipline of corporate government managers that deal with portfolios and funds. He explained there are seven main changes in the bill and some of them will affect private corporate company managers that have indirect connections to government companies or are listed on the various stock exchanges. He stated the point of the bill is to bring government transparency and to protect the investors in the stock exchange.

MK Ben Ari said he is more familiar with Chinese than the implications of this bill. He went on to oppose daylight savings time. He said that he received hundreds of text messages supporting his view including some very important people after his speech last week on the subject. He stressed that he is supporting the will of almost half of Israel who oppose extending the summer clock.

MK Zeev defended Interior Minister Yishai (Shas), who extended the summer clock for a mere two weeks and not the six weeks that the leftists asked for. He went on to praise the bill that will give investors a reason to invest in Israeli companies. He slammed companies that are about to collapse and are lying to everyone about their financial stability and said this bill will put an end to them and those who invest in them.

The bill passed its first reading 5-0 and was sent to the Funds Committee.

The June 6 session lasted about five hours. It was the only work day of the week for the Knesset because of the Jewish holiday of Shavuot, which was celebrated from Tuesday to Wednesday night. I bet most of you wish you could have a five-hour work week like the one the MKs enjoyed that week. Eleven bills were discussed, and four of those bills became law after passing their third readings. Three bills were advanced after passing their first readings, and four bills were advanced after passing their preliminary readings. The highlight of the new laws was the raising of the minimum wage in two stages, the first of which will take place on July 1^st. The highlight bill that was advanced was the extension of daylight savings time to 193 days per year.

Non-Bills Summary

• Kadima’s no-confidence motion titled ‘The Prime Minister of Israel increases the gap, hurting the middle class sections of the population’ was defeated 35-45 with 40 MKs not present for the vote.
• Labor and Meretz’s joint no-confidence motion titled ‘The government’s failure to reduce the gaps between rich and poor’ was defeated 35-45 with 40 MKs not present for the vote.
• Hadash, Balad and Ra’am-Ta’al’s joint no-confidence motion titled ‘The basic commodities prices is yet another government failure in the social, economic and political sectors’ was defeated 28-42 with one MK abstaining and 49 MKs not present for the vote.
• Speaker Rivlin gave a warm welcome to the U.S. Congressional delegation who were visiting the Knesset and watching the no-confidence motions.
• House Committee Chairman Levin (Likud) reported on which disputed bills would go to which committees and subcommittees. The Knesset approved the report with a 24-0 vote.
• A motion on the words of former Mossad chief Meir Dagan and the reactions to his words was discussed by three MKs and summarized by Minister Begin (Likud). The motion ended with a 3-3 vote. The tie went to the government position of defeating the motion.

Bills Summary

Temporary Order Amendment to the Minimum Wage Bill

Labor, Welfare and Health Committee Chairman Katz (Likud) explained that the amendment would raise the minimum wage. He reported that this July 1 the minimum wage would increase from NIS 3,890.18 per month to NIS 4,100, and on October 1, 2012, it will increase again to NIS 4,300.

MK Gilon (Meretz) noted that New Zealand was the first country to pass a minimum wage bill and was also the first country to give women the right to vote. He argued that it is more important to pass a bill that raises the minimum wage based on a percentage of the average wage and not a flat sum. He stated that NIS 4,300 is nothing when you have to pay NIS 3,000 for rent. He called for a return to socialism.

MK Barakeh (Hadash) said the bill is too little too late. He also spoke in support of percentages and not flat sums. He stated it is the government’s responsibility to protect the poor’s interest and this government hasn’t done that and aren’t doing it with this bill. He reported that 32.8% of government workers receive minimum wage, compared to 29.1% a few years ago. He warned the government to listen to the poor’s suffering or they will be replaced.

MK Swaid (Hadash) stated that the average price of an apartment is NIS 1.25 million and minimum wage workers make about NIS 50,000 annually, meaning that it takes 25 years to pay for a house if you make minimum wage. He explained that his objection would increase the annual minimum wage to NIS 60,000 annually so it would only take 20 years to pay for a house. He asked what is the point of joining the OECD if Israel doesn’t help its citizens. He blasted the capitalistic policies of the Netanyahu government that he said come at the expense of the poor.

MK Khenin (Hadash) stated that minimum wage is all about social justice, workers rights, workers equality and assisting minorities and the weak. He attacked those who opposed raising minimum wage and prolonging the poverty of the poor.

MK Agbaria (Hadash) said the government is adjusting the minimum wage and not raising it. He said the poor people are fighting for their survival and need more money. He slammed the government for raising prices of real estate, gas and basic food products. He charged there are more rich people and more poor people and the middle class is the one suffering. He warned that 20 families control most of the country’s money and that it is a dangerous thing. He noted that the government finds money for defense and infrastructure but not for raising the minimum wage.

Labor, Welfare and Health Committee Chairman Katz agreed with those who gave their objections. He said that he sympathizes with Gilon and the four members of the Hadash party, but suggested they vote in favor of the bill anyway and at least raise the minimum wage a little bit. Gilon agreed to remove his objection, but Hadash didn’t.

Hadash’s objections were defeated 14-32, 15-34, 15-34, 14-35 and 14-35.

The bill’s paragraphs passed their second readings 53-0, 53-0 and 52-0.

The bill passed its third reading 54-0.

Three Amendments to the Daylight Savings Time End Date Bill

MK Horowitz (Meretz) explained that daylight savings time is a great thing for the economy and it should last as long as possible. He announced his bill would extend daylight savings time.

MK Shamalov Berkovich (Kadima) spoke in the name of MK Tirosh (Kadima) and thanked the Knesset for adding her similar bill to the other bills. She explained that Tirosh’s son is getting married today so she couldn’t attend.

MK Itzik (Kadima) thanked MK Orlev (J.H.) for helping her to receive government support for this bill and the two similar bills that were presented before her.

Interior Minister Yishai (Shas) said he is open-minded and flexible when it comes to extending daylight savings time. He spoke about the committee he appointed, which came to the conclusion that the summer clock should be extended and mentioned that not everybody agreed with the conclusion. He quoted a Mina Tzemach poll that showed that 46% of Israelis want to keep the summer clock the way it is or shorten it. He confessed that he actually prefers a longer summer clock. He expressed government support for the three bills and said that daylight savings time will be 193 days each year.

MK Ben Ari (N.U.) objected to the bill. He stated that the summer has more hours of daylight than the winter. He said that daylight savings time hurts the children because you can’t wake them up when it is still dark. He said that it causes problems between parents and children and is not a natural thing. He stressed it is important to sleep during the night and be awake during the day, something that daylight savings time ruins.

MK Orlev (J.H.) responded that an extra hour to spend time in the evening with the kids is more important than the hour of sleep they lose in the morning. He called on everyone to support the bill.

The first bill passed its preliminary reading 20-1 and was sent to the Interior Committee.

The second bill passed its preliminary reading 21-0 and was sent to the Interior Committee.

The third bill passed its preliminary reading 21-0 and was sent to the Interior Committee.

Amendment to the Prisoner Rehabilitation Authority Bill

Interior and Environment Committee Chairman Cohen (Shas) explained the bill would list the acceptable disciplinary actions that the authority can use on its own employees.

The bill passed its second reading 9-0.

The bill passed its third reading 9-0.

Amendment to the Preventing the Hiring of Sex Offenders in Certain Institutions Bill

Women’s Rights Committee Chairwoman Hotovely (Likud) explained the bill that she sponsored will expand the types and number of institutions that are prevented from hiring sex offenders. She listed that among the new places are mental institutions, handicap facilities and any place where minors study or work. She added that the bill will also add the possession of pedophilic photographs and other media under the serious sex offenses that prevent those criminals from working in the various institutions under the bill. She concluded that the bill will take effect in six months to give time for the new institutions included in the bill to dismiss those who will no longer be allowed.

The bill passed its second reading 9-0.

The bill passed its third reading 9-0.

Amendment to the Value Added Tax Bill

Funds Committee Chairman Gafni (U.T.J.) explained that the bill will allow small and medium businesses (under annual turnover of NIS 15 million) to delay paying VAT to the State until they receive their VAT money from the consumer. He explained this will put an end to the situation where the small businesses pay the government VAT payments on a transaction before the business receives that payment.

The bill passed its second reading 12-0.

The bill passed its third reading 11-0.

MK Miller (Y.B.) thanked the Knesset for supporting the bill and for helping save thousands of small businesses.

Amendment to the Income Tax Ordinance Bill

Deputy Finance Minister Cohen (Shas) explained that the bill would allow a temporary extension for the tax year of 2010 of the exemption from the national financial reporting standards.

The bill passed its first reading 11-0 and was sent to the Funds Committee.

Two Amendments to the Bezeq and Broadcasts Communications Bill                         

Communications Minister Kahlon (Likud) explained that the amendment would limit the consumer’s payment to the communication companies during the cancellation of an agreement and in most cases eliminates the cancellation payment outright. He noted that a previous bill did the same for cell phone companies and now it will be expanded to all communication companies. He added that the bill prohibits charging a cancellation fee for equipment from the television, internet or cell phone companies.

MK Shamalov Berkovich (Kadima) praised Minister Kahlon as the most productive minister in the current government.  She said she subscribes to the slogan ‘the customer is always right’. She told the public not to lose faith in the political system because things do get done. She concluded by calling today a holiday celebration for the public.

MK Akunis (Likud) explained that his similar amendment will add the prohibition of cancellation fees to satellite and cable television companies.

Communications Minister Kahlon expressed government support for the second bill as well.

The first bill passed its preliminary reading 12-0 and was sent to the House Committee to determine which committee will discuss the bill further.

The second bill passed its first reading 12-0 and was sent to the House Committee to determine which committee will discuss the bill further.

Amendment to the Equal Opportunities Bill

Child’s Rights Committee Chairman Orlev explained that the amendment will give both parents the rights that are currently given to only one parent under the bill.

The bill passed its first reading 6-0 and was sent to the Women’s Rights Committee.