The Labor, Welfare and Health Committee of the Knesset voted, Thursday to delay the final one-percent increment of a pay hike for government employees under a collective bargaining agreement from next month to January 2015. The move is intended to reduce the public payroll by .93 percent, and workers not covered by the collective bargaining agreement will see their pay reduced by that percentage. Some office holders and other public servants will suffer a one-percent reduction. The proposal now moves to the Knesset for its second and third readings.
At the request of Committee Chairman Haim Katz, the legislation will not affect the calculation of an employee's pension or disability benefits, or payments to an employee's pension fund. Under an agreement with the Israel Medical Federation, a vacation payment to doctors will be cut 48 percent.
Career soldiers are exempt from the proposal. Their situation will be discussed in the coming weeks.