PM welcomes increased disability pensions agreement
Prime Minister Netanyahu welcomes agreement between gov't, Histadrut, disabled organizations, saying agreement will 'bring significant improvement to disabled in Israel'; Disabled Panthers, not part of negotiations, reject agreement, to continue blocking roads.
Prime Minister Benjamin Netanyahu welcomed on Saturday night an agreement reached early Friday between representatives from the government and Histadrut labor union federation and the leadership of the disabled protest.
"This is an historic agreement that would bring to a significant improvement in the condition of disabled people in Israel," Netanyahu said in a statement released after the end of the Yom Kippur holiday.
"There will be a significant increase (in benefits) beginning this coming January and reaching NIS 4.2 billion. I would like to thank Finance Minister Moshe Kahlon, Chairman of the National Economic Council Prof. Avi Simhon, Histadrut Chairman Avi Nissenkorn, Coalition Chairman David Bitan, MK Ilan Gilon and other MKs who helped the negotiations along," Netanyahu concluded.
However, the "Disabled Panthers" organization—not invited to participate in the negotiations—announced it does not accept the deal and will continue blocking central Israeli thoroughfares Sunday morning.
"We forewarned we will not be accepting the agreement unless we participate in negotiations. Despite asking to participate, our representatives were not invited to the table. We will continue the protest as well as blocking roads," said Eyal Cohen, the protest's leader.
According to the agreement, to be enacted into law, disabled persons with a 100 percent disability rate will receive an increased NIS 4,000 pensions in four increments, starting January 2018 and terminating in January 2021. The total cost of this raise is estimated to be around NIS 4.2 billion a year.
The agreement further stipulates that the disability pension will be linked to the state's average wage, and not to the consumer price index as is currently the case. In addition, the maximum amount one can be paid at work while still maintaining the full amount of the pension will also be increased from NIS 2,800 to NIS 4,000 in January 2018, and again to NIS 4,300 in January 2019.
It was agreed that the effect of raising this amount would be examined, and if found to be positive, the government would consider a further increase of up to NIS 5,300.
In addition, NIS 150 million will be allotted to increase disability benefits for children, an additional NIS 300 million will be allotted to the maintenance of old-age disability pensions, which would prevent the disabled from having to choose between maintaining the disability pension and waiving the old-age pension, or vice versa, and an additional NIS 75 million will be allotted to encourage employment of the disabled.
The increase in the disability pension will be carried out in four stages—from January 2018 to January 2021—in amounts estimated between NIS 700 and NIS 1,800 per month.
The most severely handicapped, who need close supervision, and those entitled to the special services allowance at the two highest rates of disability, will receive about NIS 4,500 a month.