The cooperation of the public sector is essential to the success of an economic plan to cut spending, said Treasury wage director Yuval Rachlevsky on Tuesday.
..."The only way of getting the economy out of the quagmire is by lowering public sector wages,"said Rachlevsky.
When I visited Israel a few months ago, I came away with a sense that country faces acute supply-side macroeconomic problems. I wrote that "My guess is that of all these issues, the most important to address is labor costs in the public sector and the unionized sector."
For Discussion. Are cuts in public sector wages likely to be achievable politically?