Ultra-Orthodox Funding Threatens Israel's Economy, PM Prefers Silence
תומצת מתוך TheMarker על ידי baba
Ahead of elections, Prime Minister Benjamin Netanyahu has raised concerns about international sanctions but avoids discussing the economic strain of funding the ultra-Orthodox community. This sector's autonomy, including incentives for not working, costs taxpayers 37 billion shekels annually and is projected to rise significantly. Despite state investments, ultra-Orthodox men's employment rates are declining, raising questions about the economic viability of continuing such extensive subsidies.
הידיעה ב-6 שורות · תקציר של baba
- Ultra-Orthodox community's autonomy costs Israeli taxpayers 37 billion shekels annually.
- Funding for the ultra-Orthodox sector is projected to reach 65 billion shekels by 2050.
- Prime Minister Netanyahu is reportedly avoiding discussion of ultra-Orthodox funding during elections.
- Ultra-Orthodox men's employment rates are stagnating or declining despite state investment.
- Concerns exist about financial irregularities within the ultra-Orthodox education system.
- The economic sustainability of supporting a large non-working population is questioned.
As Israelis head to the polls, the ruling coalition has outlined its agenda, which includes continuing the war, advancing judicial overhaul, and maintaining financial support for the ultra-Orthodox community. Prime Minister Benjamin Netanyahu has also recently highlighted the threat of international economic sanctions, comparing it to the Iranian threat.
However, the article argues that a third, often overlooked threat is the ongoing financial burden of supporting the ultra-Orthodox sector's autonomy, including education and incentives for not working or serving in the military. This funding, already costing Israeli taxpayers 37 billion shekels annually, is projected to increase by 75% to 65 billion shekels per year by 2050 if structural changes are not made, according to a study by the Israel Democracy Institute.
Netanyahu, who previously warned about the Israeli economy's capacity to sustain this burden, is reportedly disinclined to discuss the issue during the election campaign, as it does not serve his political interests. The article points out that the ultra-Orthodox leadership encourages prioritizing religious studies over employment, and many recipients of welfare benefits could work but choose not to, supported by political influence that secures continued state funding for a lifestyle of poverty.
Further complicating the issue are concerns about irregularities in the ultra-Orthodox education system, with reports of inflated student numbers to secure double funding. Despite significant state investment in integrating ultra-Orthodox men into the workforce, employment rates have stagnated or declined, with some officials suggesting funds have been diverted to sectoral benefits rather than job creation.
The piece concludes that the sustainability of the Israeli economy is at stake, as a significant and growing portion of the population relies on state funding without contributing to the workforce. This is presented not just as an issue of fairness and equal burden-sharing, but as a fundamental economic challenge that the country can no longer afford to ignore.
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