Subscribe to Print Edition | Thu., September 25, 2008 Elul 25, 5768 | | Israel Time: 01:15 (EST+7) web haaretz.com   Back to Homepage Haaretz Toolbar Diplomacy Defense Jewish World Opinion National Print Edition Car Rental Books Haaretz Magazine Business Real Estate Easy Start Travel Week's End Anglo File

Foreign Minister Tzipi Livni (Left) and Shas chairman Eli Yishai. (Eli Tesma / BauBau) Shas: Livni to bend on allowances; Labor: New gov't within a month By Mazal Mualem, Haaretz Correspondent Tags: Israel, Tzipi Livni, Kadima  Kadima Party chairwoman Tzipi Livni is likely to compromise on Shas' demand for an increase in child allowances, thereby enabling the ultra-Orthodox party to join her government, Shas sources predicted Tuesday. "If it were clear that she were unwilling to give us a shekel, we wouldn't keep talking," one source explained following a meeting between Livni and Shas chairman Eli Yishai. "But there's something to talk about." At his meeting with Livni Tuesday, which took place with no aides present, Yishai focused on his demand for increased welfare budgets, and particularly something to compensate for the sharp cuts in child allowances over the last few years. Advertisement "As far as I'm concerned, you can call it a family grant or a cost-of-living increase," a Shas official quoted Yishai as saying. "I also have no problem being presented as the person who caved in and gave up on the child allowances; I'm willing to absorb that." But without some kind of state funding to replace the money that has been cut from the allowances, there is nothing to talk about, he stressed. One proposal raised by Yishai, who is also industry, trade and labor minister, was that a government grant be given to every young couple that buys an apartment - a significant boon for families with limited means. Though Shas has objected in the past to any negotiations with the Palestinians over Jerusalem, issues relating to the peace process did not arise during yesterday's meeting. On another issue, Yishai told Livni that Shas was not demanding any changes in the current allocation of ministerial portfolios. The two ended their meeting by agreeing to set up working groups to draft proposals, which would then be brought to Yishai and Livni for final approval. However, Yishai stressed that Shas would not join a Livni government at any price, and if its demands were not met, the party would have no qualms about calling early elections instead. "Shas is the only 'social' party that helps the weak, and if there are not changes in this area, we will not be able to join the government," he said. Livni also made progress on another front Tuesday: Labor Party chairman Ehud Barak, despite his earlier insistence that she establish a broad-based "emergency government," now seems willing to settle for the same narrow coalition that outgoing prime minister Ehud Olmert has. At a gathering in honor of next week's Rosh Hashanah holiday at Labor Party headquarters in Tel Aviv, every senior party official in attendance spoke of the need to join Livni's government, as long as one condition is met: The party must receive assurances that this will be a long-term government. Labor's greatest fear is that it will join a Livni government only for her to call snap elections a few months later. "If we succeed in reaching a true partnership, we will do so willingly," Barak told the gathering. "If not, we are not afraid to go to elections." Barak also reiterated Labor's demand that the new government ensure the independence of the Supreme Court. Livni has said in the past that she does not want to alter the coalition agreements that Labor and Shas signed with Olmert in the spring of 2006. But senior Labor officials said it was unreasonable for agreements signed more than two years ago to be carried over unaltered, as if nothing had happened in the interim. An associate of Livni's responded: "The government will not fall over the addition of this or that clause to the agreement, or certain changes. But the coalition agreements will not be rewritten from scratch." Related articles: Labor lays out demands for joining Livni coalition Livni's early parliamentary activity may come to haunt her Netanyahu rejects Livni's call for unity government Bookmark to del.icio.us   Beatle in Bethlehem Paul McCartney says West Bank visit shows he is carrying message of peace. Biden on the attack Democratic VP candidate says McCain presidency would benefit Iran, Hezbollah.   1.   The haredim: Israel`s achilles heal 04:44  |  Nathaniel 24/09/08   2.   Shas sells out to the leftist defeatist Livni for money 05:07  |  HENRY MANN 24/09/08   3.   YES,LIVNI`S GOING TO BEND FOR YOU SHAS AND BARAK AND SHE`S ALSO 05:14  |  glenna 24/09/08   4.   this is not negotiating 07:08  |  daniel 24/09/08   5.   are we surprised? 07:12  |  Rabbi Ashkenazi 24/09/08   6.   livni turns out to be just another self seeking politician 07:19  |  victor hardman 24/09/08   7.   Good job Shas 08:22  |  Menachem 24/09/08   8.   Ms.T. Livni. Difficult times, 09:48  |  Stephen. 24/09/08

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