Prime Minister Ehud Olmert praised the recent wage pact between the state and the main union for elementary school teachers, as the school year got off to a generally smooth start Sunday.

Speaking during a visit to schools in Ramle and Lod, Olmert said the collective bargaining agreement represents "a new horizon for teachers and students. The fact that new teachers will no longer need to receive state income support allowances is a dramatic step forward."

Dampening the official high spirits, however, was a demonstration by members of the Association of Secondary School Teachers outside the National Labor Court in Jerusalem, protesting the court injunction that put them in the classrooms rather than on the picket line Sunday.