The dramatic steps Israel has taken in the past two weeks to stop the spread of coronavirus are getting results. Limiting entry to Israel, a reduction of economic activity, and health regulations are all designed to prevent what happened in Italy from unfolding here. But they have brought a socio-economic storm upon us. A continued shut-down of the economy will result in at least tens of thousands of unemployed, thousands of small businesses going belly-up, and a critical blow to the income of the self-employed, as well as making things even more challenging for those who already live in poverty.
In everything having to do with economic readiness, we lag behind other western countries. In the capitalist United States, President Trump promised an immediate $50 billion to be invested in testing kits, paid sick leave, and medicine, food, and financial assistance for those who qualify. In Canada, Prime Minister Justin Trudeau announced explicitly that no one would have to worry about how they would pay the rent, buy groceries, or caring for their children during the coronavirus crisis. The government would help.
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We can't miss the boat. The government's focus on the health crisis is important, but it's not the only thing that matters. If it results in economic devastation or pushes hundreds of thousands more Israelis below the poverty line, in addition to the some 2 million who are already there, it would be a terrible outcome and one that could even pose long-term health risks because poverty, as we know, causes illness, stress, and overall poor health, all of which reduce life expectancy.
The coronavirus outbreak erupted in Israel when the country was experiencing the worst political crisis in its history. This created a situation in which at the end of the first quarter of 2020, we have no state budget. In the most optimistic scenario, we will have a budget by around September. In this situation, the law transfers responsibility to functionaries in the Treasury, and every allocation of funds requires approval from a special committee headed by the Accountant General.
The most important thing the Knesset and the transition government must do is approve an emergency "social" budget that would both help the government fight the epidemic and provide financial support to anyone hurt by the crisis. A budget of this kind must widen the safety net for people laid off or put on unpaid leave. Many of us could find ourselves in that situation, with zero claim to unemployment benefits. Moreover, thanks to cuts over the past few decades, regular unemployment is paltry and is only given for a short time. An emergency budget has to provide all workers who paid the price of the containment measures with a decent living and freeze cut-offs of water and electricity to customers who can't pay the bills, as well as evictions. It must expand the food stipends for needy families. In the past few months, we have led the fight to rescue the National Food Security Program and thereby save 10,800 families. It's not enough. Hundreds of thousands of children are at home and not sufficiently provided for.
An emergency budget must also shore up small businesses and the self-employed and make them eligible for unemployment benefits, in addition to loans, to save their livelihoods. We aren't just talking about direct assistance for hundreds of thousands of us. We are talking about having a real chance of economic recovery. Anyone who is thrust into poverty cannot be part of the circle of consumption, and certainly cannot be part of the sector that fills the state's coffers through income and other taxes. In a time of crisis, we need economic as well as public health leadership, and time is of the essence. Our fractured and fractious leadership needs to understand how serious this is. Otherwise, many of us will become marginalized.
Avi Dabush is the executive director of Rabbis for Human Rights and an environmental, social, and political activist.
