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Full Article Follow Reuters Facebook Twitter RSS YouTube Read Biggest rally in Israel's history presses PM 03 Sep 2011 Libyans hope to seize Gaddafi bastion | 11:54am EDT Green Day's Billie Joe Armstrong Kicked Off Flight for Saggy Pants 03 Sep 2011 CIA, MI6 helped Gaddafi on dissidents: rights group | 03 Sep 2011 A-listers not spared in pandemic film "Contagion" 03 Sep 2011 Discussed 182 Labor leaders must pay for parade if GOP banned, mayor says 121 White House to nominate Krueger as top economist 79 UPDATE 1-Obama warns Hurricane Irene flooding could worsen Watched Buenos Aires Fashion week sizzles Mon, Aug 22 2011 Lockheed Martin presents airship of the future Thu, Aug 18 2011 Experimental plane reaches 13,000 mph Fri, Aug 26 2011 Historic rally buoys Israeli social protest movement Tweet Share this Email Print Related News Turkey expels Israeli diplomats after U.N. report Sat, Sep 3 2011 U.N. panel faults both sides in Gaza flotilla clash Thu, Sep 1 2011 Egypt acts on border region as Israel tensions linger Mon, Aug 22 2011 Egypt, Israel try to defuse tension over killings Sun, Aug 21 2011 Egypt recalls envoy in Israel over deaths Sat, Aug 20 2011 Analysis & Opinion Workersâ€™ malaise foreshadows wider social issues 5 easy pieces of Social Security advice, information and trivia Related Topics World » Israel » 1 of 3. Israelis take part in a demonstration calling for lower living costs and social justice in Tel Aviv September 3, 2011. Credit: Reuters/Nir Elias By Jeffrey Heller JERUSALEM | Sun Sep 4, 2011 7:39am EDT JERUSALEM (Reuters) - Organisers of Israel's biggest rally for economic reform said on Sunday they will begin to fold their tents but social change will move on, driven by weeks of protests that brought hundreds of thousands to the streets. Prime Minister Benjamin Netanyahu, responding to the latest massive demonstrations by a disgruntled middle class in the country's business center, Tel Aviv, and other cities, stuck fast to his pledge to implement change but not at all costs. "People now know their strength, it is something addictive and it cannot be stopped," Yonatan Levy, one of the leader of Israel's new social movement, said on Israel Radio. Organisers said more than 450,000 people took part in Saturday's protests, maintaining pressure on Netanyahu's government to lower living costs and promote social equality. Police put the number of demonstrators at around 300,000. Rallies on that scale in Israel, with a population of 7.7 million, have been held over issues of war and peace. The grassroots protest movement has swollen since July from a cluster of student tent-squatters into a countrywide mobilization of Israel's middle class. Netanyahu's governing coalition faces no immediate threat, but the protests have underscored the potential electoral impact of hundreds of thousands of voters rallying under a banner of "social justice." Protest leaders said they will pause demonstrations in the coming weeks until a government-appointed reform committee submits its conclusions. They said a tent city in Jerusalem would be dismantled later on Sunday with others to follow. A large banner at Saturday's Tel Aviv rally -- held in a square surrounded by some of the city's most upscale shops -- called for the state budget to be breached to boost social welfare. In remarks to his cabinet the morning afterwards, Netanyahu gave no sign he would yield on his refusal to go beyond the budget framework. He said he had broken new ground by appointing the reform committee, which is due to submit recommendations in two weeks' time. "I intend to act swiftly in the wake of its findings and to maintain the proper balance between social sensitivity and fiscal responsibility," Netanyahu said. "This balance preserves the economy, the country, its citizens and social welfare in Israel," he added, saying he wanted to avoid the type of economic troubles currently afflicting a number of European countries. The right-wing Israeli leader, a champion of free market reforms, has cautioned he would not be able to satisfy all the protesters' demands, ranging from tax cuts, to expansion of free education and bigger government housing budgets. MAKING ITS MARK Though the turnout on Saturday was lower than the ambitious one million some had hoped for, commentators said the movement had made its mark on Israel by catapulting the economy onto a political agenda long dominated by security concerns and diplomacy. Some commentators predicted a gradual shift in the national debate to a more divisive question: whether state subsidies for large ultra-Orthodox Jewish families, religious institutions and settlements in the occupied West Bank should be redirected toward funding better services for the general public. Protest leaders, who have called for national unity, have largely steered clear of that issue. But Nahum Barnea, a popular political columnist, said anger over those politically-charged allocations helped fuel the demonstrations. "Young middle-class people saw what has been happening in Israeli society over the past several years, and they are sick of it," Barnea wrote in the Yedioth Ahronoth newspaper. "They saw ... the flow of money into parasitic sectors, the distorted priorities of preferring building in settlements to fixing what is wrong in society and the rapid enrichment of those close to the seat of power," he said. Although Israel enjoys a low 5.5 unemployment rate and a growing economy, business cartels and wage disparities have kept many from feeling the benefit. Many protesters come from the middle class that bears a heavy tax burden and sustains the conscript military. Since it began, the popular movement has upstaged a diplomatic face-off with the Palestinians for U.N. recognition of statehood and has posed the greatest challenge yet to Netanyahu's government, which includes religious and pro-settler parties. World Israel Tweet this Link this Share this Digg this Email Reprints We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (3) cautious123 wrote: This should be a lesson to all governments who are fixated on war and land grabbing. Just as the Israeli government has siphoned off funds from the public to fill the coffers of the parasitic settlers–who are grabbing land from Palestinians–so too, the US government is siphoning off tax dollars to wage wars all over the world, while Americans go jobless and homeless. Who are the traitors who are sabotaging the people in these countries? Who are the traitors who are taking our tax dollars and wasting them on wars that benefit NO ONE! Stop electing warmongers and get into the streets to protest these crimes against humanity! Sep 04, 2011 8:48am EDT -- Report as abuse Majick1 wrote: So now the Israeli middle class wants their cut of all the aid the US is sending them. When will enough be enough. We need to stop supporting Israeli terrorists and let nature take it’s course. Sep 04, 2011 10:01am EDT -- Report as abuse Rfairb wrote: If this is the Israeli middle class? Who exactly is the lower class? The Arab minority? Bums? Middle Class is a nefarious term used to tie the bulk of the population to the upper class, which has one nation below it, not two. Sep 04, 2011 10:08am EDT -- Report as abuse See All Comments » Add Your Comment Social Stream (What's this?) 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