Palestinians Lose Jobs as Israeli Firms Seek Foreign Replacements

Israel has sent back thousands of Palestinians to the besieged Gaza Strip - Reuters Photo
Israel has sent back thousands of Palestinians to the besieged Gaza Strip - Reuters Photo
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Palestinians Lose Jobs as Israeli Firms Seek Foreign Replacements

Israel has sent back thousands of Palestinians to the besieged Gaza Strip - Reuters Photo
Israel has sent back thousands of Palestinians to the besieged Gaza Strip - Reuters Photo

When Taha Amin-Ismail Khalifeh dialled into a conference call with his Israeli employer last month, the Palestinian hotel worker expected a briefing on how the Israel-Hamas war was affecting business. Instead, he and 40 others were laid off.

Khalifeh, who lives in the Israeli-occupied West Bank, had worked as a housekeeper in the hotel in East Jerusalem for more than 20 years.

About 160,000 Palestinians from the West Bank who were working in Israel and in Jewish settlements have lost or are at risk of losing their jobs because of the closure of border crossings from the West Bank into Israel and settlements, and restrictions on their access to Israel's job market, according to the UN's International Labour Organization (ILO).

Israel has also sent back thousands of Palestinians to the besieged Gaza Strip, Reuters report said.

It had previously issued 18,000 permits allowing Gazans to cross into Israel and the West Bank to take jobs in sectors like agriculture or construction that had salaries up to 10 times what a worker could earn in the blockaded enclave.

Many of the Palestinians worked as day laborers in Israel, or in Jewish settlements in the West Bank, and have been unable to travel to their jobs due to the closure of border crossings since Hamas's Oct. 7 assault on southern Israel.

Like many of them, Khalifeh had mixed feelings about working for an Israeli business, but it was his best option for a reliable pay cheque. Unemployment is running at about 46% in Gaza and 13% in the West Bank, and wages are much lower.

"There is nothing that would provide us with a living except working in Israel," Khalifeh told the Thomson Reuters Foundation by phone. "We have no other choice."

Now jobless for more than a month, he fears he may never be able to return as Israeli businesses urge the government to plug the labor gap left by the Palestinian workers from nations including India and Sri Lanka.

Israeli farms, buildings sites and hotels are among the sectors struggling with a shortage of workers since the war erupted, and some foreign migrant laborers have left, fearing for their safety.

The Israel Builders Association (ACB) has asked the government to seek to recruit at least 60,000 foreign laborers to fill the gap left by the Palestinians, Shay Pauzner, the ACB's deputy director-general, said in emailed comments.

Sri Lanka, desperate for dollars and remittances, plans to send 10,000 workers for the Israeli construction industry, part of a wider contingent of 20,000 workers also including farm laborers, a government minister told Reuters last month.

Israel's Foreign Ministry, the Population and Immigration Authority and COGAT, the government agency that oversees entry permits, did not respond to requests for comment.

- FRAGILE ECONOMY

Efforts to bring in replacements from overseas have raised fears that Palestinian workers' long-term employment prospects could be jeopardized, regardless of what happens in the current conflict.

"This is dangerous issue," Saeed Omran, head of media at the Palestine General Federation of Trade Unions, said by phone, though he added that it would take time for tens of thousands of foreigners to be hired.

"How are they going to get them so fast?" he said.

The long-term loss of Israeli jobs would deal another blow to the fragile Palestinian economy, which is dependent on foreign aid and vulnerable to Israeli travel restrictions in the West Bank.

According to the ILO, the Palestinian job losses since the start of the war equate to a daily income loss of $16 million. That raises concerns about how Palestinians will live and work in the months and years to come, especially in Gaza, said Miriam Marmur, the public advocacy director at Gisha, an Israeli nonprofit which campaigns for freedom of movement of Palestinians.

"It's hard to imagine that workers from Gaza will be given access to jobs. What's going to be the humanitarian and economic reality in the Strip? What's the situation of the Palestinian economy going to be coming out of this?" Marmur said.

For low-paid workers, the loss of income is already causing financial pain.

Construction worker Muthana Jamal Hassan, 33, who lives in the West Bank city of Jenin, had just finished a painting job in Tel Aviv when the war broke out.

He earned $140 a week and was his family's main breadwinner, but has had no income since the war began, and said he will soon be forced to get into debt to cover his family's basic needs.

Because of the border closures, he said he can not safely cross the border and fears being shot at or detained by Israeli security forces if he tries to do so.

"We used to work to eat and drink, not to buy villas and cars," he said by phone from his home. "We were living in a certain way and now it was taken away from us overnight."

- FOREIGN WORKERS

Israeli efforts to recruit foreign workers to replace Palestinians have drawn criticism from trade unionists in India, with the Construction Workers Federation of India calling the push "immoral", pointing to the death toll in Israel's bombardment and ground invasion of Hamas-ruled Gaza.

Palestinian health authorities deemed reliable by the United Nations say more than 15,000 Gazans have been confirmed killed.

Referring to the ACB's request for foreign laborers to be hired, a spokesperson for Israeli migrant rights labor group Kav LaOved said the mass recruitment of foreign workers at short notice during wartime might threaten their rights.

"They want to bring in so many people without being prepared," said spokesperson Assia Ladizhinskaya.

"We need Israel to enforce (workers') rights to check if they're being recruited normally, if the employer can communicate with them with translators, and do checks in the fields and the construction sites to see if the workers are being treated well," Ladizhinskaya added.

The group has been helping dozens of workers recover unpaid wages by contacting their employers, and has urged the Israeli government to let laid-off Palestinians withdraw funds from their pensions to help them cope with the earnings loss.

Construction worker Ahmad Mohammad Abu Sbay used to be paid 3,800 shekels ($1,023) per month, which he said was just enough to cover the family's needs, but he has not worked since the war began.

"I don't know how I'm going to feed my family," the 37-year-old father-of-four said by phone from his home in the West Bank city of Bethlehem.

"I feel the mental pressure every minute and every hour."



In Final Moments Before Truce, Israeli Strike Kills Lebanese Man’s Family

 A woman reacts as emergency personnel search for survivors at the site of an Israeli strike carried out just before a 10-day ceasefire between Lebanon and Israel, in Tyre, Lebanon, April 17, 2026. (Reuters)
A woman reacts as emergency personnel search for survivors at the site of an Israeli strike carried out just before a 10-day ceasefire between Lebanon and Israel, in Tyre, Lebanon, April 17, 2026. (Reuters)
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In Final Moments Before Truce, Israeli Strike Kills Lebanese Man’s Family

 A woman reacts as emergency personnel search for survivors at the site of an Israeli strike carried out just before a 10-day ceasefire between Lebanon and Israel, in Tyre, Lebanon, April 17, 2026. (Reuters)
A woman reacts as emergency personnel search for survivors at the site of an Israeli strike carried out just before a 10-day ceasefire between Lebanon and Israel, in Tyre, Lebanon, April 17, 2026. (Reuters)

Hassan Abu Khalil's family miraculously survived six weeks of war in southern Lebanon, but tragedy struck in the final minutes before a ceasefire came into force. An Israeli strike late on Thursday killed 13 of his relatives, leaving him the sole survivor.

Abu Khalil, 36, stepped out to see friends just before midnight, when a US-brokered truce between Lebanon and Israel was meant to halt fighting that had raged since March 2 between Israel and armed group Hezbollah.

“I heard a very powerful strike, and when I came ‌back to the neighborhood, ‌I found this had happened," Abu Khalil told Reuters on ‌Friday ⁠as he watched ⁠a bulldozer dig through the mountains of pulverized concrete that was once his home in the southern Lebanese port city of Tyre.

"In this building, more than 13 members of my family are missing under the rubble. What then, Israel? Just before the ceasefire, it was one massacre after another against us," he said.

Later on Friday, Lebanon's state news agency said rescue teams had recovered 13 bodies and pulled 35 wounded survivors from the ruins ⁠of the building that was hit the previous evening. It ‌reported that 15 other people were unaccounted for.

The ‌Israeli military did not immediately respond to a request for comment on the strike.

Lebanon's health ministry ‌says 2,294 people have been killed between March 2 and Thursday, when the ‌ceasefire came into force. The toll includes 177 children and 274 women.

'MY FUTURE IS GONE'

On Friday, thousands of Lebanese streamed through Tyre on the way to their southern villages. They crossed over a dirt berm that Lebanese soldiers had erected over the ruins of a main bridge ‌destroyed by Israel earlier on Thursday. Many were relieved to return to their southern villages, even if they were destroyed.

But ⁠Abu Khalil spent ⁠the first day of the ceasefire in a haze of despair, unable to eat or sleep.

He stood wringing his hands next to a bulldozer working through the ruins, his eyes locked on the gaping hole that rescuers were searching.

"Since the strike, I've been here and haven't gone anywhere. Every time they pull someone out, we run over to see what happened, who it is - my friend I grew up with, my friend's mother, my friend's father," Abu Khalil said.

He said he had been living in the United Kingdom but returned to Lebanon to be with his extended family.

"Who is left? No one is left. I wish I had never gone out for that coffee and had stayed with them," he said.

“My future is gone here. This was my life, this was my family - what now? What more is there after this?"


Can Iran Legally Impose Tolls on the Strait of Hormuz?

FILE PHOTO: Cargo ships in the Gulf, near the Strait of Hormuz, as seen from northern Ras al-Khaimah, near the border with Oman’s Musandam governance, amid the US-Israeli conflict with Iran, in United Arab Emirates, March 11, 2026. REUTERS/Stringer/File Photo
FILE PHOTO: Cargo ships in the Gulf, near the Strait of Hormuz, as seen from northern Ras al-Khaimah, near the border with Oman’s Musandam governance, amid the US-Israeli conflict with Iran, in United Arab Emirates, March 11, 2026. REUTERS/Stringer/File Photo
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Can Iran Legally Impose Tolls on the Strait of Hormuz?

FILE PHOTO: Cargo ships in the Gulf, near the Strait of Hormuz, as seen from northern Ras al-Khaimah, near the border with Oman’s Musandam governance, amid the US-Israeli conflict with Iran, in United Arab Emirates, March 11, 2026. REUTERS/Stringer/File Photo
FILE PHOTO: Cargo ships in the Gulf, near the Strait of Hormuz, as seen from northern Ras al-Khaimah, near the border with Oman’s Musandam governance, amid the US-Israeli conflict with Iran, in United Arab Emirates, March 11, 2026. REUTERS/Stringer/File Photo

Tehran has sought to tighten its grip over the Strait of Hormuz by charging tolls on vessels to ensure safe passage, in conjunction with Iran's Revolutionary Guard Corps.

The following explains law governing toll collections and actions that countries opposed to tolls might take, according to Reuters.

WHAT IS THE STRAIT OF HORMUZ?

The Strait of Hormuz is ‌a waterway connecting the Gulf with the Gulf of Oman, and located within Iran's and Oman's territorial waters. It is perhaps the world's most important energy shipping lane. About 20% of the world's oil passes through it.

The waterway is about 104 miles (167 km) long. Its width varies, and at its narrowest point provides 2-mile channels for inbound and outbound shipping, separated by a 2-mile buffer zone.

Iran effectively closed the strait following US-Israeli strikes on the country, and has demanded a right ⁠to collect tolls as a precondition to ending the war. The status of any toll collections so far could not immediately be confirmed.

WHAT LAW GOVERNS PASSAGE ON THE STRAIT?

The UN Convention on the Law of the Sea, opens new tab, sometimes known as UNCLOS, was adopted in 1982 and has been in force since 1994.

Article 38 provides vessels a right of unimpeded "transit passage" through more than 100 straits worldwide, including the Strait of Hormuz.

The treaty allows a country bordering a strait to regulate passage within its "territorial sea," up to 12 nautical miles from its border, but shall permit "innocent passage."

Passage is innocent if it is not prejudicial to a country's peace, good order and security. Military action, serious pollution, spying and fishing are not permitted. The concept of innocent passage was key to a 1949 International Court ‌of ⁠Justice case concerning the Corfu Channel, along the coasts of Albania and Greece.

Approximately 170 countries and the European Union have ratified UNCLOS. Iran and the United States have not. This raises the question of whether the treaty's rules affording freedom of maritime navigation have become part of customary international law, or bind only ratifying countries.

Experts say UNCLOS has become or is generally viewed as customary international law. Some non-ratifying countries may ⁠argue that they need not follow the treaty because they persistently and consistently object. Iran has argued that it has made such objections. The United States disputes Iran's authority to charge tolls.

HOW CAN TOLLS BE CHALLENGED?

There is no formal mechanism to enforce UNCLOS. The International Tribunal for the Law ⁠of the Sea in Hamburg, Germany, which the treaty established, and the International Court of Justice in The Hague, Netherlands could issue rulings but cannot enforce them.

Countries and businesses have other potential means to counteract tolls.

A willing state or coalition of states could ⁠try to enforce the treaty. The UN Security Council could pass a resolution opposing tolls.

Companies could redirect shipments away from the Strait of Hormuz, and have begun doing so. Countries could expand sanctions targeting financial transactions believed to benefit Iran's government, by sanctioning companies willing to pay tolls.


How China’s Weapons Transfers to Iran Have Evolved Over Decades

FILE PHOTO: A member of the People's Liberation Army stands as the strategic strike group displays DF-5C nuclear missiles during a military parade to mark the 80th anniversary of the end of World War Two, in Beijing, China, September 3, 2025. REUTERS/Tingshu Wang/File Photo
FILE PHOTO: A member of the People's Liberation Army stands as the strategic strike group displays DF-5C nuclear missiles during a military parade to mark the 80th anniversary of the end of World War Two, in Beijing, China, September 3, 2025. REUTERS/Tingshu Wang/File Photo
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How China’s Weapons Transfers to Iran Have Evolved Over Decades

FILE PHOTO: A member of the People's Liberation Army stands as the strategic strike group displays DF-5C nuclear missiles during a military parade to mark the 80th anniversary of the end of World War Two, in Beijing, China, September 3, 2025. REUTERS/Tingshu Wang/File Photo
FILE PHOTO: A member of the People's Liberation Army stands as the strategic strike group displays DF-5C nuclear missiles during a military parade to mark the 80th anniversary of the end of World War Two, in Beijing, China, September 3, 2025. REUTERS/Tingshu Wang/File Photo

Washington: David Pierson

For much of the last two decades, China has maintained a delicate balance in its military relationship with Iran, offering often indirect assistance instead of arms sales.

That approach is now drawing renewed attention after US officials said intelligence agencies were assessing whether China may have shipped shoulder-fired missiles to Iran in recent weeks. President Trump has said he would impose an additional 50 percent tariff on Chinese goods if the assessment proves accurate. China has denied the claim, calling it “pure fabrication” and has vowed to “resolutely retaliate” if the Trump administration goes through with tariffs.

The American officials said the information obtained by US intelligence agencies was not definitive. But if proven true, it would be a significant tactical change in the way Beijing supports its closest strategic partner in the Middle East.

Chinese arms sales to Iran exploded in the 1980s and have all but vanished in the last decade to comply with a United Nations embargo and US sanctions. Chinese support for Iran in recent years has instead come in the form of components that could be used in both civilian technologies as well as missiles and drones.

China has a major stake in the crisis in Iran. About a third of its total crude oil imports come from the Arabian Gulf.

Here is how China’s military support for Iran has evolved over the years:

The 1980s: The Boom Years

The outbreak of the Iran-Iraq War in 1980 coincided with major market reforms in China when the leader at the time, Deng Xiaoping, ordered state-owned companies to wean themselves off government support and instead seek commercial profit.

Chinese state-run defense companies were suddenly empowered to export their wares. That resulted in a deluge of Chinese missiles, fighter jets, tanks, armored vehicles and assault rifles being sold to Iran starting in 1982 and peaking in 1987, according to the Stockholm International Peace Research Institute.

At the same time, China sold even more arms to Iraq, resulting in a situation in which the two warring sides clashed with each other using the same Chinese weapons.

The Reagan administration opposed China’s arms sales to Iran, particularly Silkworm anti-ship cruise missiles. Tehran used the missiles in attacks in Kuwaiti waters in 1987 that struck an American-owned tanker and an American-registered tanker.

The United States responded by curbing exports of some high-technology products to China. China denied selling arms directly to Iran, but said it would do more to prevent its military exports from reaching Iran through intermediaries.

The 1990s: Technology Transfers

Following the war, Iran set out to develop its own military-industrial base with the help of China. One of its key products was the Noor anti-ship cruise missile, which had been reverse-engineered through purchases of Chinese C-802 cruise missiles.

“China played a major role in supporting Iran’s military modernization for decades, especially in developing Iran’s missile capabilities,” said Brian Hart, a fellow with the China Power Project at the Center for Strategic and International Studies.

Iran also received help from China in building missile-production facilities and even in constructing a missile test range east of Tehran, wrote Bates Gill, a longtime China expert, in the Middle East Review of International Affairs.

Under US pressure to curtail its sale of finished weapons, particularly missiles, to Iran, China began increasing exports of machine tools and components that could be used for both military and civilian purposes.

The 2000s to the Present: Dual-Use Technologies

In 2006, the United Nations imposed sanctions on Iran’s nuclear and ballistic missile programs. China voted in favor of the resolution and largely pivoted away from new, formal arms contracts with Tehran.

The shift was as much about regional strategy as it was about international law. Starting in the mid-2010s, China began deepening its strategic relationships with Gulf countries including Saudi Arabia and the United Arab Emirates, as well as Qatar.

China continued to supply Iran with dual-use technologies and materials that have helped it amass an arsenal of missiles and drones.

That included chemicals used to produce fuel for ballistic missiles and components for drones, such as radio frequency connectors and turbine blades.

But Mr. Hart said China was still “a critical form of support, given Iran’s reliance on ballistic missiles and drones to attack US and Israeli forces and other countries in the region.”

The US Treasury Department has sanctioned Chinese and Hong Kong front companies it says were set up to source parts and ingredients for ballistic missiles and drones for Iran.

Suspicions are also growing that Iran is using its access to China’s BeiDou satellite navigation system, an alternative to the US-owned Global Positioning System, for military purposes. Last month, a US congressional agency said BeiDou may have been used to direct Iran’s drone and missile strikes across the Middle East.

The New York Times