Tens of Thousands of protesters marched into the streets of Israel (Photo:Reuters)
At least 100,000 people took to the streets in cities across Israel on Saturday night in the latest show of force by a protest movement that has exposed deep anger in society about the cost of living and income disparity.
At the start of his weekly cabinet meeting on Sunday, Netanyahu said he would name "a team of ministers who will set up a round-table discussion with representatives of various sectors to allow them to share their concerns."
His announcement came as the director general of the finance ministry resigned, citing a "fundamental difference of opinion" with his superiors, the Israeli news site Ynet reported.
"The ministers will be charged with creating a practical plan to ease the financial burden on Israeli citizens, which will be presented to the Israeli government for approval and implementation," his office said in a statement.
"We must act seriously and responsibly to effect changes in economic priorities and tackle real hardships," Netanyahu said.
It seemed unlikely that the announcement would be enough to ease anger in the short term and tamp down protests over the cost of everything from housing to child care.
Even as Netanyahu met with his cabinet, members of the Israeli Medical Association doctors' union gathered outside parliament as part of their ongoing protest in support of better wages and working conditions.
And media reported that activists were gathering support for two protest actions -- a general strike on Monday that has already gained the backing of the local authorities' union, and a plan for a mass withdrawal of cash from banks on August 8 to protest against high banking and credit card fees.
As the protests gather steam, Finance Ministry Director General Haim Shani submitted his resignation, Ynet reported.
In a resignation letter addressed to Finance Minister Yuval Steinitz, Shani said his decision was due to "a long-time fundamental difference of opinion and manner of daily work patterns," the website said.
"Recent events illustrate the problems I have outlined and support my view that under the current circumstances I cannot fulfil my role as finance ministry director as I see fit," it quoted him as saying.
The protests are the largest demonstrations over social issues Israel has seen at least since the early 1970s when thousands of people, led by a group called the Black Panthers, took to the streets to protest against racial discrimination suffered by Mizrahi Jews of Middle Eastern descent.
The upheaval began earlier this summer as Israelis launched a boycott of their much-loved cottage cheese in response to the rising cost of the local staple.
The action, organised on Facebook and given wide media coverage, managed to bring about a swift drop in the price of the foodstuff, emboldening activists who were already planning protests over the high cost of housing.
In mid-July, a small group of mostly young protesters, including students and recently discharged soldiers, began setting up a tent city in the middle of Tel Aviv to illustrate their inability to afford housing in the coastal town.
Their action quickly gathered steam, with similar tent cities popping up in other cities and different sectors of society emerging to share their economic discontent.
Since 2004, Israel's economic growth rate has averaged 4.5 percent, while unemployment has fallen to around six percent from close to 11 percent over the same period.
But the gaps between Israel's rich and poor are among the widest in the Western world. In 2011, Israel ranked fifth for unequal income distribution among the 34 member states of the Organisation for Economic Cooperation and Development.
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