Tzipi Livni with Kadima's coalition partners, particularly the Shas party, which had set conditions for joining a Livni government, including an increase in child allowances to Haredi communities, and a vow not to negotiate the status of Jerusalem during peace talks with the Palestinians. Livni was able to sign a coalition agreement with the Labor party, led by former prime minister Ehud Barak, but on 26 October, informed the President that she was unable to form a government and suggested Israel go to elections. Livni cited her unwillingness to sell out her principles just to become prime minister, stating, "I was willing
Meretz new chairman. On 22 December 2008, Meretz finalized its merger with Hatnua HaHadasha ("The New Movement") for the 2009 Israeli elections. The joint Meretz-Hatnua HaHadasha list ended up winning only 3 seats in the elections. This electoral loss was largely attributed to traditionally left-wing voters choosing to strategically vote for Kadima, in an effort to get Tzipi Livni to head the next government instead of Benjamin Netanyahu of Likud. Following the party's failure in the 2009 legislative elections, some of the party members called for the resignation of the party chairman Haim Oron and to give way for Zehava Gal-On.