The argument is basicly that Israels treatment of the Palestinians is similar to the way South Africa treated its black people. Under Apartheid, the official position was that black and coloured people weren't citizens of South Africa. Instead, they were citizens of their own governments, which also had small plots of territory. It was called the Homeland system. The "black homelands" were actually a farce, basically puppets of South Africa, and were recognised by no other country.
Most black people had no meaningful job prospects in their "homelands" and had no choice but to seek jobs for South African companies, often even on the territory of "real" South Africa. They were considered foreign workers, and had virtually no protection under the law.
In Israel/Palestine the Palestinians often have a somewhat similar postion, being forced to work for Israeli companies (often settler colonies). I think the comparison is flawed in some respects, but it's still a terrible situation.
PS: Good posts, Hooahguy and Showtime.
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