Yes, it's walkable for your daily needs, and people normally do a lot of errands by walking as well. But not to work.

Also, the lack of bus service during Shabbat means everybody needs a car just to go see their family every Friday, which then means you're a car owner and more tempted to create traffic the rest of the week. Since 2019, Tel Aviv mayor used a loophole in the Shabbat law - by offering busses for free they are able to run during Shabbat, but the area covered is small.