The labor market in Israel is relatively stable and includes advanced manufacturing and tech industries. Estimates showed that the
rose to 4.1 million in 2022, a slight increase compared to the previous year. In 2020, there was a moderate decline in the number of employed people, probably due to government's restrictions on many sectors following the coronavirus (COVID-19) outbreak. Moreover, since 2016, the
Prominent industries in the labor market
In 2021, the education and healthcare industries constituted the
largest sectors in the labor market in Israel. That year, 498,500 people worked in the education industry and around 457,000 in human health and social work activities. Another important industry is the high-tech sector, a significant contributor to the country's economy. The employment conditions in this sector are considered excellent, including high wages and a variety of corporate benefits. In 2021, the
number of employees in the computer programming and consultancy industry reached 182,000, making this industry the largest one within the sector.
Wage differences between sectors
In February 2023, the
average monthly wage in Israel amounted to over 12,454 Israeli shekels (around 3,400 U.S. dollars). This was a slight increase compared to the previous month. In general, there are significant differences between the average monthly salary in various industries. The
average monthly wage in the information and communication sector amounted to nearly 29,872 Israeli shekels (around 8,796 U.S. dollars) in the second month of 2023. In contrast, the
average monthly salary in the large education sector was significantly lower in the same month, when it reached 8,925 Israeli shekels (around 2,443 U.S. dollars).
Comparison with other OECD member countries
The OECD conducts comparative research regarding various key employment indicators of its member countries. In 2021, the
average hours worked in a year per worker in Israel summed at 1,753 hours, slightly higher than the average hours in the OECD countries (1,716). In general, the number of working hours in the private sector in Israel is higher than in the public sector, where people usually work strictly fixed hours. Regarding the
gender pay gap, in 2019, the gap between the salaries of men and women stood at 24.32 percent, a higher percentage than the OECD average of 11.6 percent.
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