According to Central Bureau of Statistics figures released today, the average wage in Israel rose last year, but at a slower pace than in previous years.
At current prices, the average monthly pay of a salaried employee was NIS 12,860 in 2023, 6.1% more than in 2022. After accounting for inflation, the rise was 2%, and the average wage adjusted for the Consumer Price Index was NIS 11,056.
The Central Bureau of Statistics’ multi-year figures show that the average wage, which rose steeply during the Covid-19 pandemic period as many lower paid workers were put on unpaid leave, has balanced out, and returned to the trend line of the previous decade.
The number of salaried jobs grew by 1% in 2023 in comparison with 2022, to 3.98 million.
Previous figures showed a sharper rise. The average wage in November 2023 jumped 9.5% in comparison with November 2022. The steep rise in the average wage in the Central Bureau of Statistics’ earlier release stemmed from a skewing of the figures, as high numbers of people were put on unpaid leave in the first months of the war. The labor market has shown signs of recovery since then, and current Central Bureau of Statistics figures show that many of those who were put on unpaid leave have returned to work, which explains the lower rate of increase in average pay in the figures released today.
The Central Bureau of Statistics also released a flash estimate for January 2024, according to which the average wage was 7.4% higher that month than in January 2023, and was close to NIS 13,000 monthly. The number of salaried jobs, however, fell by 2.7% from 4.05 million in January 2023 to 3.89 million in January 2024, which was 0.6% higher than in December 2023 (3.87 million).
High-tech job market at a standstill
In the technology sector, the engine of the Israeli economy, pay rose by slightly more than the general average in 2023. The average monthly pay of workers in the sector was NIS 29,674, 6.8% higher than in 2022.
The number of jobs in the sector has, however, stagnated. It accounted for 10% of all jobs at the end of last year, which compares with 9.9% at the end of 2022.
Published by Globes, Israel business news - en.globes.co.il - on March 4, 2024.
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