The employment rate of older workers in Israel is one of the highest in developed countries. According to data from the Shoresh Institute, about 28% of men and about 15% of women over the age of 65 continue to work - rates that are significantly higher than the average in OECD countries (about 21% and 11%, respectively). This trend is driven, among other things, by the high life expectancy in Israel, the high cost of living, and a shortfall in pension provisions.
New data from Hilan Value, which presents a segmentation of tens of thousands of employees in large companies in the economy, makes it possible for the first time to map the characteristics of employees who remain in the market even after retirement age. A significant number of them work in security, education, and transportation and the vast majority are men.
Working even after 70, but not looking for adventures
While most Israelis who continue to work after the official retirement age (67 for men and 62 for women) leave their jobs shortly thereafter, the presence of men at particularly old ages, 70+, is even more striking.
Of men who work past the retirement age, over 58% continue to work even after the age of 70. For women, the rate is much lower - only 29%. This is despite the fact that women's life expectancy is slightly higher on average than that of men. After retirement age, adults are required to leave the world of the career in which they have spent most of their lives (certainly most of their adult lives) and return to the domestic sphere. It may be that men, especially of the "older generation", have a harder time doing this.
The vast majority of older employees are also veterans at their workplace. In fact, no less than 70% exceed the retirement age in their jobs with 10 years or more of experience, and only 13% with five years or less of experience. This primarily indicates that employees who reach retirement age often feel comfortable in their job and are interested in continuing to contribute their experience in the conditions and environment that are familiar to them, and not necessarily seeking new occupational "adventures" that would require changes and readjustment. Working in a specific place, apparently especially for men, becomes an essential part of self-definition and accordingly, the desire to remain there even in old age.
Where do people work after 65?
Hilan's data also reveals a particularly large gap between different sectors of the economy. Many security guards in shopping malls, retail chains and schools, are over 65 and this is reflected in the data: Among workers aged 35 and over, 31% of workers in the security, nursing and human resources sectors are aged 65 and over. This is the sector with the highest proportion of older workers.
Then, with a significant gap, come education and academia with 16% of older workers. In these sectors, what determines wages is often seniority, which gives older workers a particularly high incentive to continue working even in old age, even when performance justifies it - and even if it does not.
In last place is the tech sector, with only 4% of employees aged 65 and over. The tech sector is considered young but has also undergone a significant process of maturation in recent years. If in the past there was a common stereotype that there was nothing to look for in high-tech after the age of 40, today there are many such employees. Yet, the small number of older workers is striking.
"The perception that older workers are a burden has been refuted"
"The data shows that the debate about retirement age is no longer relevant," Prof. Assaf Avrahami, CEO of Hilan Value, tells "Globes." "The real question is whether organizations know how to utilize one of the most valuable resources they have - experienced employees. The fact that about 70% of older workers continue to work in an organization where they have gained over a decade of experience shows that they are not only a workforce, but also the bearers of organizational knowledge."
Avrahami adds, "The research also refutes a widespread perception that older workers are a 'burden.' In practice, employers almost never fire them, and in most cases, termination of employment occurs as part of natural retirement. This is a sign that organizations recognize the value of the experience, stability, and responsibility they bring with them. In a world where it is more difficult to hire quality employees, experience becomes a business asset."
And how will the AI revolution affect the trend? Avrahami says, "Those who know how to integrate older workers alongside AI-based tools will not only extend their working lives, but will also increase the productivity of the entire organization. If in the past experience was mainly memory, in the age of AI it becomes a compass. The more tasks technology can perform, the more value those who know how to ask the right questions, interpret the data, and make decisions only increase. In this sense, AI may actually extend the careers of experienced workers, not shorten them."
Published by Globes, Israel business news - en.globes.co.il - on August 18, 2026.
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