After rising over four continuous quarters, the average salary in high-tech sectors fell by 4% in real terms to NIS 14,640 a month in the third quarter of 2004, compared with the corresponding quarter of 2003. The relevant sectors are electronic components, electronic communications equipment, medical and monitoring equipment, and transportation equipment.
Nevertheless, the average salary in industry as a whole continued to rise, albeit much more slowly, in the third quarter. The average salary in industry rose 0.9% to NIS 9,555 per month in the third quarter, 35% higher than the national average salary, said Manufacturers Association statistics and economic analysis division director Nira Shamir. The figures are based on a monthly analysis of salaries in industry in July-September 2004.
Shamir said several important factors were responsible for the continued rise in the average salary in industry in the third quarter of 2004, compared with the corresponding quarter of 2003. First, the rapid pace of hiring in high-tech sectors continued during the third quarter. These workers characteristically earn higher than average salaries, compared with salaries in industry in general. The pace of hiring in low technology industries was slower. Employees in low technology industries characteristically earn relatively low salaries. A second factor was a sharp 5% rise in productivity (production per work-hour) by workers in industry, which presumably affected salaries.
Shamir said real wages rose slowly in the third quarter, compared with the preceding quarter. She attributed this to several key factors: higher prices; and a 1.5% decline in work-hours per employee, after remaining unchanged in the second quarter of 2004, and rising 2% in the first.
The average salary in mixed-high technology industries (chemicals and oil refining, machinery and equipment, engines and electrical equipment) rose by 4% in real terms to NIS 11,000 per month in the third quarter of 2004, after rising 5% in the second quarter.
Published by Globes [online], Israel business news - www.globes.co.il - on January 4, 2005