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The Active Population in Figures

Working Conditions

Legal Weekly Duration

Maximum 45 hours per week

Retirement Age

67 years old for men. From 62 to 65 years old for women, depending on date of birth.

Working Contracts

Employment contracts are governed by legal provisions and to a lesser extent by collective agreements. Employment contracts can be written or oral. They can be indefinite, permanent or temporary.

Labour Laws

Consult the Doing Business Website, to obtain a summary of the labour regulations that apply to local companies in Israel.

Cost of Labour

Minimum Wage

The gross monthly minimum wage is ILS 6,247.67 (approx. USD 1,700), as regulated by the Ministry of Labor and the National Insurance Institute, and is scheduled to increase to ILS 6,443.85 in April 2026 based on adjustments to the national average salary.

Average Wage

Average monthly wages are about 14,032 ILS/Month (approx. USD 4,466).

Social Contributions

Social Security Contributions Paid By Employers: Contributions paid by the employer amount to 3.55% (up to monthly income of ILS 6,331), and 7.6% on the difference between ILS 6,331 and the maximum monthly income of ILS 45,075.
Social Security Contributions Paid By Employees: Employee contributions are at standard rate, 7% for National insurance and 5% for medical insurance and at reduce rate, 0.4% for National insurance and 3.1% for medical insurance.

Social Partners

Employer Associations

ASAKIM - Business Promotion Council

Social Dialogue and Involvement of Social Partners

Most of unions belong to Histadrut (General Federation of Labour in Israel), or to a much smaller rival federation, the Histadrut Haovdim Haleumit (the National Labour Federation). Negotiations are carried out at the national and sectoral level.

Labour Unions

Histadrut

Unionisation Rate

Unionisation rate in percentage of the labour market population in Israel: 15% in 2014.

Labour Regulation Bodies

Ministry of Economy and Industry