Foreign Companies Cut 15,000 Jobs in Israel Since War's Start

New data from Israel's Central Bureau of Statistics (CBS) reveals a significant decline in employment at foreign-controlled companies operating within the country. Since the outbreak of the war on October 7, 2023, these companies have collectively eliminated approximately 15,000 jobs, representing a cumulative decrease of about 5% in their workforce.

In 2022 and 2023, the number of positions at these international firms stood at over 300,000. By 2024, this figure dropped to below 290,000, and by 2025, it further decreased to approximately 288,100. The CBS defines these companies as Israeli entities with over 50% foreign ownership, including local branches of multinational corporations.

Despite the reduction in job numbers, the total compensation paid by these companies has seen an increase, rising from 92.9 billion shekels in 2022 to 102.1 billion shekels in 2025. This suggests a rise in average salaries per position, potentially linked to reports of experienced workers being retained while less experienced ones are let go, possibly due to the integration of artificial intelligence in work processes.

The proportion of high-tech workers within these foreign companies has remained relatively stable, hovering around 48-49% throughout the period. This indicates that the job losses are not concentrated specifically in the tech sector but are distributed more broadly across various industries within these firms. The CBS noted that previous data before 2022 is not directly comparable due to changes in the survey's methodology and the population of companies included.