Immigrants Face Significant Wage Gap in Israeli Job Market
Translated & summarized from Cursorinfo by baba
New immigrants in Israel face a significant wage gap, earning 34% less than long-term residents, according to a study presented at the "Olim Le-Ta'asuka" conference. Difficulties in validating foreign credentials and language barriers contribute to qualified professionals working in lower-paying jobs. The Histadrut is proposing measures to simplify recognition processes and support employers to better integrate immigrants into the workforce, addressing long-term financial and career impacts.
The story in 6 lines · by baba
- Immigrants in Israel earn 34% less than long-term residents, a gap of over 4,300 shekels monthly.
- Difficulties validating foreign degrees and professional experience hinder immigrants' job prospects.
- A 2021 study showed immigrants earned an average of 8,523 shekels, compared to 12,848 for long-term residents.
- The Histadrut proposes simplifying diploma recognition and subsidizing employers to aid immigrant integration.
- Alex Miller noted 14% of immigrants work outside their trained professions.
- Arnon Bar-David stressed the need for continuous support for immigrants' labor rights.
New immigrants in Israel are experiencing a substantial wage disparity compared to long-term residents, with experienced professionals facing a monthly income difference of over 4,300 shekels, amounting to a 34% gap. This issue, which affects even those with higher education and in-demand professions, was a central topic at the second All-Israel "Olim Le-Ta'asuka" conference in Ramat Gan, coinciding with Immigrant Day. Representatives from the Histadrut labor federation, government agencies, the Knesset, and public organizations convened to discuss barriers hindering new citizens' professional integration.
A study by the Arlozorov Forum, presented at the conference, revealed that in 2021, the average monthly salary for long-term residents was 12,848 shekels, while immigrants who arrived after 2011 earned an average of 8,523 shekels. Experts attribute this gap partly to difficulties in validating foreign academic and professional credentials, lengthy recognition procedures, insufficient Hebrew language skills, and local employer demands. Consequently, qualified individuals, including engineers, medical professionals, and educators, often work in lower-paying jobs unrelated to their training.
Alex Miller, Head of the Histadrut's Absorption Department, stated that approximately 14% of immigrants are employed outside their trained fields, a situation he believes harms both the workers and the Israeli economy by underutilizing skilled labor, especially amid shortages in certain sectors. Miller proposed simplifying diploma recognition, reducing bureaucracy, and expanding retraining programs, along with subsidizing employers who hire immigrants post-language courses.
Participants also highlighted the long-term consequences of this professional inequality, including limited career growth, reduced pension savings, and financial adaptation challenges for families. Arnon Bar-David, Chairman of the Histadrut, emphasized the need for ongoing support for immigrants, not just in their initial years, covering issues like labor disputes and rights protection regardless of their length of stay.
The Histadrut's Absorption Department, re-established five years ago, provides counseling, liaises with employers and government bodies, and trains workers' committee representatives, focusing on informing immigrants about their labor rights. The organization plans to expand its support programs and membership, with a continued focus on employment assistance and interest protection for immigrants.