Israel Proposes $260 Million Plan to Combat Bus Driver Shortage
Translated & summarized from Bizportal by baba
Israel's National Public Transport Authority is seeking approximately $260 million for 2027 to address a severe bus driver shortage, estimated at 4,500 to 5,000. The proposed plan includes a new industry-wide salary structure with a base hourly wage of 55.18 shekels, attendance bonuses, and seniority incentives. It also aims to improve working conditions, enhance safety measures on buses, and recruit new drivers, including from the Haredi community. The plan's approval is tied to the upcoming government budget and faces opposition from unions regarding foreign worker proposals.
The story in 6 lines · by baba
- Israel's transport authority seeks $260 million for a plan to fix the bus driver shortage.
- The plan proposes a new salary model with a base hourly wage of 55.18 shekels.
- An estimated 4,500 to 5,000 bus drivers are currently needed across Israel.
- The proposal includes improved working conditions, safety features, and rest facilities.
- Driver retention is a major issue, with many leaving within their first year.
- The plan's funding depends on the formation of a new government and budget approval.
Israel's National Public Transport Authority is requesting 1.0155 billion shekels (approximately $260 million) from the Treasury for 2027 to address the critical shortage of bus drivers and attract thousands of new workers to the industry. The plan, submitted by Authority Director General Idan Moalem to Transportation Minister Miri Regev, Ministry Director General Moshe Ben-Zaken, and Budget Division Transportation Coordinator Ido Mor, centers on a uniform, industry-wide salary model. Under the proposal, new drivers would receive a base hourly wage of 55.18 shekels, indexed to inflation, plus a 6-shekel per hour attendance bonus, capped at 1,300 shekels monthly for full-time employees. After five years of employment, drivers would gain an annual seniority bonus, and those switching employers would retain their accrued seniority and benefits. An additional "excellence component" of up to 10% of monthly salary is also proposed, based on computerized metrics for safe driving, schedule adherence, and passenger satisfaction.
The authority estimates a shortage of around 4,500 drivers, with a Knesset research document suggesting a figure closer to 5,000. Data indicates a significant retention problem, with only about 4,300 of 17,500 drivers trained between 2015 and 2025 remaining in the profession. Approximately 16.5% leave within the first month, and a third depart during their first year. This shortage leads to daily cancellations, with an estimated 1,800 planned trips not running due to a lack of drivers, resulting in operators paying around 200 million shekels annually in service disruption fines.
The plan also addresses driver fatigue by proposing a reduction of 5 to 10 monthly hours for drivers over 50 or with significant seniority, at an estimated annual cost of 64 million shekels. It also mandates paid breaks, including a 30-minute break every four hours of driving and a one-hour break for shifts exceeding nine hours. Furthermore, the proposal includes enhanced safety measures, such as protective barriers on all buses, distress buttons, cameras linked to control centers, and legislative changes to classify drivers as public servants with stricter penalties for attackers. The plan also allocates funds for rest facilities at terminal stations and aims to recruit 1,200 Haredi drivers by the end of 2027.
The proposal's implementation is contingent on the 2027 budget, which depends on the formation of a new government. Meanwhile, the transportation sector is seeing other investments, including a 150 million shekel institutional investment in 350 buses. Labor unions and driver committees oppose the introduction of foreign drivers, advocating instead for improved wages and conditions to retain Israeli workers.
Mentioned
