AI Expansion Drives Sharp Rise in Job Seekers in Israeli High-Tech Sector

A new report from Israel's Employment Service reveals a dramatic increase in the number of job seekers in the high-tech sector, closely linked to the growing adoption of artificial intelligence (AI). The report, covering 2019 to 2026, shows that while the rise in job seekers began before the launch of ChatGPT in November 2022, the AI revolution has significantly accelerated this trend. Before ChatGPT, high-tech job seekers accounted for about 4% of all registered job seekers; this figure has nearly tripled to approximately 11% as of mid-2026, with around 16,300 high-tech job seekers recorded in May compared to 7,700 in 2019.

The report highlights a shift in the profile of job seekers: whereas previously the majority were junior employees with little experience, the sharpest increase now is among seasoned professionals with over eight years of experience, whose numbers have surged by 181% since 2023. Junior workers still represent the largest group of high-tech job seekers, but the growth rate among experienced workers is notably higher. The increase is especially pronounced in software roles, which are more exposed to AI applications; since 2022, job seekers in these AI-exposed positions have grown by 18%, compared to just 3% in other high-tech professions.

Overall, the high-tech workforce in Israel averaged about 404,000 employees in 2025, a slowdown from the rapid growth seen between 2012 and 2023 when the sector nearly doubled in size. After peaking at 396,000 in 2023, the workforce declined slightly in 2024 before a modest rebound in 2025. The Employment Service forecasts that the number of high-tech job seekers will continue rising through the summer of 2026, potentially reaching a new peak before stabilizing later in the year.

Employment Service CEO Einav Massash commented, "The high-tech labor market is undergoing profound change, affecting not only newcomers but also experienced workers. We must continuously monitor these trends and prepare accordingly, including integrating high-tech job seekers into tech roles in non-technology sectors."