Israeli Workers Lag Behind Europeans in Vacation Time, Parties Offer Solutions

Israeli workers labor approximately one month longer per year than their European counterparts in the OECD, while receiving less compensation per hour worked. In 2024, the purchasing power of an hour of work in Israel was about 27% lower than the OECD average, according to the Arlozorov Forum. As elections approach, Israeli political parties are presenting various proposals to address this disparity, though experts question the feasibility and populist nature of these plans.

The "Democrats" party proposes gradually increasing the minimum annual vacation days from 12 to 22 over a decade and shortening the work week to 40 hours, aligning with OECD standards. They also suggest increasing sick days and establishing dedicated paternity leave. Experts from the Israel Democracy Institute acknowledge the social benefits but question who will bear the increased costs, particularly for the public sector and low-profit businesses.

Yisrael Beiteinu suggests shortening the summer vacation by two weeks and, in exchange, instituting four extended weekends throughout the year, combined with holidays. The party claims this will add vacation days for all workers and reduce the gap with the OECD average, easing burdens for working parents. Experts note this could help working parents but faces potential opposition from teacher unions and is seen as a partial solution that doesn't address the overall work week length.

Parties like "Yashar" and "Achadut" (United) propose increasing productivity as the primary means to improve wages and potentially reduce working hours. They advocate for encouraging investment in capital and technology, breaking up monopolies, and enhancing human capital through education and vocational training. Experts, however, caution that increasing productivity is a long-term process that has eluded Israeli governments for decades and may not yield immediate benefits for workers.

The Likud and Shas parties did not respond to a questionnaire. Analysis based on their past actions suggests no specific initiatives were taken to improve working conditions during the previous government. Experts note that policies like freezing tax brackets and credit points have eroded real net wages. The Joint List calls for labor law reforms to ensure vacation and leisure days comparable to developed nations, increased enforcement of occupational safety, and a dedicated team to examine weekly and daily working hours across sectors.

Experts from the Israel Democracy Institute, Berel Katznelson Foundation, Arlozorov Forum, and the Kohelet Policy Forum analyzed the parties' proposals. While some plans offer direct benefits to workers, such as extended weekends or adjusted vacation schedules, others focus on long-term productivity gains. A significant concern raised by experts is the lack of clarity on funding mechanisms and who will absorb the costs associated with proposed changes, particularly for parties like the Democrats and the Joint List.