The Central Bureau of Statistics announced today that the unemployment rate in Israel remained unchanged in April at 3.4%. Seasonally adjusted figures show a slight increase of 0.1% in the proportion of people aged 15 and over in the labor force.
The broad unemployment rate, which includes those on unpaid leave, fell last month to 3.8%, from 4.1% in March. The number of unemployed people under the broad definition now stands at less than 170,000 people.
The decline in the broad unemployment rate represents a return to the level of last September, before the war. The outbreak of war caused more than 400,000 people to stop working, among other things, due to the massive call-up of reservists, and the impact of the war on workplaces, which were forced to give employees unpaid leave. In the past few months, reservists and employees who were on unpaid leave have returned to work, or found other jobs. Only 7% of those temporarily absent from work in April were absent due to military reserve duty, down from more than 20% in March.
Combined with job vacancy data released last week, the numbers indicate a tight labor market. After seasonally adjusting, there were 137,000 job openings in April, up from 134,000 in March. Labor shortages occur mainly in trade and retail, such as the hospitality and food industries, and in construction. In the technology sector, there was no significant change in the number of job openings.
The construction industry is suffering severely from a shortage of foreign labor due to the war in the South, which has led to upward pressure on wages, which in turn may lead to higher housing costs, whether for purchase or rent.
Published by Globes, Israel Business News – en.globes.co.il – on May 26, 2024.
© Copyright Globes Publisher Itonut (1983) Ltd., 2024.