Today, the Minister of Finance and the Ministry of Defense signed an agreement that will form the basis of the Ministry of Defense and the IDF’s multi-year planning.
Under the agreement, compulsory military service will be shortened variably, according to security needs and the nature of the role involved. In 2030, the average length of service will be 28 months. The full service period will be set as 24 months, and will be the same for men and women. And the ministries announced that the length of service for the various roles will be determined later. Early release would enable demobilized soldiers to begin their careers early, with significant consequences for long-term economic growth.
Soldiers’ salaries will rise dramatically. From the 25th month (3rd year of service), it will increase by 25% starting in June 2024, and by 50% from January 2025. From June 2026, differential pay additions will be made depending on the service area. However, it appears that the salaries of those performing compulsory service will remain below the minimum wage, which is currently 5,571 shekels per month.
The joint statement further states: “In order to enable the IDF to retain high-quality manpower, it has been decided to allocate one billion shekels to a special salary agreement, as additions and grants to young professional staff and to combat soldiers.” second lieutenant to captain, who currently earn an average of 11,000 shekels per month. In addition, the IDF and the Ministry of Finance are working on an agreement that the automatic wage increases received by professional employees following wage increases in the public sector will not be automatic, but that the IDF will have the discretion to choose to award larger wage increases to professions in greatest need. To it, at the expense of increases for professions in which there is no shortage of professional personnel.
In addition, the IDF will be able to offer people in certain areas higher salaries in lieu of a pension when they leave. In February, it was agreed that temporary pensions would be paid only up to the age of 60, and not 67, the general retirement age for men, as had been the case until now.
Defense Minister Yoav Gallant said, “The multi-year plan will provide the basis for strengthening the IDF and for procurement, and for maintaining Israel’s qualitative edge over its enemies in security, the army, technology, and intelligence. We will especially invest in manpower in order to preserve the source of our strength, and we will take policies that allow for higher wages.” For those who serve on the combat front and for a longer period, in compulsory service and in the professional army.
Published by Globes, Israel business news – en.globes.co.il – on June 22, 2023.
© Copyright Globes Publisher Itonut (1983) Ltd., 2023.
