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Haredi Employment in

Israel

Overview: January 2015 A Socio-Economic Snapshot and Employment Situation of Haredim in Israel

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Haredim in Israel How did we get to this point?

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The History

In the early days of the state there was still a

vigorous religious party called Poalei Agudat Yisrael

(PAI)—founded in Poland in 1922—which was as

much a workers’ party as an ultra-Orthodox one and

which had established its first kibbutz in 1944. The

Lodz-born Binyamin Mintz—a Gerrer Hasid who had

first worked in construction when he came to

Palestine in 1925—represented the party in the first

Knesset of 1949 and was subsequently re-elected

several times.

At the end of the 1970s, when Israel’s standard of

living was relatively low, education was not

imperative for finding a job. Incidentally,

employment rates amongst Haredi men were then as

high as 88% in 1979. Today, in a competitive and

global Israeli economy, employment rates among

the uneducated are below 50%, including the

Haredi male population.

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The Challenge The relationship between the State of Israel and its

Haredi population is of concern to the entire Jewish

world. From the economic and social instability of an

exponentially growing community of seemingly

non-productive citizens, to the unsavoury headlines

about extreme and violent behaviour, it is clear that

a policy of laissez-faire can no longer be tolerated.

The challenge of selectively integrating nearly a

million Haredim through adjustments to the welfare

state and social policy infrastructure is huge, and the

risks are high. The process of the Haredi community

adapting and selectively integrating into the social

economic realm is a defining moment in Haredi and

Israeli history. Despite the size of the challenge,

success will not emerge through wholesale

solutions. Nuance and attention to detail will be

critical, since contrary to popular assumptions, the

Haredi community is far more diverse than other

social groups.

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In 2014, Israel’s population grew by 2% bringing the total to 8.3m of which 956,500 are Haredim (11.7%)

The median age in Israel is 30; amongst Haredim it is 16. 3/4 of Haredi children live under the poverty line.

The employment rate amongst Haredi men aged 25-64 is 44.5% compared to 81.2% for the rest of Israel

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Will they work?

“Haredim must share the burden?”

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When the State of Israel was established, there

were 30,000 Haredim living there. By 1980,

their number had risen to 140,000, but in 1990,

they still only constituted three percent of the

Jewish population in Israel. Today they are

more than 11% of the population and by 2030,

Haredim will constitute 20 percent of the entire

Jewish population in Israel.

Today there are 956,500 Haredim in Israel,

11.7 percent of the total population, 14.2

percent of the Jewish population. The Haredi

population grows by six percent annually;

Israel’s general population grows by 1.8

percent annually.

The average Haredi household has more than

five children; the average non-Haredi

household in Israel has two children.

It is fair to assume that the Haredi community

will then try to lead the country’s character in a

more conservative, religious direction.

According to manpower surveys conducted by

the Central Bureau of Statistics, the rate of

employment among Haredi men aged 25 to 64

is 44.5 percent, compared with 35.5 percent a

decade ago.

These numbers reflect the quiet Haredi

revolution taking place in the country’s

workforce: As the economic crisis deepens,

more and more Haredim are aspiring to break

free of the pattern of poverty and ignorance.

The tipping point is still well beyond reach.

The rate of employment among non-Haredi

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male Jews in the same age group is 81

percent.

The nascent Haredi working class works part

time or runs small independent business that

provide services within their community.

Women are still the primary providers in

typical Haredi homes, working part time in

teaching or nursing fields for salaries of NIS

3,700 a month on average. The average

income earned by a non-Haredi woman in

Israel is NIS 6,000 a month, and take into

consideration the fact that Haredi families have

many more mouths to feed. Three-quarters of

Haredi children live under the poverty line.

While the number of both Haredi men and

women enrolling in higher education has in

fact increased threefold in the last seven

years, only 6,500 Haredi men and 4,500 Haredi

women study in the country’s academic

colleges, a drop in the ocean.

The low number of young Haredim in higher

education blocks their entry into a labour

market that would allow them to provide for

their families.

The primary factors for this stem from

education that is not focused on imparting

skills for earning a living. Only 28 percent of

Haredi men have academic degrees of value

in the labour market, as compared with 80

percent of non-Haredi men; 88 percent of

Haredim live under the poverty line.

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Quote from Head of Economics and Research Department, Israel Treasury 2010

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Higher Education as a Solution

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It is widely known that higher education is a strong

indicator of economic sustainability; without a university

degree, finding remunerative employment is extremely

difficult. Haredi communities are among the poorest in

Israel. More and more Haredi men and woman are

seeking gainful employment, and there is no doubt that

education is the key. This desire to obtain higher

education is encouraged by Rabbis who understand the

need for professional training. Thus, in recent years we

have witnessed a significant growth in the number of

Haredim (both men and women) turning to academic

studies.

This important trend presents challenges and difficulties

to both the Haredi communities and to the academic

establishment.

Organisations including The Kemach Foundation, Avi

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Chai, The Friedberg Foundation, the UJA in NY and

others have begun addressing the needs of the Haredi

and academic communities, creating an appropriate

framework that will enable Haredim to succeed

academically without compromising their fundamental

beliefs.

In 2012, The Council for Higher Education agreed to

invest NIS 180 million over the next five years to

encourage Haredim to study and enter the workforce.

The CHE approved the plan to make higher education

more accessible to the Haredi population. The goal is to

allow "every Haredi interested in acquiring a high-level

profession to do so, while at the same time preserving

their lifestyle, views and beliefs," said the CHE. The

program is based on "mutual respect and recognition of

the unique characteristics of the Haredi community, a

high academic level and an emphasis on employment."

“The Israeli economy stands to lose more than 6 billion shekels annually as a result of low Haredi participation in the workforce”

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+ Quick Facts on the Workplace

• 88% of Haredim

employed reported that

there was relative ease or

no concerns about

working in a secular

environment

• 84.6% of Haredim

reported average to no

difficulty in working with

women

• A collective average of

76.2% of employers

made no changes to the

workplace when hiring

Haredim

• 72.9% of employers

indicated that Haredi

employees perform

equally to others, whilst

20.3% indicated that the

level of performance of

an Haredi employee is

higher

• 93.2% of employers who

employed Haredim

encourage their

colleagues to do so

• 35% of employers stated

that Haredim have unique

advantages such as a

solid work ethic, loyalty

and respect.

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“Give a man a fish, and you feed him for a day; show him how to catch fish, and you feed him for a lifetime.”

~ Anne Isabella Ritchie

For More Information: Yael Simon

Strategic Advisor, The Rachel Charitable Trust

Email: Yael@RCT.London | 5 Wigmore Street, London, W1U 1PB

UK +44 7824 469392 | US +1 773 690 2534 | Israel +972 52 59 88 122 Registered Charity 276441

“Helping to integrate Haredi job-seekers into the labour force, so as to enable them to earn a living is in the interests of everyone who cares about a strong Israel.”

– U.S. Ambassador, Dan Shapiro