{"id":15214,"date":"2024-02-22T14:08:25","date_gmt":"2024-02-22T12:08:25","guid":{"rendered":"https:\/\/adva.org\/?p=15214"},"modified":"2024-07-23T15:12:32","modified_gmt":"2024-07-23T12:12:32","slug":"budget2024-employment-progams-fora-arab-citizens","status":"publish","type":"post","link":"https:\/\/adva.org\/en\/budget2024-employment-progams-fora-arab-citizens\/","title":{"rendered":"Arab Society in Israel and the Israeli Economy Will Be Weakened by the Proposed Budget Cuts in Employment Programs for Arab Citizens"},"content":{"rendered":"<p><\/p>\n<p style=\"direction: ltr; text-align: justify;\">The revised budget for fiscal 2024, approved by the Cabinet,\u00a0 includes a 15% cut in the 5-year plan (2021-2026)<a href=\"#_ftn1\" name=\"_ftnref1\">[1]<\/a> to reduce socio-economic gaps between Jews and Arabs.<a href=\"#_ftn2\" name=\"_ftnref2\">[2]<\/a> The program was budgeted at 30 billion shekels.<a href=\"#_ftn3\" name=\"_ftnref3\">[3]<\/a><\/p>\n<p style=\"direction: ltr; text-align: justify;\">The part of the program earmarked for increasing the integration of Arab youth (aged 18-35) into the job market, budgeted at 1.4 billion shekels over the 5-year period, focuses on two groups:\u00a0 young men and women with high school educations or less, and young women with academic or other post-high school educations. To date, the program has initiated quality professional guidance, professional training, Hebrew language skills improvement, encouragement to work in high-tech, and the provision of incentives to employers to hire Arabs.<a href=\"#_ftn4\" name=\"_ftnref4\">[4]<\/a><\/p>\n<p style=\"direction: ltr; text-align: justify;\">Preliminary figures indicate that the program is succeeding; therefore, it is crucial to continue it in order to realize the potential of young Arab men and women.<\/p>\n<p style=\"direction: ltr; text-align: justify;\">According to Sami Miaari and Arnon Barak,<a href=\"#_ftn5\" name=\"_ftnref5\">[5]<\/a>\u00a0 there has been an improvement in the employment rate of Arab women in Israel, which on the eve of the present war was 44.8%, among others, due to the 5-year plan. However, that rate is lower than the employment rate of non-Haredi Jewish women &#8212; 83.2% in 2022.<a href=\"#_ftn6\" name=\"_ftnref6\">[6]<\/a> As for Arab men, in 2023, their employment rate rose beyond the goal set for 2026. However,\u00a0 that rate is expected to grow more slowly in the future, to 79% by 2030. As such, it is not expected to achieve the goal set by the government\u00a0 (prediction by Miaari and Barak). <a href=\"#_ftn7\" name=\"_ftnref7\">[7]<\/a> Thus, without continued financing of the program, the achievement will be even lower.<\/p>\n<p style=\"direction: ltr; text-align: center;\"><strong>Employment Rates of Arab Men and Women, 2019 and 2023, and 2020 Goals of the 5-year Plan<\/strong><a href=\"#_ftn8\" name=\"_ftnref8\">[8]<\/a><\/p>\n<p style=\"direction: ltr;\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-15216\" src=\"https:\/\/adva.org\/wp-content\/uploads\/2024\/02\/English-Table.png\" alt=\"\" width=\"601\" height=\"78\" srcset=\"https:\/\/adva.org\/wp-content\/uploads\/2024\/02\/English-Table.png 601w, https:\/\/adva.org\/wp-content\/uploads\/2024\/02\/English-Table-300x39.png 300w\" sizes=\"auto, (max-width: 601px) 100vw, 601px\" \/><\/p>\n<div class=\"small\" style=\"direction: ltr;\"><strong>Sources<\/strong>: Ministry of Labor. \u201cEmployment Market in Israel 2022: Situation Report and the Work of the Labor Ministry. P. 18; Miaari, Sami and Arnon Barak. \u201cThe Effect of the War and Employment Trends in Arab Society.\u201d 2023. P. 11; Government Resolution 550, October 24, 2021.<\/div>\n<p>&nbsp;<\/p>\n<p style=\"direction: ltr; text-align: justify;\">Budget cuts in the Employment Program for Arab women and men will result in perpetuating the gaps between Jews and Arabs; they also augur damage to the Israeli economy, especially in light of the reduction in the employment of Arabs since the outbreak of the war.<a href=\"#_ftn9\" name=\"_ftnref9\">[9]<\/a><\/p>\n<p style=\"direction: ltr; text-align: justify;\">Employment gaps between Arabs and Jews in Israel are significant. In 2021, the average wage of Arab men was 64% of the average wage of Jewish men, while the average wage of Arab women was 67% that of Jewish women.<a href=\"#_ftn10\" name=\"_ftnref10\">[10]<\/a> This can be partially explained by the fact that Arabs\u2019 representation in high-paying branches of the economy is very low. A prime example is the hi-tech industry, in which no more than 2% of employed Arab men were to be found in 2019, compared with 64% of employed non-Haredi Jewish men.<a href=\"#_ftn11\" name=\"_ftnref11\">[11]<\/a><\/p>\n<p style=\"direction: ltr; text-align: justify;\">The integration of Arabs into the employment market will improve the Israeli economy, as two-thirds of the growth potential of the GDP has been attributed to an increase in employment.<a href=\"#_ftn12\" name=\"_ftnref12\">[12]<\/a>\u00a0 Thus, \u00a0a rise in the total employment of Arab citizens and the quality of that employment will contribute both to the growth of the Israeli economy and to the narrowing of gaps in employment rates between Israel and other OECD countries.<\/p>\n<div class=\"small\" style=\"direction: ltr;\"><strong><em>References:<\/em><\/strong><\/div>\n<div class=\"small\" style=\"direction: ltr; text-align: justify;\"><a href=\"#_ftnref1\" name=\"_ftn1\">[1]<\/a> Government Resolution 550. October 24, 2021 (Hebrew).<\/div>\n<div class=\"small\" style=\"direction: ltr; text-align: justify;\"><a href=\"#_ftnref2\" name=\"_ftn2\">[2]<\/a> Ministry of Social Equality, January 9, 2024. Request for an urgent discussion vis-\u00e0-vis the proposed budget cut to the 5-year plan for Arab society in Israel (Hebrew).<\/div>\n<div class=\"small\" style=\"direction: ltr; text-align: justify;\"><a href=\"#_ftnref3\" name=\"_ftn3\">[3]<\/a> Koelle, Michael. 2023. \u201cAddressing labor market challenges for sustainable and inclusive growth in Israel.\u201d OECD Economics Department working paper. No. 1787. 2024.)<\/div>\n<div class=\"small\" style=\"direction: ltr; text-align: justify;\"><a href=\"#_ftnref4\" name=\"_ftn4\">[4]<\/a> Website of the Office of the Prime Minister (Hebrew).<\/div>\n<div class=\"small\" style=\"direction: ltr; text-align: justify;\"><a href=\"#_ftnref5\" name=\"_ftn5\">[5]<\/a> Miaari, Sami and Arnon Barak. 2023. \u201cThe effect of the war and employment trends in Arab society.\u201d Working papers workshop of the Arab Economic Forum.\u201d (Hebrew)<\/div>\n<div class=\"small\" style=\"direction: ltr; text-align: justify;\"><a href=\"#_ftnref6\" name=\"_ftn6\">[6]<\/a> Ministry of Labor. June 2023. \u201cThe Labor Market in Israel 2022. Situation Report and the Work of the Labor Ministry\u201d (Hebrew).<\/div>\n<div class=\"small\" style=\"direction: ltr; text-align: justify;\"><a href=\"#_ftnref7\" name=\"_ftn7\">[7]<\/a> Miaari, Sami and Arnon Barak. Op. cit.<\/div>\n<div class=\"small\" style=\"direction: ltr; text-align: justify;\"><a href=\"#_ftnref8\" name=\"_ftn8\">[8]<\/a> The figures for 2019 and 2023 are for ages 25-66. The goals for 2026 and 2030 are for ages 25-64.<\/div>\n<div class=\"small\" style=\"direction: ltr; text-align: justify;\"><a href=\"#_ftnref9\" name=\"_ftn9\">[9]<\/a> Miaari and Barak. Op. cit.<\/div>\n<div class=\"small\" style=\"direction: ltr; text-align: justify;\"><a href=\"#_ftnref10\" name=\"_ftn10\">[10]<\/a> Israel Central Bureau of Statistics. 2024. \u201c Income of Individuals Aged 15 and Over. Figures from the Survey of Household Expenses 2021.\u201d Table 11.<\/div>\n<div class=\"small\" style=\"direction: ltr; text-align: justify;\"><a href=\"#_ftnref11\" name=\"_ftn11\">[11]<\/a> Koelle, Michael. Op cit.<\/div>\n<div class=\"small\" style=\"direction: ltr; text-align: justify;\"><a href=\"#_ftnref12\" name=\"_ftn12\">[12]<\/a> Ibid.<\/div>\n<p><\/p>","protected":false},"excerpt":{"rendered":"<p>Budget cuts in the Employment Program for Arab women and men will result in perpetuating the gaps between Jews and Arabs; they also augur damage to the Israeli economy, especially in light of the reduction in the employment of Arabs since the outbreak of war.<\/p>\n","protected":false},"author":1,"featured_media":15238,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[149,15],"tags":[189,1023,155,202,394,110,1016],"class_list":["post-15214","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-budget-analysis","category-employment","tag-israeli-arabs","tag-vocational-training","tag-economic-growth","tag-employment","tag-women-employment","tag-state-budget","tag-budget2024","author-fahima-abbas","post-type-policy-paper","category-149","category-15"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.1.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Arab Society in Israel and the Israeli Economy Will Be Weakened by the Proposed Budget Cuts in Employment Programs for Arab Citizens - Adva Center<\/title>\n<meta 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