What will happen if a million Israelis work in high-tech?
Yair Lapid received quite a bit of criticism following his announcement of "a million high-tech workers", so maybe not a million, but an influx of workers into the industry will not only not hurt other industries, but will do good to the wages of those employed in them.
Will the startup nation rephrase the rules in the job market as well?
Between Ashkenazi
17/02/2022
Thursday, 17 February 2022, 10:53 Updated: 11:16
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"A million Israelis in high-tech" This is the vision that Foreign Minister and Deputy Prime Minister Yair Lapid pointed out earlier this week during a celebratory cabinet meeting hosted by OECD Secretary General Matthias Korman. Compared to Lapid, Finance Minister Avigdor Lieberman was more modest There are currently about 380,000 workers in the industry.
But what is happening in the Israeli labor market? Do only high-tech workers have no hands?
According to data received by Walla! This is the second profession where working hands are lacking is waitresses with about
8,500
job vacancies compared to about 700 job seekers in the field. Also in the food sector there is a demand for about 2,000 jobs compared to only about 100 job seekers.
Job seekers in the field of nursing in private homes, compared to about 4,000 jobs.
According to the employment report for February of the job site AllJobs, it appears that in the last month the demand has risen in jobs that are not directly related to high-tech.
For example, there are 5,729 administration jobs, and 5,410 jobs related to finance and economics, compared to 3,556 jobs in the software field.
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You will be surprised, but other professions will also earn more (Photo: ShutterStock)
The increase in wages in high-tech will result in an increase in wages in the other required professions
Dr. Eran Hoffman, a labor economics expert from the Department of Economics at the Hebrew University
, explained to Walla! positivity.
This is because productivity in high-tech is much higher than in other areas of work.
"High-tech workers and their employers pay taxes at the highest levels, which will enrich the state coffers and allow the government to provide public services at a level we are not used to."
"But I want you to ask another question," says Dr. Hoffman, "the more relevant question is is it at all practical?
History teaches us that big changes in the field of work such as what the government wants to do now with high-tech have happened in the past so it is possible.
To the historical figure it should be added that the general direction of the world is extensive vegetation of the high-tech sector.
The sectors of the computing sector are experiencing huge growth all over the world. Israel is leading this move. "
And yet what will be done with the other jobs that lack working hands?
"
By and large what we want is for the allocation between sectors not to be managed from a clerical office but according to the needs of the market.
And the way the market says what it wants is by wages, and the high wages in high-tech indicate that there are great benefits to transferring workers to it. "
And what about the professions required in the economy,
"It is not that tomorrow morning there will be a million Israelis in high-tech, but it is true to say that the high-tech sector is growing in high numbers. By and large, the influx of high-tech from one profession to another will cause It will become extinct or can be given up, so that in fact the demand for high-tech can lead to an increase in wages in other required professions. "
Deputy Foreign Minister and Deputy Prime Minister Yair Lapid.
His plan has provoked criticism, but experts believe it will benefit the labor market (Photo: Reuven Castro)
Of money
Tags
Yair Lapid
Hi-Tech
wage