Wage Differentials in the Israeli Manufacturing Sector
Author: Israel Luski, Jimmy Weinblatt, Yehezkel Gutmann, Dan Zakkai Policy Research

Manufacturing in Israel is a preferred sector employing about 25% of the labor force. The preference of this sector in the government’s policy, and the attempt to encourage workers’ mobility from other sectors of the economy to manufacturing, stem from the contribution of manufacturing to economic growth and the balance of payments.

This paper examines the industrial wage structure from several angles. The first is the distribution of wages in industry and its main sectors. The paper describes the highly heterogeneous structure of Israel’s industrial sectors with regard to the level and distribution of wages.

This paper appears as a chapter in the Center’s annual publication, Israel’s Social Services 1986-1987, and is available upon request.

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