The average monthly salary for employees rose by about 4.5% to NIS 15,098, a considerable rise from NIS 14,655 in the same period last year, the National Insurance Institute reported.
The report details pay data for the first half of 2025, based on monthly employer filings introduced during the COVID-19 pandemic.
The gap between men and women widened, with men earning an average of NIS 18,441, 54% higher than women at NIS 11,940. The median monthly wage stood at NIS 10,586, leaving a 43% gap between the median and the average.
The NII noted that the data are derived from the monthly Form 100 filings mandated since 2020, which require employers to report all salaried staff and pay.
Small employers dominate the economy: firms with up to 19 workers account for about 92% of employers and 24% of jobs. At the other end, only 1.5% of employers have more than 100 employees, yet they hold 58% of positions.
In the first half of 2025, employers reported 4,032,894 positions with total wage payments of NIS 55.3 billion. Most employers, about 73%, have up to five workers and, together, account for 11% of jobs.
Where salaries are highest and lowest in Israel
Herzliya, among the country’s 27 largest cities, posted the highest average salary at NIS 22,951, followed by Ra’anana (NIS 22,565), Modi’in (NIS 22,512), and Tel Aviv (NIS 22,359).
The lowest averages were recorded in predominantly haredi (ultra-Orthodox) or minority-sector cities: Modi’in Illit (NIS 8,161), Rahat (NIS 9,548), Bnei Brak (NIS 9,563), and Nazareth (NIS 9,924).
Large gaps between average and median wages also appear at the municipal level. Jerusalem reported 287,984 salaried employees with an average of NIS 11,415 and a median of NIS 8,402. Tel Aviv-Jaffa had 203,377 employees with an average of NIS 22,359 and a median of NIS 14,311.
By median pay, Modi’in leads with NIS 16,402, while Herzliya is second at NIS 14,525. Ra’anana, Tel Aviv, and Ramat Gan follow, each with a median above NIS 14,000, with Kfar Saba and Rosh Ha’ayin just below.
Cities at the bottom of the salary table also sit at the bottom of the median salary list, underlining persistent disparities outside of the Center.
The highest average and median salaries in the first half of 2025 were in the electricity, gas, steam, and air-conditioning supply sectors, and in information and communications. In the utilities sector, the average salary reached NIS 31,922 with a median of NIS 28,612. Below them were mining and quarrying, finance and insurance, and industry. The lowest were accommodation and food services, arts, entertainment and recreation, administrative and support services, and, notably, education.
Acting NII Director-General Zvika Cohen said the findings demand long-term policy.
“Deep social disparities require an economic strategy over the years. Strengthening wages in welfare, health, and education is not only a social policy, but it is also Israel’s moral duty for economic stability and national resilience,” he said.