Israel ranks among worst OECD countries for gender pay gap, report finds
The gender pay gap in Israel stands at 20.8%, placing Israel behind South Korea, Japan, and Estonia in the ranking of developed OECD countries
A recent report published by the Adva research center highlights a troubling picture of gender inequality in Israel’s labor market.
Despite significant advances in women’s education over the past two decades, the wage gap between men and women has changed very little.
The latest figures, from 2022, show that the average pay gap for full-time workers stands at 20.8%, placing Israel fourth among OECD countries with the largest disparities—behind South Korea, Japan, and Estonia.
A look at the long-term trend underscores how little progress has been made: in 2005, the gap stood at 21.9%, meaning wages have shifted by only about one percentage point over twenty years. This stagnation persists even though women today achieve higher levels of education than men.
One of the most striking findings concerns the relationship between education and earnings. Women are now more likely to hold advanced degrees, 53% of Jewish women have university qualifications compared with 43% of men. Yet instead of narrowing the gap, higher education appears to heighten it. Among workers holding a master’s degree or doctorate, the median monthly salary gap reaches 35% in favor of men.
Differences also emerge between population groups. Among Jewish employees, the median wage gap reaches 33%, while among Arab workers, it stands at roughly 29%.
Researchers attribute these enduring disparities to structural and social factors.
Occupational segregation remains central: women are still concentrated in lower-paid fields such as caregiving, education, and service professions, while men continue to dominate high-tech sectors, financial industries, and engineering. At the same time, many women reduce working hours or take career breaks due to childcare and household responsibilities, resulting in a long-term “motherhood penalty” that depresses their earning capacity.
The report concludes that despite major educational gains, deep-rooted gender expectations and labor-market structures continue to limit women’s economic equality in Israel.