Software developers drive rise in Israel’s high-tech job seekers
The number of job seekers in the two occupations increased to 8,650 in July, even as unemployment declined in other parts of the technology sector.
The number of job seekers working as software developers and application analysts rose by 9% over the past two months, from 7,950 in May to 8,650 in July. The increase is part of a broader rise in the number of unemployed high-tech workers. Their number grew by 3%, or roughly 500 people, from 16,400 in May to 16,900 in July.
The figures were published Thursday by the Israel Employment Service in its Labor Market Pulse report for July.
The increase among software developers and application analysts stands out because unemployment declined in other high-tech occupations. However, distortions caused by a wave of unemployment claims during Operation Roaring Lion in March and April make it difficult to determine whether the latest increase represents a temporary fluctuation or the beginning of a longer-term trend.
The figures also reflect a broader shift in Israel's labor market in recent years, characterized by weakening employment prospects among traditionally stronger groups and improving conditions among weaker ones.
The share of job seekers from Israel's highest socioeconomic clusters, 8-10, stood at 20.4% in July, up 3.4 percentage points from July 2023, before the war. By contrast, the share from the lowest clusters, 1-3, fell by 3.4 percentage points over the same period, from 40.8% to 37.4%.
The Employment Service registered approximately 8,100 "summer layoffs" in July. The term refers to teachers, educators and instructors who are dismissed at the end of the school year and rehired after the summer break.
The phenomenon, which once also existed in Israeli academia among junior faculty members, is now concentrated mainly in the Haredi community.
About 40,000 people registered as new job seekers with the Employment Service in July, meaning summer layoffs accounted for roughly 20% of all new registrations.
The impact is particularly visible among secondary school teachers. Their number of registered job seekers rose by approximately 43.7% between May and July, from about 2,300 to 3,300. The Employment Service estimates that many of these teachers are likely employed by Haredi seminaries.
Women accounted for 55.5% of all job seekers in July, up from 54.1% in June. Among new registrants, women represented approximately 58%.
The number of job seekers from Haredi society also rose sharply, increasing by approximately 24.4% in July. The share of job seekers in Haredi and mixed communities increased significantly, including in Modi'in Illit, where it rose from 2.6% in June to 4.1% in July; Beitar Illit, from 3.2% to 4.4%; Elad, from 2.3% to 3.7%; and Beit Shemesh, from 3.5% to 4.3%.
Haredi educational institutions also stood out during the war for placing employees on unpaid leave.
In the Employment Service's original, non-adjusted data, the number of job seekers increased from approximately 169,000 in June to 173,500 in July.
The trend data, however, tell a different story. The recovery from the distortions caused by Operation Roaring Lion continued, with the trend number of job seekers falling from approximately 177,600 in June to 171,600 in July.
The improvement is also visible on the demand side of the labor market.
According to Central Bureau of Statistics data, the number of vacant positions reached approximately 150,200 in May 2026, an increase of about 8,400 from the previous month.
As a result, the ratio of vacant positions to job seekers stood at approximately 0.81, or roughly four vacancies for every five job seekers. The ratio points to a relatively tight labor market, with employers continuing to face strong demand for workers.
