Report: Ethnic, gender inequalities prevalent in Israeli workplace

Ashkenazi Israelis earn on average 15.9% more than Mizrahi Israelis, new Central Bureau of Statistics report finds • Analysis of recent years show only 22% of business are owned by women • Some 84% of business are owned by Jews, 14% owned by Arabs.

Central Bureau of Statistics finds gaps in salaries, business ownership

The Israeli workforce suffers from significant wage inequalities stemming from employees' ethnicity and gender, a Central Bureau of Statistics report released Sunday said.

Data shows Ashkenazi Israelis earn on average 15.7% more than Mizrahi Israelis: As of January 2015, Ashkenazim earn 9,449 shekels ($2,509) a month on average, compared to 8,165 shekels ($2,168) earned by Mizrahim.

Second-generation Ashkenazim, whose parents immigrated to Israel before 1989, earn 12,853 shekels ($3,413) a month on average, while second-generation Mizrahim earn 10,438 shekels ($2,772) a month -- about 23% less.

The CBS found that second-generation Mizrahim earn 27.8% more than their parents did per month, while second-generation Ashkenazim earn 18.8% more than their parents. Second-generation Israelis born to first generation native Israeli parents actually earned 15.5% less than their parents.

The CBS noted that monthly salary is a function of number of years of education and field of employment.

CBS statistics also showed the Israeli workplace is plagued by gender inequality.

According to data from 2012, 78% of businesses are owned by men, while only 22% are owned by women. Some 92% of businesses employing more than 20 people are owned by men, while only 8% are owned by women.

The highest percentage of female-owned businesses is in the welfare and education sectors -- 48% and 45%, respectively. The highest percentage of male-owned businesses is in the construction and transportation sectors -- 97% and 95%, respectively.

Out of all businesses, 84% are owned by Jews, 14% by Arabs, and 2% by others, the report said.

The highest percentage of Jewish-owned businesses is in the information and communications sector and in the entertainment sector -- 96% in each. The highest percentage of Arab-owned businesses is in the construction and transportation sectors -- 29% and 24%, respectively.

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