The unemployment rate fell by 0.1% to 8.7% of the civilian labor force in August 2006, despite the second Lebanon war, the Central Bureau of Statistics reported today. The number of unemployed fell by 2,832 persons to 246,400.
Unemployment fell by 0.2%, or 5,564 persons, from 8.9%, or 252,000 persons in source figures, during the second quarter.
The unemployment rate fell in June-August after rising by 0.2% in January-May. However, the number of business sector employees fell by 0.2%, or 4,000 persons, to 1.8 million, in July, when the war broke out. The business sector added 13,000 net new jobs in January-July, an increase of 1.4%, and 115,000 jobs since October 2004, including 52,000 since August 2005.
Jobseeker
The Israel National Employment Service reported a 0.2% increase in the number of jobseekers in September, compared with August, to 217,000. This was the first increase in 12 months, in trend figures.
Employment Service sources told “Globes” that the trend reflected the drop in government allocations in recent months for special employment programs for single mothers, populations with special needs, and other groups. “If we continue to see a drop in government allocations, the trend will presumably strengthen,” they said.
The Employment Service added that 23.8% of jobseekers reside in Arab towns and 16.1% in development towns. Whereas the national average of jobseekers is 6.8% of the civilian labor force nationwide, it is 11.4% in the south, 10.2% in the north, 4.2% in Jerusalem and 4.1% in the Dan region.
Published by Globes [online], Israel business news - www.globes.co.il - on October 25, 2006
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