The amount of net wage payments transferred to workers in the economy in the third quarter of 2022 (July-September) reached a new record of NIS 84.8 billion. This is an increase of 8.3% compared to the corresponding quarter in 2021 in which the scope of net salary payments was NIS 78.3 billion, and an increase of 0.3% compared to the salary payments in the second quarter of 2022 (April to June) which were NIS 84.5 billion. The figure indicates high wage and employment volumes and teaches that the economy at this stage is not approaching a recession.
The data are from the MSAB company (Banking Clearing Center) from the months of June-September 2022, which are published exclusively in “Calcalist”. The MSAB data include more than 90% of the salaries in the economy. The monthly record (as opposed to quarterly) in the volume of net salary payments was recorded in June of this year and was NIS 30.6 billion. This is due, among other things, to the fact that the month of June is the month in which the majority of the recovery fees are paid in most of the economy, and the addition of credit points was also paid this year. In September, net wages were paid in a total amount of NIS 28.1 billion.
The average net salary paid in the economy for the September 2022 salary was NIS 7,765. This is a net salary after all deductions and allowances from the salary in contrast to the Central Bureau of Statistics which measures an average gross salary. The average net salary for the September 2022 salary is 4.6% higher than the salary for the September 2021 salary, which was NIS 7,425. However, it is slightly lower than the March 2022 salary in which the average net salary was NIS 7,771, and of course the average salary in June (8,292 net, including the various supplements).
According to MSAB data, the scale of employment in the economy in July recorded a record figure of 3.734 million Israelis. This is due to a lot of seasonal employment in the fields of tourism, camping and summer camps. This is a 1.1% higher figure compared to June 2022, when salaries were transferred to 3.694 million Israelis. The figure for the July 2022 salary is 4.2% higher compared to the July 2021 salary that was transferred to 3.585 million Israelis, meaning that about 150 thousand Israelis were added to the salary recipients in July this year compared to last year.
The previous record figure for the number of net wage earners was recorded in the January 2022 salary, which was transferred to 3.727 million Israelis, meaning that over 7,000 Israelis were added in July compared to January. The increase in salaries in July takes place despite the seasonal layoffs of contractor workers in the field of education in the summer. It is likely that at least some of the additional workers are teenagers. In September, after the end of the holiday and the jobs it creates, salaries were transferred to only 3.617 million people.
CEO of MSB: Odalia Moshe Ostrovsky, said that “the net salary figures in the 3rd quarter of 2022 indicate the stability of the Israeli economy and a high level of employment.” She notes that the median salary is also on an upward trend and this indicates that “net salary growth It also permeates the low-wage earners.”