"The average monthly income of the upper decile is 12 times greater than of the lowest: NIS 66,584"

The average monthly income of the upper decile is 12 times greater than the income of the lower decile - according to a report from the Ripple Center, published Wednesday, which shows an increase in income gaps between the rich and the poor. In addition, the report shows that most rental income goes to the top deciles and that the middle class in Israel is the smallest in the OECD countries.
According to the report, in 2018, the average gross income of households headed by an employee was NIS 66,584 in the top decile - compared with 5,501 in the lower decile only. In the last three years, from 2016, the income of the Upper Maon - the high percentage in the upper decile - has increased by 20%. In contrast, the income of the fifth decile increased by only 10%. The most prominent issue in the report is the increase in income in the upper echelon: Thus, in 2018, hiring from the upper echelon earned an average of NIS 138,000 - eight times higher than that of the fifth decile. It is also significantly higher, 2.4 times, than the average income of the remaining nine mons in the top decile.
Ripple Center defines private rental as an arrangement for transferring capital from low-income strata to established strata. In 2018, 10% of all households had two or more apartments, with most of the apartment or additional apartments generating income from rent payments or yielding an increase in the value of the property. "Financial apartments" are the property of the mainly established strata. 35.2% of households in the upper decile owned two or more apartments - compared to 14% of households in the eighth decile and 5.3% of the households in the fifth decile.
In 2018, total rental income was NIS 17.06 billion. Of this income, NIS 7.18 billion reached the top decile, 3.1 billion for the ninth decile and 1.7 billion for the eighth decile. In other words, the top three deciles together received 70% of total household income, with the top 10 alone earning about 42% of that income.
On the other side of the barricade are those who do not buy an apartment and go to the private rental market. The proportion of Israelis living in rents among all households increased from 24.3% in 1997 to 28% in 2018. During this period, the rise in the rental rate was particularly noticeable among young couples, married between the ages of 20-24 and middle-aged households 4 to 7.
The report shows that while growth has been growing, wages are growing at a low rate. In the past, in the two decades between 1968 and 1989, the increase in GDP per capita was accompanied by a parallel increase in real wages. In 2013-2014, the gap between the GDP growth rate per capita and the real wage growth rate peaked.
In 2017, 22.6% of employees in Israel received low wages. This figure places Israel in a high, and not very, flattering place, compared to Western countries where the average rate is 15.4%. In the OECD, low wages are defined as wages that do not exceed two-thirds of the median wage in the economy, and include only full-time employees.
In 2017, the rate of earning a minimum wage was 33.6%. In 2015, however, it stood at 30.8%. This is evidence that many of the jobs added to the economy were at minimum wage. The largest increase was recorded especially among those earning a living in the ultra-Orthodox settlements, which is 55%. In the Arab localities, it stands at 45%, in the development towns at 37%, in the non-ultra-Orthodox settlements 31% and in localities based on 26%.
The report found that the pay pyramid by origin, gender and nationality did not change. In 2018, at the top of the wage table were Ashkenazi men who immigrated to Israel until 1989, with an average salary of NIS 18,772. After them, second-generation Ashkenazi men with NIS 16,483.
In 2018, almost half of the households headed by adults or adults aged 67 and over had no pension income at all - 44.7%. Overall, in 2018 to 20.7% of households, headed by either salaried or self-employed, there was no pension provision at all.
Only 47.2% of households in the lower decile, headed by a salaried or self-employed person, set aside pension savings. In the second decile, the rate was 63.8% and in the third decile it was 74.9%. From the fourth decile onwards, the pension savings allowance rate ranged from 83% to 88%. The report shows that only 53.8% of Israeli households are middle class. Thus, Israel is the middle class of the shriveled in the OECD - smaller than that of all European companies in the organization, except Estonia and Lithuania.
Connection of households below the poverty line and of households close to poverty (households whose income is in the range between the poverty line and 25% above the poverty line) indicates that between 2003 and 2012, both strata encompassed about 28% of all households. In 2016, it was down 26.6%. In 2018, there was another decline in the incidence of official poverty and, together with the population of poverty, the overall rate was 26% of households - one in four families. It should be noted that part of the decline in official poverty incidence in 2018 is explained by a missing sample of the population in East Jerusalem.
Overall, the inequality has narrowed slightly but is still very high: The most recent Gini index released by the National Insurance Institute for 2018 is 0.3559. This is the lowest figure in about two decades. However, it is still higher than most OECD member states.
Only 32.7% of those aged 17 in 2010 reached one of the higher education institutions in Israel by 2018. Education data also show that in 2018, children up to the age of 18 on auxiliary rates and classes increased with the economic status of the household. In Jewish households, spending per child on auxiliary classes and classes at the highest level averaged NIS 401 a month - ten times that of a child who is below or near the poverty line. In Arab households, spending in the middle tier averaged about NIS 100 a month - five times that of a child below the poverty line.
Israel is ranked high among OECD countries in terms of public health system performance. In 2017, the infant mortality rate was 3.1 per 1,000 live births, a rate that placed Israel in the 9th