Unemployment Holds Steady at 3.2% in January - Broad Jobless Rate Edges Up Slightly

Israel’s unemployment rate remained unchanged in January at 3.2%, representing approximately 145,200 people, according to the January 2026 Labor Force Survey published Thursday by the Central Bureau of Statistics.

The broader unemployment rate — which includes individuals on unpaid leave and those who have stopped actively seeking work — rose slightly from 4.1% (187,400 people) in December to 4.2% (191,600 people) in January.

Despite the marginal increase, both figures are considered extremely low by historical standards and are often defined as frictional unemployment, reflecting routine job transitions rather than structural weakness. The data indicate that Israel’s labor market remains tight.

Employment Rate Dips Slightly

The employment rate — defined as the share of employed persons among the population aged 15 and over — slipped from 60.7% in December to 60.5% in January. In recent months, the rate has fluctuated between 60% and 61%.

Since the outbreak of the war, the employment rate has not surpassed 61%.

The labor force participation rate, which includes both employed and unemployed individuals, also edged down slightly, from 62.7% to 62.5%, according to the CBS data.