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Israeli Unemployment Drops to 2.8% in August as Labor Participation Dips

Israel's unemployment rate dropped to 2.8% in August 2026, with prime-working-age employment at 78.6% and full-time roles increasing.

TPS wire reportTPS
Published by IsraelFM

Jerusalem, 29 September, 2026 (TPS-IL) — JERUSALEM — Israel’s Unemployment Rate fell to 2.8% in August 2026, down from 3.1% in July, according to seasonally adjusted Labor Force Survey data released by the Central Bureau of Statistics.

Labor force participation among Israelis aged 15 and over edged down to 61.8% from 62.2% the previous month, while the overall employment rate fell slightly to 60.0% from 60.3%. Among prime-working-age adults (25–64), employment stood at 78.6%, with unemployment dropping to 2.7%.

Despite modest dips in total participation, the share of full-time workers among all employed Israelis rose to 78.4%, up from 77.5% in July. The figures point to a tight labor market characterized by robust full-time employment trends.