30% of workers entitled to maanak avoda do not apply for it

The labor subsidy, aimed at low-income workers, is designed to encourage parents to enter the labor market despite the costs associated with raising children. Typically, workers with an income of approximately NIS 2,500 to NIS 8,000 per month are eligible to receive the payment. For single parents, the upper income threshold can reach about 13,000 shekels. The size of the payment depends on the level of income and the number of children.

The IRS study found significant differences between population groups. Among women, the level of realization of the right to receive a grant exceeds 75%, while among men it is about 61%. Although the gap has narrowed slightly between 2013 and 2023, it remains significant. The number of women eligible for payment is approximately 85% higher than the number of men, and the average size of payments they receive is also higher.

A particularly high level of program use was recorded among the ultra-Orthodox population – about 87%. By comparison, among the non-Orthodox Jewish population the figure is about 69%. Among the ultra-Orthodox, women are also more likely to apply for payment, but the difference between men and women is much smaller – 87% versus 82.5%.

The study also shows a marked improvement in the Arab and Druze sectors. If in 2013 the level of realization of the right to receive a grant there was significantly lower than among the non-Haredi Jewish population, then over the past decade this gap has practically disappeared among Druze and has narrowed significantly among Arabs.

In Arab localities, the proportion of grant recipients rose from less than 55% to more than 67%, and in Druze localities from 56% to 72%, above the national average.

The authors of the study note that factors such as the size of a settlement and its distance from the center of the country do not have a significant impact on the level of exercise of the right to receive payments.