'Action needed': Thousands of high-tech workers have left Israel since Oct 7

A new report by the Israel Innovation Authority (IIA) has determined that between Oct. 7, 2023, and July 2024, approximately 8,300 Israelis working in high-tech professions relocated to various destinations around the world. This amounts to over 2% of the entire high-tech workforce, according to the report published on Monday morning. 

In the second half of 2022, an average of 480 high-tech workers left Israel every month. Between January and September 2023, during the judicial revolution, this number increased to 570 per month, and since the outbreak of the war until July 2024, the figure has surged to 826 per month on average. 

The report also revealed that, for the first time in a decade, there was a decrease of about 5,000 employees in the high-tech sector in Israel. The CEO of the Israel Innovation Authority stated, "In a period of security, political, and economic uncertainty, the data point to challenges that require immediate attention." 

According to IIA, this is a clear sign of the weakening of the growth trend that led Israeli high-tech over the past decade. Additionally, the proportion of high-tech employees out of the total workforce has remained around 11.4%, with no significant change in the past three years, after growing rapidly between 2012 and 2022 from around 210,000 employees to 395,000 two years ago. 

Out of the approximately 390,000 employees in the industry in Israel, around 250,000 work for Israeli high-tech companies – both private and public – and about 90,000 work for multinational companies. Additionally, about 50,000 employees work in IT companies and in providing technological services. 

Dror Bin, CEO of the Israel Innovation Authority stated, "To ensure the future of Israeli high-tech, a combined effort from both the government and the industry is required – investing in human capital, improving skills, bringing back workers who left Israel, and expanding business operations here, in the country."