According to a recently published OECD report regarding income inequality and the gap between the richer and the poorer segments of society in member states (i.e., advanced capitalist countries), Israel is now ranked in 1st place with the highest percentage of people living below the poverty line, over 21%, leading Mexico, Turkey, Chile and even the United States. On its way to this dubious distinction, the percentage of Israel’s population living in poverty has an increased more than 7% since the 1990s.
A huge banner in Tel Aviv during the massive social protest in 2011 (Photo: Al Ittihad)
According to the report, “Income inequality is rising. A quarter of a century ago, the average disposable income of the richest 10% in OECD countries was around seven times higher than that of the poorest 10%; today, it’s around 9½ times higher.” In Israel specifically the numbers are quite staggering, and it is ranked 3rd in the world, having the largest income inequality gap, behind Mexico and the United States.
Another unflattering category in which Israel excels is the inequality in wages between men and women. Men in Israel earn on average 22% more than women. This percentile ranks Israel 4th in the world behind South Korea, Estonia and Japan. The average in most countries is approximately 15%.
Histadrut head Avi Nissenkoren has commented on the OECD report that criticizes Israel for its poverty and inequality. “The serious data revealed in the report are the direct results of national policies and the fact that the issue of reducing social gaps still has not received a place in the government’s strategic financial goals,” said Nissenkoren. He added: “The uneven distribution of total income, along with the lack of equal opportunities, are the reasons for the gaps between the rich and the poor in Israel.”
The full report:
http://www.oecd-ilibrary.org/social-issues-migration-health/income-inequality_9789264246010-en
