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Human Capital in Israeli Tech Industry

Tech sector has contributed significantly to economic growth in Israel and it must be also Tech sector that will drive Israeli economic in the future. Needless to say, the salary of tech professions is continuously growing. However, an increasing shortage of tech professionals has become a serious problem in Israel. Start-Up Nation Central launched a survey about this problem in 2017. In 2018, they collaborated with Israel Innovation Authority (IIA) and released new report on the shortage of tech professionals.

The survey in 2018 is focused on the number of open positions in tech sector and it clarified the fact that the number is estimated to be about 15,000.


(Source: Human Capital Survey Report 2018)

As can be seen in Figure 1, there is much demand for Software and Product Infrastructure. Figure 2 indicates that Fintech and Cyber security sectors struggle to find talented professionals. Most of companies in Fintech or Cyber security sectors have explored use case of blockchain but they have no choice because of the serious shortage problem especially in blockchain area, in this is why we see initiatives in Israel like Blockchain Academy together with Microsoft to create more awareness and to move talent into new verticals.


In order to offer tech professionals at a lower cost, Israeli tech companies are establishing R&D offshore presence in other countries such as Ukraine and Russia. On the other hand, the Israeli government established so convenient and rapid process to obtain a special visa for tech companies in the spring of 2018, so they can more easily to engage talented people from foreign countries. Furthermore, the Israeli government set a goal of a 40% increase in the number of students major in tech related area by 2022.

Israel is also leading the world in that the solutions against the shortage problem.

(参考 | Sources)

Human Capital Survey Report 2018



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