Abstract

Unemployment and underemployment of the Palestinian minority in Israel are viewed as a major concern by the Palestinian population as well as by the state (Ben-David et al., 2006; Lewin-Epstein et al., 1994; Semyonov and Lewin-Epstein, 1994). Employment rates of the Palestinian minority in Israel are significantly lower than those of the Jewish majority. Aside from the government, there are other institutions and NGOs that report on the severity of the problem, including the Israeli Central Bank (Yashiv and Kasir-Kleiner, 2009), the Ministry of Industry, Trade and Employment (MITE) (MITE, 2010), the Israel Democracy Institute, Adva Center (Jabarin, 2010; Swirski et al., 2008), and Sikkui (Haider, various years). The Organization for Economic Co-operation and Development (OECD) has identified the low employment rates among Palestinians in Israel as a core government priority in need of immediate intervention (OECD, 2010).

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