Minimum Wage to Reach 5,300 Shekels by 2017

The Histadrut national labor union and the Federation of Israeli Employers have agreed to raise the minimum wage to 5,300 shekels ($1,334) by 2017, approximately half the average salary in Israel.

The employers and the union previously agreed to a three-stage hike in the minimum wage. The latest agreement adds a fourth stage whole pegging the minimum wage at 47.9 percent of the national average instead of 51.9 percent.

The first stage in the increase takes effect Wednesday, April 1, when the minimum wage will be 4.650 shekels ($1,170).

The next increase won’t be until July 2016.