32,000 hotel workers receive 6% raise
The Histadrut (General Federation of Labor in Israel) and Israel Hotel Association have signed a new collective labor contract for the industry's 32,000 employees. The agreement will apply to most hotels in Israel, and will apply to all of them after the Ministry of Industry, Trade and Labor issues a directive to expand the agreement. Hotel employees will receive a 4% pay raise in 2011 and further 2% raise in 2012, and will also get a one-time bonus of 10% of their monthly salary.
Central Bureau of Statistics reports that the average gross monthly salary in the accommodations and catering industry is NIS 6,229. However, Hotel Association labor committee chairman Aharon Shaham says that 40% of industry employees earn the minimum wage as their base salary, onto which various supplements are added.
The Histadrut is proud of the collective labor contracts it has signed in recent years in various industries. It says that, in some cases, they are instead of raising the minimum wage.
However, Hotel Employees Union chairman Freddie Cohen told "Globes", "An increase of over 6% in the minimum wage is better than the increases achieved in this agreement."
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