A representative of the Ministry of Finance said economic damage from prolonged reserve service is estimated at about NIS 50,000 ($16,700) per soldier.By Pesach Benson, TPSProlonged reserve duty is already damaging employment prospects for thousands of Israelis and risks inflicting long-term harm on the country’s economy, Israeli lawmakers were told Wednesday.Experts told the Knesset Labor and Welfare Committee that measures were urgently needed to address job losses, business disruption, and weakened labor-market integration.Committee members cited National Insurance data showing about 23% of reservists are not working, either as employees or self-employed, with about 78% of them aged 20-30.They warned that early labor-market exclusion could lead to long-term unemployment, lower wages, and psychological harm, along with broader macroeconomic damage.“Half of the reservists worked over 150 days; 20% worked over 300 days. These are people of working age who keep the economy running in routine and emergency situations,” said Yesh Atid MK Vladimir Beliak, who initiated the discussion.“Forty-one percent reported being fired or forced to leave their jobs; 14% of the wives of reservists who are employed were fired or went on unpaid leave. This data is going to accompany us for years to come. We must act on the issue and also talk about the elephant in the room—as long as reservists work so many reserve days a year, it will be impossible to get through this event without harming every area. If we don’t solve this—nothing will help,” he insisted.Ofir Tal, of the Association for Reserve Service Members, said:“The truth must be told—as long as reserve service members are called up for such a high number of reserve days, employers will hesitate to employ them at all.“To date, the state has not prepared a systematic plan that will incentivize employers to employ and retain these employees. The same applies to the cancellation of projects for the self-employed. There is no compensation for this and some people have closed their businesses.”Shirley, a reserve officer and law firm intern, described growing hesitation among reservists to disclose their service. She said colleagues are increasingly afraid it will harm their job prospects.“Instead of something that is said with pride, it has become something that is feared to be brought up,” she said.Attorney Bar Shoham of the Reservists’ Wives Forum called for permanent legislation to protect reservists’ rights and expanded support for spouses during rehabilitation periods.She also urged a structured program to incentivize employers to hire reservists.Representatives of the Ministry of Labor and the Employment Service outlined existing reintegration efforts. Ofir Pinto from the Employment Service said the state has expanded job programs for reservists for a second year running.He said 25,000 people were treated last year, with about NIS 10 million ($3.3 million) invested, and that placement rates currently stand at 40%.“We expanded eligibility to include reserve service women and added psychological support,” he said. “The goal is to expand the basket of benefits and help reservists integrate into the labor market.”A representative of the Ministry of Finance said economic damage from prolonged reserve service is estimated at about NIS 50,000 ($16,700) per soldier, with a projected total cost of around NIS 150 billion ($50 billion) for 2023-2026.“Reserve service members are the same productive public that works, serves, and contributes, and a great burden is created here on one public,” said Yisrael Beiteinu MK Sharon Nir.“The dedication of those reserve service members is not self-evident and over time it will not last because when they serve, they cannot work or learn to take care of their families and the families collapse. There is an event here that needs to be addressed and we cannot avoid it.”Committee chair MK Michal Waldiger called for a reduction in the burden on reservists and stronger support systems during and after service. She also asked ministries to clarify what measures they are prepared to implement.The post Extended reserve duty driving job losses and long-term economic risks, lawmakers told appeared first on World Israel News.