'Israel economy to shrink 2% as war sidelines workers'

The Israeli economy is expected to shrink by 2% this quarter due to the war with Hamas, leading to a spike in unemployment. About 900,000 people were called up to fight, resulting in a significant portion of the work force being missing from the labor market. The number of people filing for unemployment benefits since the start of the war is 191,666. The tourism, construction and agriculture sectors are experiencing severe labor shortages, as Palestinian workers have been barred from entering Israel.