Friars No More – Time To Pay Israeli Soldiers What They’re Worth

Imagine a country where leaders praise the sacrifices of their bravest soldiers, yet those same soldiers are exploited economically. This is the reality for conscript soldiers in Israel, whose motivation and sense of duty are taken advantage of by paying them well below minimum wage. There is a better way—one that addresses this injustice, creates a more equitable society, and ensures all citizens, including Arabs and Haredim who do not currently serve, share the responsibility of national security.

Economist Milton Friedman once described the “implicit tax” on conscript soldiers: the gap between what they are paid and what they would earn in a fair labor market. In Israel, this is stark—combat soldiers receive NIS 2,500 monthly, while junior policemen, firemen, teachers, and nurses earn over NIS 8,500. This NIS 6,000 difference is an unfair burden borne only by conscript soldiers. Friedman argued that it is fairer for all citizens to contribute through taxes, enabling soldiers to receive market salaries and ensuring the military remains effective and professional.

For decades, Israel has struggled with the issue of burden-sharing, particularly regarding the Haredi draft exemption. Transitioning to a volunteer army funded by a broader tax base would mean that all citizens contribute financially, regardless of whether they serve. Historically, societies have shifted from selective conscription to systems where everyone shares the burden. In Israel, replacing conscription with a universal tax would allow groups like Israeli Arabs and Haredim, who currently do not serve, to contribute more equitably to national security.

This approach aligns with democratic and libertarian principles, which hold that restricting the freedom of young people is a serious matter. Conscription can be seen as a violation of individual rights, conflicting with Israel’s Basic Law on Human Dignity and Liberty. At a minimum, young people should have a voice in the discussion, with their interests represented independently. Organizations focused on soldier welfare have not adequately advanced their economic interests.

Economically, a shift to a voluntary army with market wages is feasible. Fairly compensating soldiers would cost about NIS 12 billion annually—a fraction of Israel’s budget. A modest increase in sales tax could cover the cost. A volunteer army could also boost the economy, allowing more young people to enter the civilian workforce earlier.

The feeling of being exploited is real, and according to security experts, it contributes to a recruitment and leadership crisis in the IDF. In the early years of the state, conscription was necessary for survival. But after 75 years, with Israel now a regional power and only about half of eligible young people actually serving, the current system no longer makes sense. Demographic trends, with Israeli Arabs and Haredim soon to make up half of first graders, further suggest the current approach is unsustainable.

Combat soldiers’ pay remains well below the minimum wage. Palestinian and foreign workers, and even yeshiva students, often earn more than Israeli conscripts. Political and military leaders call military service the nation’s most important work, yet little is done to improve soldiers’ pay.

A volunteer army would address this economic exploitation and foster a more equitable society. It would ensure all citizens contribute fairly, regardless of their willingness or ability to serve. Young Israelis drafted into the army have a high level of intrinsic motivation, shaped by an education system that emphasizes sacrifice and national service. Yet this motivation is being exploited when soldiers are paid far less than they deserve.

Offering fair salaries, educational support, and housing assistance would help attract and retain talented soldiers. By moving to a volunteer army, Israel would show it values its soldiers’ dedication and make service a true choice, not a financial burden.

In conclusion, it’s time for Israel to honor the sacrifices of its conscript soldiers by embracing a new model—one that pays them what they’re worth, shares the national security burden more fairly, and strengthens the country’s democracy. A volunteer army, funded by a modest tax increase, would create a more just and sustainable system for all.