How the war has affected the economy

In the past few years, all over the world, many people have experienced the reality of losing a job or being unable to work. At its height, the global pandemic of COVID-19 made this a nearly universal experience in many countries. Unless you were an essential worker or fortunate enough to be able to work from home, you were at risk of being put on unpaid leave due to lockdown restrictions or losing work days because of the need to quarantine. As such, many people have at least brushed shoulders with the harsh reality of losing a job due to circumstances beyond their control.

Work and Mental Health

Losing a job can be difficult on many fronts: there is the material reality of paying the bills and providing basic physical necessities for oneself and one’s family. The anxieties and stress which may result from financial struggles can’t be overstated. However, the hardships of being out of work can’t be summed up by looking at the bottom line. To illustrate this point, consider people who retire: retirement is a stage of life that people are aware of ahead of time, and sometimes even anticipate eagerly. They can prepare in advance with savings and plans of how to occupy themselves. Yet even so, retirement is a known risk factor for depression. Work is tied to far more than a paycheck, potentially involving identity, life roles, meaning, pride, companionship and so much more. People who retire may find the transition difficult, finding themselves suddenly bored, aimless or lonely.

Economy and War in Israel

Ever since the war broke out in Israel on October 7th, the economy has taken a hit. History teaches us that it may take years for the market to recover from such an event. Countless families were and are still being affected, either because of being called to reserve duty, or because they worked in areas or sectors more severely affected by the war, such as tourism and agriculture.

In general, Israel’s economy is more robust than it was in the past. However, so many individual people and families have found themselves in challenging situations, and this is certainly true for the evacuees. Over four months into the war, tens of thousands of evacuees from the Gaza envelope and the north of Israel are still displaced from their homes and communities, and many still cannot work.


There are many rays of light. Many organizations and individuals all over Israel and abroad are finding ways to assist those most affected by the war. Here, at Yad Ezra V’Shulamit, we’re committed to doing our part, and you can help us. Over 3,600 families have received emergency support, and 400 new families are receiving food baskets since the start of the war.

Let’s stick together and do what we can. We shall get through this. Am Yisrael Chai!