Misery deepens in the West Bank as Israel provides few Palestinian work permits

Palestinian Workers Face Economic Crisis After Work Permit Revocation

Hanadi Abu Zant hides in a mosque when her landlord calls the police. She hasn’t paid rent for nearly a year after losing her work permit for Israel, where she previously earned enough to support her four children.

“My biggest fear is being kicked out of my home. Where will we sleep, on the street?” she said, wiping tears from her cheeks.

Abu Zant represents approximately 100,000 Palestinians whose work permits were revoked following Hamas’ October 7, 2023 attack that ignited the ongoing war in Gaza. Confined to the West Bank, where employment opportunities are scarce and wages significantly lower, these workers face increasingly desperate circumstances as the economic situation deteriorates.

Many have sold possessions or accumulated debt to cover basic necessities like food, electricity, and school expenses. Some have resorted to paying inflated fees for black-market permits or attempted dangerous border crossings, risking arrest or being mistaken for militants.

Israel maintains that Palestinians have no inherent right to enter the country for work, with permit decisions based entirely on security considerations. An Israeli official, speaking anonymously in accordance with regulations, reiterated this position, emphasizing that such access remains discretionary.

The economic impact has been devastating. The World Bank has warned that the West Bank economy faces potential collapse due to Israel’s restrictions. By late 2023, unemployment had surged to nearly 30%, more than double the pre-war rate of around 12%, according to the Palestinian Central Bureau of Statistics.

Before the conflict, Palestinian workers in Israel—primarily in construction and service sectors—earned wages often double those available in the West Bank. These earnings injected approximately $4 billion into the Palestinian economy in 2022, according to the Institute for National Security Studies, an Israeli think tank. This figure represents roughly two-thirds of the Palestinian Authority’s annual budget.

Of the approximately 115,000 Palestinians whose work permits were revoked after the war began, only around 8,000 have been reinstated, according to both Israeli officials and Gisha, an Israeli organization advocating for Palestinian freedom of movement.

The economic crisis is compounded by decades of restrictions that have hindered development in the West Bank, which Israel has controlled for nearly six decades following its capture in the 1967 Mideast war. The territory is home to roughly 3 million Palestinians and over 500,000 Israeli settlers who face no similar movement restrictions.

The financial strain has forced many to seek alternative—and often perilous—solutions. Hasan Joma, who previously ran a business connecting Palestinians with Israeli employers, reports that brokers are now charging more than three times the normal price for a permit.

Though exact figures are unavailable, tens of thousands of Palestinians are believed to be working illegally in Israel, according to Esteban Klor, economics professor at Hebrew University and researcher at the INSS. Some risk their lives attempting to cross Israel’s separation barrier, which includes 30-foot concrete walls, fences, and military roads.

Shuhrat Barghouthi’s husband has spent five months in prison for attempting such a crossing. Before the war, the couple earned a combined $5,700 monthly in Israel. Now unemployed and approximately $14,000 in debt, she struggles to feed her children.

“Come and see my refrigerator, it’s empty, there’s nothing to feed my children,” she said. Unable to heat her apartment or pay rent for two years, she frequently finds her belongings thrown into the street by her landlord.

One notable exception to the permit cancellations involves Palestinians working in Israeli settlements. Of the approximately 48,000 who held such positions before the war, more than 65% have retained their permits, according to Gisha. Israeli officials did not address questions about this disparity.

Workers in settlements report increased security measures and greater precariousness in their employment status since the war began. Speaking anonymously for fear of retaliation, they describe security guards searching through their phones and permits being revoked arbitrarily.

Israeli employers have attempted to fill vacant positions with foreign workers, but many find this a poor substitute. Raphael Dadush, an Israeli developer, notes that while he understands the government’s security concerns, the absence of Palestinian workers has caused costly construction delays.

Assaf Adiv, executive director of MAAN Workers Association, which advocates for Palestinian labor rights, argues that some form of economic integration is essential to prevent “chaos.”

“The alternative to work in Israel is starvation and desperation,” he said.