The Treasury wants to copy the "Scandinavian model" in the education system. Former senior officials are divided
A Treasury plan proposes a root-and-branch reform of the education system, transferring teacher employment and school management to local authorities. Former Ministers and Directors-General of the Ministry of Education are divided on whether this is a necessary shake-up or a recipe for inequality.
In recent years, government investment per student has climbed, while achievements have declined — a red light for the Israeli economy, which relies on human capital. The crises of the COVID-19 pandemic and the war have deepened the hole, and now the Budget Department at the Treasury is preparing to present to the next government a root-and-branch reform of the education system, with an emphasis on elementary and middle schools.
Is the Scandinavian model coming to Israel?
The full reform plan relies on four central components:
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Mandatory core studies: Determining a uniform mandatory program for the entire public education system.
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Measurement and incentive system: Defining transparent criteria for examining achievements and rewarding by results.
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Budgeting per student: Managerial flexibility and a transition from the teaching hours method to a per-student budget.
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Decentralization to local authorities: Transferring the authority to establish and manage schools to local government.
The move is planned to be carried out differentially according to the economic strength of each authority to prevent widening gaps. "The situation today is that the inspectors have to inspect themselves. The health system works excellently because the Director-General of the Ministry of Health does not deal with a nurse's overtime hours," explains a source familiar with the details.
Parallel to decentralization, the plan proposes to strengthen the Ministry of Education as a regulator only, focusing on defining core studies, setting budgeting formulas, and supervising authorities. This is a model prevalent in Scandinavian countries, the USA, and most of Europe.
Very much money, few results
The field of education occupies the Treasury due to the economic damage caused by the erosion of human capital. In international comparison, Israel's education budget is the highest relative to the size of the economy, yet investment per student stands at 11,166 dollars compared to the OECD average of 12,438 dollars.
Treasury data shows that since 2013, real expenditure per student has jumped by 53.5%, but academic achievements do not reflect this increase. In international TIMSS tests, Israel is positioned near countries like the UAE, Qatar, and Romania. In a comparison of PISA test scores, Israel ranks at the bottom, presenting the worst cost-result ratio.
Urgent change is needed — but what kind?
The planned reform is sparking deep controversy. Prof. Yuli Tamir, former Minister of Education, attacks the initiative: "A series of delusional steps without feasibility is being proposed here. Strong authorities will succeed in bringing teachers, and the weak ones will be left with nothing." She warns that this will lead to prolonged strikes and deepen inequality.
Dalit Stauber, former Director-General of the Ministry of Education, adds that transferring teacher employment to local authorities is a dangerous move that could increase politicization and harm the status of teaching. "The discussion must also deal with contents and values that will strengthen social cohesion," she clarifies.
Conversely, Rabbi Shai Piron, former Minister of Education, believes the reform is welcome: "When they decide everything from above, it paralyzes initiative. There is no logic in a clerk in Jerusalem deciding how to build a school. In high schools, this employment method already exists, and it has proven effective." Michal Cohen, another former Director-General, agrees: "A system obsessively controlled by the state does not allow for flexibility. It should be done gradually, but the system needs a shake-up."
