Israel's foreign labor rate is the highest in the industrialized world, except for the U.S. A comparative study commissioned by the Knesset found, however, that the rate of employment in agriculture is lower than the Western average - at 2 percent of the work force, compared to 3 percent in the U.S. and almost 5 percent in the European Union.

The review, requested by MK Shelly Yachimovich, was debated yesterday by the Finance Committee, which decided to promote a bill that would subsidize employing Israelis in agriculture, as a way of replacing foreign laborers. The committee decided unanimously to push the legislation sponsored by Meretz's Ran Cohen, over Finance Ministry objections.

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The study examined the extent to which various countries employ foreigners in farming and if they encourage employing local citizens in the sector. In general, most European farms are family owned and most of the labor comes from within the family. Many hired hands in farming are seasonal workers from neighboring countries. Preference in granting work visas is awarded to citizens of Eastern Europe over citizens of non-European Union countries, and the visas are usually for a matter of months. Israel grants migrant laborers five-year work visas.

In countries that accept foreign laborers for the farming sector for a year or more, such as Ireland, Canada and Switzerland, the employer must obtain a permit from the employment bureau confirming that he was unable to find local labor to do the jobs he is offering.

Israel employs 29,000 foreigners and treasury efforts to reduce their numbers through fees and taxes have failed.

In Germany, the state has directed more and more unemployed people to farming jobs in the past two years and conducted an ad campaign directed at employers on the importance of local labor. In 2006, Germany also cut by 20 percent the number of permits granted each farmer to employ foreigners.

Switzerland has a very high foreign labor rate - 26 percent - but high fees for employing foreigners in farming have held that sector down to 8.5 percent.