JERUSALEM, March 20 (Reuters) - Lufthansa has signed a new two-year collective agreement with its workers' union in Israel that will give dozens of employees higher wages and holiday bonuses, Israel's Histadrut labour federation said on Wednesday.

The deal will apply to all the German airline's employees in Israel and will be valid for two years retroactive from January 2024 until the end of December 2025.

According to the agreement, the basic monthly salaries of employees will be increased by 6% and they will receive another 3% for good performance. Twice a year, on Passover in the spring and Rosh Hashanah in autumn, workers will receive gifts for the holidays of hundreds of shekels.

"The agreement is Lufthansa's expression of confidence in its operations in Israel and its employees," said Roy Blitental, head of Histadrut's Transport Workers Union.

Lufthansa was one of the first foreign carriers to resume flights to Tel Aviv after the outbreak of the war sparked when gunmen from Palestinian Islamist group Hamas attacked Israel on Oct. 7.

(Reporting by Steven Scheer; editing by Jason Neely)