Israel

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Country Snapshot

The GPS Country Snapshot includes 25 sections of information about labor law compliance in Israel. See a sample of popular sections below.

Termination of Employment

Israeli law requires employers to provide advance notice of dismissal to employees. The notice must be in writing and indicate the date of entry into the workforce.

Wage workers are entitled to the following notice periods:

  • During the 1st year of service - 1 day for each month of work
  • During the 2nd year of service - 14 days, plus 1 day for every 2 months of work in the 2nd year
  • During the 3rd year of service - 21 days, plus 1 day for every 2 months of work in the 3rd year
  • After 3 years of service - 1 month.

Salaried workers are entitled to the following notice periods:

  • During the 1st 6 months of service - 1 day per month of service
  • During months 7 through 12 - 6 days plus 2.5 days per month of service beyond 6 months
  • After 1 year - 1 month.

Employees on probation are also entitled to notice ranging from 3 days to 2 weeks. The notice period can be waived, in part or entirely, by paying compensation to the employee in place of notice. If employers fail to give advance notice to a dismissed employee, they will be liable to pay compensation equal to the regular salary of the employee for the duration of the notice period. 

Work Permits

Foreign nationals who wish to work in Israel must obtain a work permit. Employers apply for a visa and work permit on behalf of their employees. They must submit a copy of the labor contract to the Ministry of Interior. The permit is granted for at least one year, a maximum of 3 years, and can be extended for five years in total.

Before hiring a foreign worker, employers should ensure the following:

  • The employee should have received approval from a medical institution in the country of residence at least three months before their entry into Israel.
  • The employer must enter into a written labor contract with the employee.
  • The employer must arrange for health insurance.
  • The employer must provide or arrange for appropriate accommodation for the duration of work.

Paid Annual Leave

Israeli labor law grants all female employees 26 weeks of maternity leave, 7 weeks of which can be used before the delivery date. They must have worked for at least 12 months at the same workplace to be eligible for maternity leave. An employee can choose to shorten the leave, but it can not be less than 15 weeks. In case of complications during birth or pregnancy, maternity leave can be extended by 4 weeks. For multiple births, maternity leave is extended by 3 weeks for each additional child after the first. If, after birth, the child has to be hospitalized for more than 2 weeks, maternity leave can be extended by a maximum of 20 weeks. 

Employees become eligible to receive a maternity allowance from the government after they have worked for 6 months for the same employer. The National Insurance Institute of Israel pays maternity benefit for a maximum of 15 weeks. The maternity allowance is paid in 1 payment to the entitled mother's bank account. The maternity allowance is determined according to the mother's income (based on which the mother has paid insurance contributions) and has a ceiling of ILS 1,655 (Israeli shekels) per day. 

The daily allowance to which the mother is entitled is the higher of the following amount:

  • The mother's income in the 3 full months preceding cessation of work, divided by 90
  • The mother's income in the 6 full months preceding cessation of work, divided by 180.

Working Hours

Per Israel's Working Hours and Rest Act, a standard workweek is 42 hours. However, the normal workweek regulations do not apply to the following employees:

  • Police officers of the Israel Police, as well as anyone in the prison service
  • Civil servants whose job requires their availability to work even outside regular working hours
  • Seafarers and fishermen
  • Aircrew members
  • Employees in management roles or positions that require a special degree of personal trust.

A working day shall not exceed 8 hours (for those with a 6-day workweek), and night work is limited to 7 hours. Hours worked in excess of these limits are considered overtime. The maximum number of hours worked in a day cannot exceed 12 hours, including overtime. The law entitles employees to a weekly rest period of at least 36 continuous hours, including the Sabbath Day for Jewish employees. 

The working hours for employees under 18 years of age are 40 hours per week and not more than eight hours per day. Such employees cannot work on their weekly rest days. Finally, persons under 18 years of age are entitled to a break of at least 14 hours between 2 consecutive working days. 

Maternity Leave

Israeli labor law grants all female employees 26 weeks of maternity leave, 7 weeks of which can be used before the delivery date. They must have worked for at least 12 months at the same workplace to be eligible for maternity leave. An employee can choose to shorten the leave, but it can not be less than 15 weeks. In case of complications during birth or pregnancy, maternity leave can be extended by 4 weeks. For multiple births, maternity leave is extended by 3 weeks for each additional child after the first. If, after birth, the child has to be hospitalized for more than 2 weeks, maternity leave can be extended by a maximum of 20 weeks. 

Employees become eligible to receive a maternity allowance from the government after they have worked for 6 months for the same employer. The National Insurance Institute of Israel pays maternity benefit for a maximum of 15 weeks. The maternity allowance is paid in 1 payment to the entitled mother's bank account. The maternity allowance is determined according to the mother's income (based on which the mother has paid insurance contributions) and has a ceiling of ILS 1,655 (Israeli shekels) per day. 

The daily allowance to which the mother is entitled is the higher of the following amount:

  • The mother's income in the 3 full months preceding cessation of work, divided by 90
  • The mother's income in the 6 full months preceding cessation of work, divided by 180.

Minimum Wage

Israel's labor law stipulates that all employees over 18 years of age are entitled to a minimum wage. An order of the government determines the amount of minimum wage by April of each year. The minimum wage was last set on April 1, 2023, as follows:

  • The minimum wage for employees working 5 days a week is ILS 257.16 (Israeli shekels) per week.
  • The minimum wage for employees working 6 days a week is ILS 222.87 per week.
  • The minimum hourly wage for a total of 186 hours of work is ILS 29.96.
  • The minimum hourly wage for a total of 182 hours of work is ILS 30.61.
  • The minimum monthly salary is ILS 5,571.75

Country Profile

The GPS Country Profile contains detailed information on over 60 topics related to labor law compliance within Israel.
  • Type of Employment Relationship
  • Permanent Employment
  • Fixed-Term or Specific-Purpose Contracts
  • Temporary Employment Contracts
  • Part-time Employment
  • Young Worker Employment
  • Vendors and Independent Contractors
  • Types of Contracts
  • Probationary Period
  • Termination of the Contract of Employment
  • Grounds for Termination
  • Notice of Dismissal
  • Fair Dismissal
  • Redundancy
  • Unfair Dismissal
  • Suspension of Contract of Employment
  • Severance Benefits
  • Hours of Work
  • Work Week and Timekeeping
  • Night Work and Shift Work
  • Overtime
  • Remote Work
  • Required Time Off
  • Public Holidays
  • Annual Leave
  • Sick Leave
  • Maternity
  • Other Forms of Leave
  • Social Insurance and Retirement
  • Social Security Contribution
  • National Retirement Scheme
  • Dependents’/Survivors Benefit
  • Life and Disability Insurance/Benefit
  • Statutory Allowances
  • Compensation and Benefits
  • Minimum Wage (Basic Wage)
  • Bonuses, Profit Sharing and Other Compensation
  • Medical Insurance
  • Work Environment
  • Workplace Safety and Health
  • Prohibition of Discrimination
  • Prohibition of Harassment
  • Data Protection and Privacy
  • Whistleblowers and Retaliation
  • Workers’ representation in the organization
  • Freedom of Association
  • Registration and Recognition of Unions
  • Trade Union Personality
  • Collective Bargaining and Agreements
  • Disputes and Settlements
  • Strikes and Lockouts
  • Unfair Labor Practices
  • Taxation of Compensation and Benefits
  • Income Tax
  • Taxation of Employee Benefits
  • Tax Filing and Payment Procedures
  • Double Tax Relief and Tax Treaties
  • Visas and Work Permits
  • Visas
  • Work Permits and Residence Permits

 Country Snapshot

Get the full Country Snapshot with 25 sections of information about labor law in Israel.