Labor Law Attorney
Labor Rights In Israel
Everything You Need to Know About Employee Rights In Israel
Labor law gives an employee many social rights, also referred to as protective rights. amongst the protective rights are, the right to minimum wage, annual leave, pensions, and the right to a hearing before dismissal.
In this article we will review the main protective rights of the employee as well as present his rights in the context of termination of employment.
By Igal Mor, Adv. & Notary
Accuracy in Legal Advice. Excellence in legal support.
Salary
The employee’s most basic right is, of course, is minimum payment for their work. when The minimum wage law, stipulates that a full – time employee’s wage will not be paid less than 5,300 NIS per month. An integral part of the right to pay, is payment for overtime, which is given to those who work more than 8.5 hours a day and means an additional payment of 25% for the first two hours and an additional 50% from the third hour of overtime and above. Another important point in the context of the right to wages is the payment date. The employer must pay the employee his wages by the 9th of each month and a late payment constitutes wage withholding, which entitles the employee to compensation.
Annual Vacation
Every employee is entitled, to annual leave at the expense of the employer, which means that the employee is on leave and receives his regular salary. The number of vacation days increases with seniority in the workplace, for example, in the first five years the employee is entitled to 16 vacation days, in the sixth year 18 vacation days and so on. Contrary to popular belief, the prerogative to decide on the date of the vacation is given to the employer and therefore, he is allowed to take all the employees on a concentrated vacation, which is very common in Israel on national holidays. However, if he does not do so, he must take into account as much as possible the employee’s wishes and allow him to go on vacation at times convenient to him.
Convalescence Fees
After completing one year of work, the employee is entitled to a convalescence allowance. Unlike vacation pay, which is given to an employee according to the value of his salary, the convalescence allowance is uniform for all employees: 378 NIS per day for an employee in the private sector and 426 NIS per day for an employee in the public sector. Similar to the right to vacation, the right to convalescence allowance also increases with the employee’s seniority: at the end of the first year the employee will be entitled to payment for 5 days, in the second and third year for 6 days and so on. It is customary to pay the convalescence allowance in one annual payment between the months of July and September, but with the consent of the employee, the employer may include in the monthly wage the convalescence allowance. The employer must state this explicitly in the employment agreement and also separate the convalescence component in the pay slip.
Pension and Compensation
As of 2008, there is a pension obligation in Israel, in which the employer is obligated to set aside approximately 18.5% of the employee’s salary each month for a pension fund in an insurance company of the employee’s choice. 12.5% of this total is at the expense of the employer (divided into 6% for compensation and 6.5% for pension) while an additional 6% is at the expense of the employee and is directed to the pension component only. Upon termination of an employer-employee relationship, the employee must withdraw, if he so chooses, the severance (compensation) pay in the fund, whether he is fired or resigned. In addition, if the employee is fired from his job, or has resigned under a dismissal law, he will be entitled to full severance pay, unless the employer has contributed 8.33% to the compensation fund and not just 6%.
Resignation and Dismissal
The employee is given rights not only throughout his employment, but also throughout his termination. First there is the right to prior notice, in which an employer who wishes to fire an employee or an seeking to resign, are obligated to give the other sufficient notice in advance, in accordance with the requirements of the law . This is determined according to the type of employment (monthly / daily employee) and according to seniority. When an employer wishes to dismiss an employee, he has a duty to hold a hearing, in the framework of which he will give the employee sufficient notice of a hearing and will allow him to make claims in favor of reconsideration. If the employee is fired, the employer is obliged to give him a letter of dismissal, which will be used for the purpose of receiving unemployment benefits from the National Security Institute. Also, when terminating an employee-employer relationship for any reason, the employer is obligated to give an employee a Form 161 and a letter of release of funds in order for the pension fund to be transferred to his ownership.
Infringement
We reviewed on this page the main rights of the employee, and there are many more such as: Sick Pay, Receiving Notice of the Terms of Employment, The Right to a Break, The Rights of Pregnant Women and more. We emphasize that the employee’s rights are cogent, and can’t be waved or infringed upon by a contract. That is, a provision in an employment agreement that violates an employee’s right under a law, extension order, or collective agreement is void. Violation of any of the employee’s rights gives him cause to sue in the Labor Court as well as his ability to file a complaint to the Ministry of Labor, which may fine the employer for violating the employee’s rights. The full realization of the employee’s rights requires professional legal representation from a law firm specializing in labor law. If you have a concern that your rights have been violated, you are welcome to contact us and we will be happy to help you get what you are entitled to.
In conclusion, the field of labor law in Israel is a very dynamic field, most lawsuits in this field require familiarity with a broad legal system. Different remedies have different statutes of limitations. Have you encountered a violation? You did not receive the legal rights you deserve? contact us for legal advice.
The labor law division of the law firm Mor & Co. specializes in the legal representation of employers in Israel with full compliance with the requirements of the law.
We understand the importance of protecting the legal status of employers. Labor law presents a number of challenges. We are here to assist you if you require legal advice and representation.
You will receive professional and personalized legal representation. At every stage of the legal process.
Or call us at 02-595-3322
