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Frequently Asked Questions
absences
▶ Is my boss allowed to send me home because there is no work? Does he need to pay?
Q: My boss frequently tells me in the middle of the day to punch out and go home because there is no work and he's closing early. I want to know if this is legal? Does he need to pay me for the remaining hours that I lost, after all it's not my fault there is no work. I came and was willing to work the full shift!
A: There is a distinction between employees who are paid by the hour and those that are a paid a monthly sum;
1. For employees who are paid an hourly rate multiplied by the number of hours worked this is legal. In this case you will not receive payment for the hours "missed".
2. For employees who are paid a monthly rate, it is not legal. In this case the employer cannot deduct the "missing hours" from your pay.
▶ Is my employer required to pay me for snow days ?
Snowy weather, as in other bad weather occurrences, are not explicitly dealt with in Israeli labor laws.
Employees who are absent from work are not entitled to pay, unless the absence is due to vacation, sick days, reserve army duty, doctor-supervised pregnancy or any other instance covered by law, collective agreement, general expansion order or employment contract.
According to a labor court ruling, an employee is eligible to receive pay when not actually working when he is at the employer’s disposal and willing to work, but the employer does not give him tasks.
However, the above do not really fit the description. The employee wants to work, but it is not the employer who is withholding work from the employee, but rather cause of nature.
Aside from the public sector in Israel, who have an explicit clause in their collective work agreements that provides a 50% split between the employer and the employee, by paying a half day for each full day missed due to weather, the public sector employee is left to fight his own battles. Since most private sector employers do not have worker’s unions or collective bargaining agreements, it is left to the employer’s good will and wishes, there is no obligation.
Some employers may choose to pay for these absent days as vacation, which is better than not getting paid. Employers should note that if the snow days are 7 consecutive calendar days or more, they need to give advance notice of at least 14 days to employees prior to vacation day deduction.
Recently, the Minister of Economy recommended that private sector employers adopt the norm from the public sector employers; split the cost 50%-50% between the employees and the employers, although there is no legal binding to do so.
The same applies to taxi fares when public transportation is unavailable, (i.e. there is no law or provision that makes reimbursement mandatory). Employees should check with their employer before they take a taxi, as to whether they will be reimbursed for the cost.Employment
▶ Is my boss allowed to send me home because there is no work? Does he need to pay?
Q: My boss frequently tells me in the middle of the day to punch out and go home because there is no work and he's closing early. I want to know if this is legal? Does he need to pay me for the remaining hours that I lost, after all it's not my fault there is no work. I came and was willing to work the full shift!
A: There is a distinction between employees who are paid by the hour and those that are a paid a monthly sum;
1. For employees who are paid an hourly rate multiplied by the number of hours worked this is legal. In this case you will not receive payment for the hours "missed".
2. For employees who are paid a monthly rate, it is not legal. In this case the employer cannot deduct the "missing hours" from your pay.
▶ termination during maternity leave
Q: what is the law regarding termination of an employee who is pregnant, on maternity leave ?
A: The women's employment law is very specific and it is enforced. A woman who is pregnant cannot be terminated from her position by her employer for any reason related to her pregnancy. In order to fire her, the employer needs to submit a written request to the Minister of Labor, who can allow it. Only after receiving written permission can the employer fire the employee. A copy of this request must be given to the employee, who must sign that she received a copy of it.
This is not a procedure that is taken lightly and rarely does it get approved, unless the employer can prove that the termination has nothing whatsoever to do with the employee's pregnancy.
In addition to the period prior to giving birth, the employer is not allowed to fire the employee while she is on maternity leave or for a period of 60 days after she returns from maternity leave.
There is also a clause which prohibits reducing her position or changing her job during this period.
Infringements on these rights can and should be reported to the Ministry of Labor's hot-line 1800-354-354 and a women's rights organization (such as Na'amat) should also be contacted.
▶ Employment Question
Ask your questions and you'll soon find answers here.
Labor Law
▶ Weekly rest day
Q: I work in a place where they encourage employees to work as many shifts as possible. Sometimes employees work 30 days a month, including Friday and Motzei Shabbat. Is this legal ? Aren't employees entitled to a day off per week ? My boss says only religious employees get off on Shabbat. thanks, Yosef
A: Yosef, being religious or not is totally irrelevant. All employees are entitled to a weekly rest day(for Jews this is Shabbat.) They must receive at least 36 consecutive hours off between the last day of work prior to the weekly rest day and the first work day afterwards. This means if you work Friday, you cannot legally work on Motzei Shabbat.
If someone works on their weekly rest day they are entitled to 150% for all regular hours and any overtime would be paid 175% for the first two hours and 200% for any additional hours. But that's not all ! They also need to receive an alternative day off the following week to make up for it.
This is a serious violation of the labor laws, which are mandatory for all employers in Israel and can lead to serious fines of up to 35,000 shekels for the employer and the CEO personally for each offense.
Mini-Seminars
▶ Mini-Seminars Question
Ask your questions and you'll soon find answers here.
Payroll Benefits
▶ Payroll Benefits Question
Ask your questions and you'll soon find answers here.
Payroll Systems
▶ Payroll System Question
Ask your questions and you'll soon find answers here.
Payroll Taxes
▶ Is my boss allowed to send me home because there is no work? Does he need to pay?
Q: My boss frequently tells me in the middle of the day to punch out and go home because there is no work and he's closing early. I want to know if this is legal? Does he need to pay me for the remaining hours that I lost, after all it's not my fault there is no work. I came and was willing to work the full shift!
A: There is a distinction between employees who are paid by the hour and those that are a paid a monthly sum;
1. For employees who are paid an hourly rate multiplied by the number of hours worked this is legal. In this case you will not receive payment for the hours "missed".
2. For employees who are paid a monthly rate, it is not legal. In this case the employer cannot deduct the "missing hours" from your pay.
▶ I was recently released from the army. What are my rights and obligations with regard to Social Security ?
Every Israeli citizen, age 18 and up must pay Social Security and Health insurance tax (with exception to married housewives).
If you are a salaried employee, this is done automatically by your employer via your payslip. The payslip lists the amounts deducted from your pay towards Soc. sec. and health tax. There is also an employer's contribution.
If you are self employed, you will need to register at the Social Security office closest to your place of residence. You will need to pay these taxes on your own. The rate is determined by your income.
If you are unemployed (and not receiving unemployment) you will need to register at the Social Security office closest to your place of residence. You will need to pay the minimum rate (currently 160 sh per month - June 2012)
If you are a student in an institution of higher learning (University, Michlala, etc). The institution will update Social Security and the Social Security office will send you a booklet for monthly payments. If after 2 months of studying at the institution you have not received the booklet, you should contact the collection dept. at your local Social Security office.
Students who work as salaried employees - will pay via their payslip and there is no need to do anything more. Make sure you get a payslip from your employer and keep these indefinitely in a file. It's proof that your Social Security was paid for the month on the payslip.
Students who do not work as salaried employees will need to pay 120 sh per month (updated June 2012)
Payment can be made via credit card via Social Security telephone operators at *6050
For any and all months that you do not pay, the amount you owe incurs interest and is linked to the cost of living index. This can be deducted from monies paid to you by Social Security - Reserve army duty payment, Maternity grant, unemployment pay, Special grants to released soldiers who work in preferential sectors, any other stipends due to you from Social Security
▶ Payroll Taxes: Taxable Earnings Threshold
David Oliver asked:
Q. "What is the threshold at which a married man with no children starts to pay tax?
A. Your status grants you 2.25 tax credit points, which are worth 215 sh each, thus giving you a credit of 483.75 sh per month on your taxes. Also, you are eligible for a tax deduction on your portion towards pension.
Basically, all income is taxable, however until you fully utilize your tax credit you will not effectively be paying tax. Another point is that income tax in Israel is annual, thus you may be charged more tax in one month because you had a higher income, but it is reconfigured each month annually to date.
In short, you would start paying tax at 5,515 sh
Social Security
▶ I was recently released from the army. What are my rights and obligations with regard to Social Security ?
Every Israeli citizen, age 18 and up must pay Social Security and Health insurance tax (with exception to married housewives).
If you are a salaried employee, this is done automatically by your employer via your payslip. The payslip lists the amounts deducted from your pay towards Soc. sec. and health tax. There is also an employer's contribution.
If you are self employed, you will need to register at the Social Security office closest to your place of residence. You will need to pay these taxes on your own. The rate is determined by your income.
If you are unemployed (and not receiving unemployment) you will need to register at the Social Security office closest to your place of residence. You will need to pay the minimum rate (currently 160 sh per month - June 2012)
If you are a student in an institution of higher learning (University, Michlala, etc). The institution will update Social Security and the Social Security office will send you a booklet for monthly payments. If after 2 months of studying at the institution you have not received the booklet, you should contact the collection dept. at your local Social Security office.
Students who work as salaried employees - will pay via their payslip and there is no need to do anything more. Make sure you get a payslip from your employer and keep these indefinitely in a file. It's proof that your Social Security was paid for the month on the payslip.
Students who do not work as salaried employees will need to pay 120 sh per month (updated June 2012)
Payment can be made via credit card via Social Security telephone operators at *6050
For any and all months that you do not pay, the amount you owe incurs interest and is linked to the cost of living index. This can be deducted from monies paid to you by Social Security - Reserve army duty payment, Maternity grant, unemployment pay, Special grants to released soldiers who work in preferential sectors, any other stipends due to you from Social Security
Termination
▶ termination during maternity leave
Q: what is the law regarding termination of an employee who is pregnant, on maternity leave ?
A: The women's employment law is very specific and it is enforced. A woman who is pregnant cannot be terminated from her position by her employer for any reason related to her pregnancy. In order to fire her, the employer needs to submit a written request to the Minister of Labor, who can allow it. Only after receiving written permission can the employer fire the employee. A copy of this request must be given to the employee, who must sign that she received a copy of it.
This is not a procedure that is taken lightly and rarely does it get approved, unless the employer can prove that the termination has nothing whatsoever to do with the employee's pregnancy.
In addition to the period prior to giving birth, the employer is not allowed to fire the employee while she is on maternity leave or for a period of 60 days after she returns from maternity leave.
There is also a clause which prohibits reducing her position or changing her job during this period.
Infringements on these rights can and should be reported to the Ministry of Labor's hot-line 1800-354-354 and a women's rights organization (such as Na'amat) should also be contacted.
Submit Your Questions Using the Form Below
My employer has not issued me a work contract or any other written terms of employment. I receive a monthly payslip and am paid what we agreed upon verbally. Is there any requirement by the employer to issue a contract or terms of employment ? I would feel better and more secure having this document.
Thanks,
Susan M.
Could you please give an overview of vacation benefits, including when can you take your vacation days, is there a point in the year which you have to use them by? What if you do not take them, are the carried over to next year or are they days paid to you?
Thanks
Jeffrey
Jeffrey
The amount of vacation days an employee is entitled to per year is usually determined
in employment contracts. There is a minimum – for first year employees it’s 10 days
For a 5 day full-time work week.
The days are credited each month at 1/12 or 0.83 days per month.
Each employer has the right to determine when an employee can take vacation
as long as at least 7 days are consecutive calander days.
Also, each employer can detetmine policy as to how many days max can be accumulated
As long as the max has not been reached the days are carried ovet to the next year.
Some employers have a use them or lose them policy. Thid is legal as long as it is specifically stated in employee contracts and employees are notified and reminded to use them.
Vacation days are paid days via your payslip, separately itemized.
Payout of unused vacation days is only done upon end of employment.
For more complete information on vacation days, see my soon to be published employee’s rights handbook.
What is the threshold at which a married man with no children starts to pay tax
David,
Your status grants you 2.25 tax credit points, which are worth 215 sh each, thus giving you a credit of 483.75 sh per month on your taxes. Also, you are eligible for a tax deduction on your portion towards pension.
Basically, all income is taxable, however until you fully utilize your tax credit you will not effectively be paying tax. Another point is that income tax in Israel is annual, thus you may be charged more tax in one month because you had a higher income, but it is reconfigured each month annually to date.
In short, you would start paying tax at 5,515 sh