Service page: A claim against an employer for wages, pension and overtime.
The exact figures, and where they come from
Did you get a payslip that looks too low? Before you argue, you need the right figure. As of 1 April 2026, the minimum wage is NIS 6,443.85 a month for a full-time position and NIS 35.40 an hour. The daily minimum wage is NIS 297.41 in a five-day work week and NIS 257.75 in a six-day work week.
Where do the figures come from? Section 1 of the Minimum Wage Law, 5747-1987, defines the monthly minimum wage as 47.5% of the average wage as it stands on 1 April each year. The daily minimum wage is 1/25 of the monthly amount (a six-day week), or the monthly amount divided by 21⅔ (a five-day week). That is where the two daily figures above come from. The minister publishes in Reshumot the amount as updated on 1 April each year (section 6).
On the hourly rate, one point confuses many people. The Law itself defines the hourly minimum wage as 1/186 of the monthly amount. But the Extension Order on Shortening the Work Week (צו ההרחבה בדבר קיצור שבוע העבודה) cut the week to 42 hours. Since April 2018, following that order, the hourly wage is in practice calculated on the basis of 182 hours a month. That is what produces NIS 35.40. A check: 6,443.85 divided by 182 ≈ 35.40. Dividing by 186 would give a lower amount, so an employer that calculates by 186 underpays.
| Wage | Amount | How it is set | Source |
|---|---|---|---|
| Monthly, full-time position | NIS 6,443.85 | 47.5% of the average wage as it stands on 1 April; the updated amount is published in Reshumot | Sections 1 and 6 |
| Hourly | NIS 35.40 | The monthly amount divided by 182 hours: the practical basis since April 2018, following the Extension Order on Shortening the Work Week (the Law itself sets 1/186) | Section 1; the extension order |
| Daily, five-day week | NIS 297.41 | The monthly amount divided by 21⅔ | Section 1 |
| Daily, six-day week | NIS 257.75 | 1/25 of the monthly amount | Section 1 |
| Half-time position | NIS 3,221.93 | Proportional to the part-time percentage; even then, make sure the hourly wage does not fall below NIS 35.40 | Section 2(b) |
An arithmetic check: the average wage under section 1 of the National Insurance Law [Consolidated Version], 5755-1995, is NIS 13,566 from 1 January 2026. This is according to the publication of the National Insurance Institute (Bituach Leumi). 47.5% of it is NIS 6,443.85, exactly the monthly amount in the table (section 1 of the Minimum Wage Law). The daily amounts are derived from this: 6,443.85 ÷ 21⅔ = NIS 297.41, and 6,443.85 ÷ 25 = NIS 257.75.
Who is entitled to the minimum wage?
Every salaried employee in Israel, Israelis and foreign workers alike, is entitled to the minimum wage. The Minimum Wage Law, 5747-1987, provides that you may not pay less than the minimum wage, even if the employee agreed to it voluntarily. An agreement to a lower wage is void from the outset.
How to calculate it in practice: four situations
- Full-time position, monthly salary: compare the determining wage (see below which components count) with NIS 6,443.85.
- Part-time position: section 2(b) of the Law sets a partial minimum wage “in proportion to the part-time percentage of the position”. A hypothetical example: in a half-time position, at least NIS 3,221.93, as of 1 April 2026. Note: even then, make sure the hourly wage does not fall below NIS 35.40 (as of 1 April 2026).
- Hourly employee: multiply the number of hours actually worked by at least NIS 35.40. There is no “monthly average” that makes an underpaid hour lawful.
- Absence: section 2(c) reduces the minimum wage “in proportion to the time of absence”. But payment for the absence may be due under the law, a contract, a collective agreement or an extension order. In that case, that arrangement applies.
And a bottom line worth remembering: overtime pay, bonuses and social benefits are not “included” in the minimum wage; they are added to it. How to calculate the overtime pay: Overtime for an hourly employee: how to calculate it.
Has something similar happened to you?You can write to me what happened and with whom, without documents.
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What happens after you write to me
- You write what happened and with whom. No documents.
- I get back to you within one business day for a short call of a few minutes.
- If it is a matter I handle: after the call you will receive, in writing, what will be done and what the next step is. Work starts only after you approve.
At the end of the call you will know one of three things: it is a matter I handle, and what the next step is; you can manage without a lawyer, and which guide fits; or it is outside my field, and where to turn.
What to do if you did not receive the minimum wage?
Write to the employer and demand the difference. Keep a copy of the letter. File a complaint with the Labor Law Enforcement Administration at the Ministry of Labor. Sue in the Labor Court: you can claim wage differences going back up to 7 years. See also: a wage claim against an employer.
Breaching the Minimum Wage Law is a criminal offense: the employer is exposed to fines and even to criminal proceedings.
What is the difference between the minimum wage and the income support benefit? The minimum wage is the wage the employer pays. National Insurance benefits (such as the income support benefit) are a completely different mechanism. An employee who receives the minimum wage may also be entitled to an income supplement from the National Insurance Institute, so it is worth checking.
What counts in the calculation and what does not: section 3 of the Law
This is where most disputes arise, and not always out of bad faith. Section 3(b) of the Minimum Wage Law states expressly which components count toward meeting the minimum wage:
- They count: basic wage or combined wage, and a cost-of-living increment if it is not included in the combined wage. A fixed increment paid to the employee because of their work also counts.
- They do not count (in the words of the Law): family increment, seniority increment, an increment for shift work, and a measured, agreed, fixed or group premium. A 13th salary and grants on an annual basis do not count. Nor does reimbursement of expenses, including expenses for food, meals and lodging, and travel.
The practical meaning is sharp. Some employers add travel expenses reimbursement or a meals and lodging allowance to “reach” the minimum wage. They are not complying with the Law. And a seniority increment too, which looks like wages in every respect, is expressly excluded in the wording of the section.
Checking a payslip in five steps
- Find the scope of the position and the actual number of working hours that month. If there is no attendance record on the payslip, make a note of it: this will matter later.
- Filter the components under section 3(b): remove travel, meals and lodging, seniority, shifts and annual grants from the calculation.
- Calculate the determining wage per hour: the amount that is left, divided by the hours you actually worked.
- Compare it with NIS 35.40 (and, alongside this, the monthly amount with NIS 6,443.85 according to the scope of the position).
- Multiply by the difference and by the number of months: this gives the amount of the claim. Prepare a month-by-month table; this is a presentation the court appreciates.
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How to collect the difference: the practical route
- A written letter of demand to the employer with the detailed calculation. Send it by email so that there is a dated record, and keep a copy.
- A complaint to the Labor Law Enforcement Administration at the Ministry of Labor. The inspectors have authority to demand documents from the employer and to apply sanctions.
- A claim in the Regional Labor Court. Section 7 of the Law gives the right to sue to the employee (or to the representative workers’ organization (trade union)). A claim up to a set amount is heard by way of an “expedited proceeding”. The amount is in regulation 1 of the Labor Court Regulations (Determination of the Claim Amount in Expedited Proceedings), 5750-1990 (תקנות בית הדין לעבודה (קביעת סכום התביעה בדיון מהיר), התש״ן-1990). In this proceeding, the court is not bound by the rules of procedure (section 31 of the Labor Court Law, 5729-1969 (חוק בית הדין לעבודה, התשכ״ט-1969)). The amount is updated on 1 January each year to three times the average wage (regulation 1A). From 1 January 2026, it is NIS 40,700, not including late-wage compensation, linkage differentials and interest (notice in Yalkut HaPirsumim 14216, p. 3586). In any case, representation by a lawyer is not mandatory in the Labor Court.
There are two evidentiary tools that are worth their weight in gold. Section 7B of the Law creates a presumption that the employer did not pay the minimum wage in two cases. It did not present an attendance record, where it is required to keep one. Or it did not give a payslip under section 24 of the Wage Protection Law, 5718-1958. And section 26B of the Wage Protection Law shifts the burden of proof on disputed working hours to the employer. This applies when it did not present attendance records. In other words, an employer that did not keep records loses the evidentiary advantage.
Common mistakes
- Thinking that consent makes it lawful. Section 12 of the Law provides that the right “cannot be made conditional or waived”. Signing a contract at a low wage does not help the employer.
- Counting travel and meals and lodging as wages. Section 3(b) expressly excludes them, and so does a seniority increment.
- Calculating by 186 hours. Since April 2018 the practical basis is 182 hours: the difference is small per month, significant over years.
- Relying on an “average”. For an hourly employee, every hour is checked on its own.
- Not keeping your own record of hours. The presumptions in sections 7B and 26B help, but a reasonable initial estimate on your part is still required.
When a lawyer is worth it, and when not
You can manage on your own: calculate the difference, send a letter of demand and file a complaint with the Enforcement Administration. You can also file a claim in an expedited proceeding for a limited amount, when the payslips exist and the calculation is simple.
It is worth involving a lawyer: when the period is long and the amounts add up. When there are no payslips or attendance records, and the case relies on evidentiary presumptions. When other components are added (overtime, recuperation pay, vacation, late-wage compensation). When you were classified as “self-employed” and you claim you were an employee. And when you were dismissed after you raised the issue. Section 7A of the Law forbids harming an employee because of a complaint or a claim, and this is a separate cause of action.
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FAQ
How much is the minimum wage as of 2026?
NIS 6,443.85 a month and NIS 35.40 an hour, as of 1 April 2026. The daily minimum wage is NIS 297.41 in a five-day week and NIS 257.75 in a six-day week. The amount is updated on 1 April each year and published in Reshumot (section 6 of the Law). So check the current amount before you use it.
I worked half-time: how much am I entitled to?
Section 2(b) of the Law sets a partial minimum wage in proportion to the part-time percentage of the position. That is, NIS 3,221.93 for a half-time position. At the same time, make sure the pay per hour does not fall below NIS 35.40. The two checks stand side by side.
My employer includes travel expenses in the minimum wage. Is that legal?
No. Section 3(b) of the Law expressly excludes some components from the minimum wage. One is “reimbursement of expenses, including expenses for food, meals and lodging, and travel paid by the employer”. Others are a seniority increment, a shift increment, a 13th salary and grants on an annual basis.
I have no payslips and no record of hours. Do I have a chance?
Yes. Section 7B of the Minimum Wage Law creates a presumption that the employer did not pay the minimum wage. It applies when the employer did not present an attendance record or did not give a payslip. Section 26B of the Wage Protection Law shifts to the employer the burden of proof regarding disputed hours. You will still need to support the claim with a reasonable estimate and circumstantial evidence.
How do you calculate the hourly minimum wage: 182 or 186?
Section 1 of the Law defines the hourly minimum wage as 1/186 of the monthly amount. But since April 2018, the Extension Order on Shortening the Work Week to 42 hours has applied. Following it, the hourly wage is in practice calculated on the basis of 182 hours a month. That is what produces NIS 35.40 (6,443.85 divided by 182). An employer that calculates by 186 underpays.
A young worker: are they entitled to the same amount?
No. Section 2(a) of the Law gives the full right to an employee “who has reached the age of 18”. For employees under 18, a lower minimum wage is set, which varies by age. The Minimum Wage Regulations (Working Youth and Apprentices), 5748-1987 (תקנות שכר מינימום (נוער עובד וחניכים), התשמ״ח-1987) were made under section 16 of the Law. A young person under 16 is entitled to 70% of the minimum wage, from age 16 to 75%, and from age 17 to 83%. An apprentice is entitled to 60% (regulations 4 and 5). As of 1 April 2026, these are NIS 4,510.70, NIS 4,832.89, NIS 5,348.40 and NIS 3,866.31 a month. These are for a full-time position, according to Kol Zchut.
Checklist
- Practical tip: in minimum wage claims, ask the employer for attendance records. If they do not hand them over, two rules apply: the presumption in section 7B of the Minimum Wage Law, and the shift of the burden in section 26B of the Wage Protection Law
- Relevant legislation: Minimum Wage Law, 5747-1987; Wage Protection Law, 5718-1958; Women’s Employment Law, 5714-1954
- Common mistake: employees who receive gratuities (“tips”) assume they “count” toward the minimum wage. But the duty to pay the minimum wage is on the employer, so you need to check separately how tips are handled at the workplace. See the guide on tips
- Tactical point: an employer may “split” the wage, part as wages and part as “travel money”. Check whether the split was meant to avoid a real minimum wage calculation. Section 3(b) of the Law excludes reimbursement of travel expenses from the components that count
