Yaron Meiri, Adv. & CPA, represents employees and employers in the Labor Court (Israel's court for employment and social-security disputes) and in mediation. This page is about the employer's side: what the law requires before a dismissal and during employment, and what to do when an employee files a claim.
The order of steps in a dismissal
The full details, step by step: The pre-dismissal hearing: what must happen, and what to do if there was no hearing · Severance pay calculator: seniority, wages and section 14
- Summons to a pre-dismissal hearing. The summons in writing, with the allegations, and when and how it was given to the employee. The law does not set a fixed number of days for the summons. It must leave time to prepare and to respond to the allegations.
- Hearing. The employee gets a chance to present their position at the hearing. The employee may ask to come to the hearing with a companion of their choice, for example a lawyer or a representative of the workers' committee.
- Decision. The decision in writing, given after the hearing and addressing the employee's arguments.
- Advance notice. Written advance notice that states the day it was issued and the day the dismissal takes effect (section 2(c) of the Advance Notice of Dismissal and Resignation Law), according to the employee's seniority: up to one month (sections 3–4).
- Final settlement of accounts.
- The employer must pay all wages not yet paid, up to the last day of work. This includes pay for overtime the employee worked, bonuses the employer committed to pay, and any additional payment set in the agreement.
- The employer must pay for all accumulated vacation days at the full wage.
- Recuperation pay (dmei havra'a): for an employee who completed the first year of employment, according to the number of days in the extension order (an order that applies a collective agreement to a whole sector or to the whole economy), and also the pro rata part for part of a year.
- An employee dismissed after at least one year of employment is entitled to severance pay. Severance pay for a monthly-salaried employee is one month's wage for each year of employment, and part of a year counts pro rata (section 12 of the Severance Pay Law, 5723-1963). Where a Section 14 arrangement applies, the deposits in the fund replace severance pay only at the rate set in it. The payment is generally due on the day the employment relationship ends (section 20(a)(1) of the Wage Protection Law).
How do you hold a pre-dismissal hearing?
The duty to hold a pre-dismissal hearing is not written in the law; it comes from the duty of good faith in the employment relationship (section 39 of the Contracts (General Part) Law). What this means for the employer: present the allegations to the employee in advance, allow them to respond, and consider the answer with an open mind before deciding.
When the court examines a hearing, it checks, among other things:
- Whether the employee received details of the allegations against them in advance, and not just a general heading such as “performance problems”.
- Whether the person who held the hearing can really influence the decision.
- Whether the decision came from the hearing, or was made before it.
A hearing held after the decision was in fact already made is a hearing for appearance's sake only, and it may make the employer liable to pay compensation even when there was a legitimate reason to dismiss. So it is wise to document every stage: the summons, what was said at the hearing, and a reasoned decision in writing. How much notice to give of a hearing, and what to write in the summons.
Services for employers
An employment documents kit, and support with a pre-dismissal hearing
Employment documents kit
An employment contract, the notice of employment terms to the employee, a draft invitation to a pre-dismissal hearing, and a review of a sample payslip: the contributions, “global pay” and the basis for calculating severance pay.
Pre-dismissal hearing support
From the written invitation, through the hearing itself, to the written decision.
The scope and the timing are agreed in advance, before the work starts.
When is it worth contacting a lawyer?
- You received a statement of claim from an employee: a statement of defense is generally filed within 30 days of the day the instruction to file it was served on you (regulation 28 of the Labor Court Regulations (Rules of Procedure), 5752-1991 (תקנות בית הדין לעבודה (סדרי דין))).
- You received a notice of intent to impose a monetary sanction: you have 30 days to respond in writing, and after the decision, 14 days to file an appeal (arar) to the appeals committee (sections 6 and 18 of the Increased Enforcement of Labor Laws Law, 5772-2011).
- Someone who worked for you as “self-employed” claims an employer-employee relationship: the employer must prove the “alternative wage” on which the set-off will be based (Labor Appeal (ע״ע) 15868-04-18, paragraph 66).
- You are considering dismissing an employee in a protected period: pregnancy, fertility treatment or reserve duty (section 9 of the Women's Employment Law; section 41A of the Discharged Soldiers (Reinstatement in Employment) Law, 5709-1949 (חוק החיילים המשוחררים (החזרה לעבודה))).
- An employee claims overtime and there are no attendance records: the burden of proof generally shifts to you (section 26B of the Wage Protection Law).
- An employee disputes the terms of employment, and was not given written notice of the terms: the burden of proof on that matter may shift to you (section 5A of the Notice to Employee Law).
You can also do it without a lawyer: you can prepare a summons to a pre-dismissal hearing and written advance notice yourself, following the rules on this page.
Leave your details for a first call: support for employers
Your name and phone number are enough. Your message goes to the office’s email inbox and is read by Yaron Meiri, Adv. & CPA himself, not by a call center. I will get back to you within one business day. You can also write to me directly on WhatsApp.
Areas served: all of Israel; the office is in Kiryat Ono.
I will get back to you within one business day. Until then there is no need to send documents — keep the documents related to the matter with you. If a deadline is close, write to me on WhatsApp or call: +972-50-431-3155.
I will get back to you from +972-50-431-3155. Save the number to your contacts
For the call, it helps to have at hand: your latest payslips, the employment agreement, and the dismissal letter or the invitation to the pre-dismissal hearing, if there is one.
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Prefer to talk? +972-50-431-3155 · WhatsApp
The legal guide: the law in detail
Here are the legal details: the law, the sections, the deadlines and the case law. Click a topic to open it.
An employer who wants to dismiss an employee must give them written advance notice that states the day the notice was issued and the day the dismissal takes effect (section 2 of the Advance Notice of Dismissal and Resignation Law, 5761-2001). The length of the notice depends on seniority and on how the wage is paid. An employee whose wage is mainly paid on a monthly basis (a “monthly-salaried employee”) is entitled to advance notice of:
- one day for each month of work, during the first six months of work;
- 6 days, plus two and a half days for each month of work, from the seventh month to the end of the first year;
- one month, after the first year (section 3).
An employee who is not a monthly-salaried employee, for example an employee paid by the hour or by the day (an “hourly or daily-paid employee”), has a different scale, which reaches one month after the third year (section 4).
The employer may waive the employee's work during the notice period, in whole or in part, if it pays them their regular wage for that period (section 6(a)). An employer who dismissed an employee without advance notice must pay compensation equal to the regular wage for the period for which notice was not given (section 7(a)). And when the employment ends, the employer must give the employee written confirmation of the start and end of the employment relationship; an employer who did not give it within 14 days of the last day of work, or within 7 days of the employee's written request, whichever is earlier, commits an offense (section 8).
Within 30 days of the start of work (and for a young worker, within 7 days), the employer must give the employee written notice of the terms of employment (section 1 of the Notice to Employee and Job Candidate (Terms of Employment and Screening and Hiring Procedures) Law, 5762-2002). The notice includes, among other things, the identity of the employer and the employee, the start date, the main duties and the direct supervisor, the total payments and the wage payment dates, the length of the regular working day or working week, the weekly rest day, and the payments for social benefits and the bodies they are transferred to (section 2(a)). A change in the terms must be notified within 30 days, with exceptions, for example a change that results from a change in the law, or a change that appears on the payslip (section 3). The Law does not apply to an employee whose period of employment is no more than 30 days (and for a young worker, 7 days) (section 9).
The notice is also evidence. In an employee's claim where a matter that should have appeared in the notice is disputed, and the employer did not give the notice, the burden of proof on that matter shifts to the employer, provided the employee has testified to their claim (section 5A). When the notice was knowingly not given, the Labor Court may also award the employee damages that do not depend on harm (section 5(b)).
The notice is prepared according to Form 1 of the Notice to Employee (Terms of Employment) (Form and Details of Notice) Regulations, 5762-2002 (תקנות הודעה לעובד (תנאי עבודה) (צורת הודעה ופרטיה), התשס״ב-2002), and also includes the wage basis and any payment in kind, if agreed (regulations 1–2). A written employment contract that includes all these details, and was given to the employee within the deadlines, fulfills the duty (section 2(d)). The details, the deadlines and the form: Notice of employment terms: what it must include.
The heading “independent contractor” in the contract does not decide the matter. The Labor Court applies a “mixed test” centered on the integration test: is the person integrated into your organization (hours, team, subordination, continuity, exclusivity), and do they work through an independent business of their own that bears the risk and the expenses (HCJ 5168/93; Labor Appeal 300021/98; as summarized in Labor Appeal 15868-04-18, paragraphs 9–10)?
If a worker is recognized as an employee after the fact, they are entitled to employee rights for the period that is not time-barred. Under the principles set by the National Labor Court in an expanded panel in the Kota case (Labor Appeal 15868-04-18, 7 April 2021), the employer may set off against the rights awarded only up to the gap between the payment it made and the cost of an employee according to the “alternative wage”, and it must prove the alternative wage; if it does not, there is no set-off. According to the opinion of the President of the court, the starting point is that the court will also award non-monetary compensation, and the burden of persuading it not to do so is on the employer (paragraphs 65–67). The tests, the judgments and the questions the court examines: Employer-employee relationship: employee or independent contractor. Before engaging a freelancer, you can go through the “employee or contractor?” questionnaire, which arranges the answers according to the tests in the case law, without deciding. What goes into an agreement with a contractor: Independent contractor agreement.
In certain periods, the law protects the employee even when the employer has a reason that seems legitimate to the employer. In short:
- Pregnancy and birth: dismissing a pregnant employee who has worked for the employer for at least 6 months requires a permit from the Minister of Labor, which will not be given if the dismissal is related to the pregnancy (section 9(a) of the Women's Employment Law, 5714-1954). During the birth and parenting period, dismissal is completely forbidden (section 9(c)(1)).
- Fertility treatment: during an absence for treatment, and in the 150 days after it, dismissal without a permit is forbidden (section 9(e)(1) of the Women's Employment Law). Under the conditions in section 9(e)(3), the protection also applies to someone who was not absent from work during the treatment period.
- Reserve duty: it is forbidden to dismiss an employee because of reserve duty; during the service, and for service of more than two consecutive days also in the 30 days after it, dismissal is forbidden without a permit from the Employment Committee (ועדת התעסוקה) at the Ministry of Defense (section 41A of the Discharged Soldiers (Reinstatement in Employment) Law, 5709-1949).
- Illness: as a rule, it is forbidden to dismiss an employee who was absent because of illness, during the period of entitlement to sick pay they accumulated (section 4A of the Sick Pay Law, 5736-1976).
- Discrimination: it is forbidden to discriminate in dismissal on the grounds listed in section 2 of the Employment (Equal Opportunities) Law, 5748-1988 (חוק שוויון ההזדמנויות בעבודה, התשמ״ח-1988), including sex, pregnancy, parenthood, age, religion and reserve duty.
The details, including the exceptions, are on the wrongful dismissal page. Before a dismissal in such a period, first check whether a permit is required.
An employer must keep a register of working hours: working hours, weekly rest hours, overtime hours and the pay for them (section 25(a) of the Hours of Work and Rest Law, 5711-1951). The record is kept on an ongoing basis and includes the actual hours; when it is not kept by mechanical, digital or electronic means, the employee signs it every day and it is approved by the signature of a person in charge appointed by the employer, unless another method was set (section 25(a1)). Under a notice published under section 25(b), the duty applies to anyone who employs an employee for a business, a profession or a public service.
The practical reason: in a wage claim where the working hours are disputed, an employer who did not present attendance records bears the burden of proving that the employee was not available for work during those hours. For overtime, this applies up to 15 hours a week or 60 a month (section 26B(a)–(b) of the Wage Protection Law). And when the payslip does not include items such as overtime pay, vacation pay or recuperation pay, the wage paid is presumed to be a regular wage that does not include them, unless the employer proves otherwise (section 26B(c)).
The payslip itself must include the details listed in the Schedule to the Wage Protection Law, and must be given to the employee no later than the determining day (section 24). When the employer knowingly did not give a payslip, or gave an incomplete one, the Labor Court may award exemplary damages for each such payslip (section 26A(b)). The payslip review also suits an employer who wants to make sure the payslips are correct, before an audit or before an employee's employment ends.
The Ministry of Labor may impose a monetary sanction (administrative fine) on an employer for breaching provisions listed in the Second Schedule to the Increased Enforcement of Labor Laws Law, 5772-2011 (section 3). The amounts are updated by the index (CPI) on 1 January each year (section 9(b)). In 2026:
| Part of the Schedule | Examples of provisions | Sanction for an employer | For an individual who employs someone not as part of a business |
|---|---|---|---|
| Part A | Keeping a register of working hours; keeping a leave register | ₪6,010 | ₪3,010 |
| Part B | Notice of employment terms (the written statement of the terms of employment); payslip; overtime pay; weekly rest pay; granting leave, vacation pay and payment for unused leave | ₪24,060 | ₪12,030 |
| Part C | Employing workers in overtime without a permit; employing workers during the weekly rest without a permit | ₪42,100 | ₪21,050 |
(Section 3 and the Second Schedule; the amounts under a notice in Yalkut HaPirsumim (official notices gazette) 14188, 22 January 2026)
How it works:
- Notice of intent to impose a charge. The commissioner gives notice of the breach, the amount and the right to respond (section 5). Instead, the commissioner may serve an administrative warning to stop the breach (section 15).
- 30 days to respond in writing. If the employer did not respond within 30 days, the notice is treated as a demand for payment (sections 6, 7(c)).
- Payment within 30 days of the day the demand for payment was delivered (section 10).
- Appeal (arar) within 14 days to an appeals committee, and after that an appeal to the Regional Labor Court within 45 days (sections 18, 21). Filing an appeal to the committee or to the court does not delay the payment, unless the committee or the court orders otherwise (section 22).
Note: for a continuing breach, one-fiftieth of the sanction is added for each day; for a repeated breach of the same provision within two years of an earlier breach for which a sanction was imposed or for which the employer was convicted, an amount equal to the sanction is added (section 4). The general manager of a corporation must supervise and take reasonable measures to prevent breaches, and if they did not do so after a warning, a personal sanction may be imposed on them (section 14). The fact that a sanction was imposed, and its amount, are published on the Ministry of Labor website; the name of the offender is published, except for an individual (section 17).
When the court instructs a defendant to file a statement of defense, it must be filed within 30 days of the day the instruction was served on the defendant, or of the day it was given, if it was given in the defendant's presence. A judge or a registrar may extend the deadline, and for special reasons also shorten it (regulations 27 and 28 of the Labor Court Regulations (Rules of Procedure), 5752-1991). If a defendant did not file a statement of defense on time, the court may give judgment against them in their absence, based on the statement of claim alone (regulation 43(a)).
The statement of defense must respond to every allegation in the statement of claim; a general denial is not enough (regulation 29(a)). An allegation of fact that was not denied, expressly or by implication, is generally treated as admitted (regulation 30(a)). So already in the first days it is wise to collect the payslips, attendance records, the notice of employment terms, the documentation of the hearing and the dismissal letter, and to check whether some of the items claimed are time-barred, for example compensation for late payment of wages (section 17A of the Wage Protection Law) or claims under the Annual Leave Law (section 31 of that Law). The guide to Labor Court proceedings sets out the stages of the proceedings.
Frequently asked questions
Can you pay the employee for the advance notice period instead of having them work it?
Yes. Section 6(a) of the Advance Notice of Dismissal and Resignation Law allows the employer to waive the employee's presence and work during the notice period, in whole or in part, provided it pays them compensation equal to their regular wage for the period it waived.
An employee resigned and left without advance notice. Does that matter?
Yes. An employee who resigns must also give advance notice, on the same seniority scale (sections 2(b) and 5 of the Advance Notice of Dismissal and Resignation Law). An employee who stopped working without giving it must pay the employer compensation equal to their regular wage for the period for which notice was not given (section 7(b)).
We did not manage to file a statement of defense on time. What may happen?
The court may give judgment in the defendant's absence, based on the statement of claim alone (regulation 43(a) of the Labor Court Regulations (Rules of Procedure), 5752-1991). A judge or a registrar may extend the deadline for filing the statement of defense (regulation 28), so when more time is needed, apply as early as possible.
We are a small business. Do we also have to keep a record of working hours?
Under a notice published under section 25(b) of the Hours of Work and Rest Law, the duty to keep a register of working hours applies to anyone who employs an employee for a business, a profession or a public service. Without such a record, in a claim where the working hours are disputed, the burden of proof shifts to the employer, and for overtime up to 15 hours a week or 60 a month (section 26B of the Wage Protection Law).
We engaged a freelancer for several years. What is the risk if they are recognized as an employee?
If the court finds that there was an employer-employee relationship, the freelancer is entitled to employee rights for the period that is not time-barred. Under the Kota case, the employer may set off against those rights only up to the gap between what was paid to them and the cost of an employee according to the “alternative wage” that the employer proves, and the starting point is that the court will also award non-monetary compensation, unless the employer persuades it not to (Labor Appeal 15868-04-18, paragraphs 65–67).
We received a notice of intent to impose a monetary sanction. How long do we have to respond?
30 days from the day the notice was delivered, in writing. Without a response within the 30 days, the notice is treated as a demand for payment (sections 6 and 7(c) of the Increased Enforcement of Labor Laws Law). A decision can be appealed (arar) within 14 days (section 18).
Does a written employment contract replace the notice of employment terms?
Yes, if it includes all the details in section 2(a) of the Notice to Employee Law and also the additional details in the regulations (the wage basis and any payment in kind), and it was given within the deadlines in section 1 (section 2(d); regulation 2).
Employer duties, dismissals and Labor Court proceedings: the detailed guides on this site, with references to the sections of the law
- Non-solicitation of employees and customers: what it prohibits, when it is valid, and what to do when threatened with a claimA non-solicitation clause is enforced only when it protects a legitimate interest (a trade secret, a confidential customer list or special training) and is proportionate in time and scope. And what to do when someone threatens to sue.
- Employer-employee relationship: employee or independent contractor? The tests in the case lawThe integration test, the Kota case, and the questions the court examines.
- Notice of employment terms: which terms of employment it must include, and by whenThe details in section 2 and in the regulations, Form 1, and notice of a change.
- Employer obligations in Israel: a checklist under the lawPayslip, pension, notice of employment terms and pre-dismissal hearing: what to check before a dispute arises.
- Pre-dismissal hearing: what must happen and whenPre-dismissal hearing, advance notice and severance pay, step by step.
- Wrongful dismissal in Israel: when it happens, what you are owed and how to sueProtected periods, the prohibition on discrimination, and what the Labor Court may award.
- Payslip review by a lawyer and CPAThe payslip review also suits an employer, before an audit or before an employee's employment ends.
- Wage claim against an employer: unpaid salary, overtime, pension and recuperation payWhat an employee may claim, and which limitation periods apply.
- The Labor Court: the stages and deadlines of the proceedingStatement of defense, pretrial hearing, evidence and judgment, and the deadlines in the regulations.
- What an employment contract must contain, and what is voidWhat goes into the contract, and which terms are void even if the employee signed them.
- Golden parachute: an executive’s exit terms under Israeli law
- Temperature at the workplace: what the law requires
- Employing foreign workers: the permit, the employer’s duties and the sanctions
- Remote work: legal aspects and employment law
- Vaccinations and work: what an employer may require
- Protection of whistleblowers: what an employer may not do
Is an employee filing a claim, or are you about to hold a pre-dismissal hearing?
Tell us, in short, what it is about and what the timeline is. On the first call I will find out what happened and what the next step is.
+972-50-431-3155WhatsAppLeave your detailsCalls and replies in English or Hebrew
- Advance Notice of Dismissal and Resignation Law, 5761-2001: full text (Wikisource)
- Notice to Employee and Job Candidate (Terms of Employment and Screening and Hiring Procedures) Law, 5762-2002: full text (Wikisource)
- Hours of Work and Rest Law, 5711-1951: full text (Wikisource)
- Wage Protection Law, 5718-1958: full text (Wikisource)
- Women's Employment Law, 5714-1954: full text (Wikisource)
- Sick Pay Law, 5736-1976: full text (Wikisource)
- Discharged Soldiers (Reinstatement in Employment) Law, 5709-1949: full text (Wikisource)
- Employment (Equal Opportunities) Law, 5748-1988: full text (Wikisource)
- Labor Court Law, 5729-1969: full text (Wikisource)
- Labor Court Regulations (Rules of Procedure), 5752-1991: full text (Wikisource)
- Increased Enforcement of Labor Laws Law, 5772-2011: sections 3–22 and the Second Schedule (Wikisource)
- Notice on updating the monetary sanction amount, Yalkut HaPirsumim 14188, 22 January 2026, p. 3338 (the amounts for 2026)
- Notice to Employee (Terms of Employment) (Form and Details of Notice) Regulations, 5762-2002: Kovetz HaTakanot (official gazette of regulations) 6180, 7 July 2002 (Reshumot, scan, in Hebrew)
- Labor Appeal 15868-04-18 et al. (National Labor Court, expanded panel, 7 April 2021)
- Kol Zchut (All Rights): pre-dismissal hearing
- Advance Notice of Dismissal and Resignation Law: the sections this site discusses
- Wage Protection Law: the sections this site discusses
- Women’s Employment Law: the sections this site discusses
- Labor Court Law: the sections this site discusses
The links lead to the original legislation (in Hebrew). The binding text is the one published in Sefer HaHukim (the official gazette of statutes). The information is general and is not legal advice.
