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Termination – Hearing Proceeding:
Under Israeli law, a prior hearing proceeding is
a prerequisite to the termination of employment of any employee, regardless of the
employee's position or seniority. In the mandatory written hearing notice, the employer
must present valid reasons for considering such termination and give the employee
sufficient time to prepare for the hearing. At the hearing, the employer must give the
employee the opportunity to reply to the issuesmentioned in the hearing notice. Failure to
holdany of thesedemands,might lead to awrongful termination suit against the employer.
Rules under Israeli labor law aimed at protecting the employees' non-
financial rights
Employment Agreement:
Under the Law of Notice to an Employee (Terms of
Employment) – 2002, an employer is required to provide each new employee, within 30
days of the start of employment, with a written notice outlining certain terms of his/
her employment.
Discrimination:
The Law of Equal Opportunities at Workplaces – 1988 prohibits a
differential treatment of employees based on gender, race, sexual orientation, religion,
etc. Differentiation between employees will not be deemed discriminatory if it is due to
the specific nature or characteristics of the job or position. Furthermore, under Israeli law
it is prohibited to differentiate with respect to employment terms between female and
male employees performing similar jobs. With respect to age discrimination, it is worth
noting (a) that the mandatory retirement age for both female and male employees in
Israel is 67 and (b) that in recent years, the labor courts have held that the mere fact
that the employee has reached the mandatory retirement age does not necessarily
constitute a reason to terminate his/her employment.
Female Employees:
The Employment ofWomen Law– 1954 (the “Women Labor Law”),
provides a broad umbrella of protective provisions to Israeli women employees and for
men who are willing to take on the role of primary child caregivers. The Women Labor
Law prohibits the termination of an employee undergoing fertility treatments or who is
pregnant, without the employer having obtained the approval of the Commissioner of
Employment of Women in the Ministry of Economy in the Ministry of Economy. The law
also prohibits the termination of an employee who is on maternity leave until 60 days
after her maternity leave ends.
Disabled Employees:
A recent expansion order, applying to all employers, requires that
all employers that employ over 100 employees must integrate in their organizations
people with disabilities (whether physical or mental). By 2016, all organizations
employing more than 100 employees will need to show that at least 3% of their labor
force comprises people with disabilities.
Recent trends in Israeli labor law
Unionization Attempts:
In recent years, the Israeli labor courts have upheld a number
of initial attempts by employees to organize collective employment relationships at their
respectivecompaniesby joining labor unions,several ofwhichare in thehigh-tech industry.
In light of these precedents, the applicable rules in this area are evolving at a rapid pace. ֿ
Security, Catering and Cleaning Service Providers:
Recently, the Israeli legislator has
imposed on companies engaging workers in the security, catering and cleaning service
sectors an increasing obligation to ensure that these workers are being compensated
in accordance with applicable laws. The legislator also placed administrative, civil and
criminal liability on the companies benefiting from such services, who will fail to meet
their statutory oversight obligations.