Navigating employment regulations in Israel requires a clear understanding of the rules governing working hours, overtime, and rest periods. These regulations are designed to protect employees' well-being and ensure fair compensation for time worked. Compliance with these laws is mandatory for all employers operating within the country, regardless of the size or nature of the business.
Adhering to the specific requirements for standard workweeks, calculating and paying overtime correctly, providing adequate rest and break times, and properly recording hours are fundamental aspects of managing a workforce in Israel. Employers must stay informed about these requirements to avoid potential legal issues and maintain a compliant operation.
Standard Working Hours and Workweek Structure
The standard workweek in Israel is set at 42 hours. This limit applies to most employees. The structure of the workweek can vary, commonly being a 5-day or 6-day week.
For a 5-day workweek, the maximum number of standard working hours per day is typically 9 hours. For a 6-day workweek, the maximum number of standard working hours per day is typically 8 hours. However, daily hours can be extended through overtime, subject to specific limits.
Overtime Regulations and Compensation
Work performed beyond the standard daily or weekly hours is considered overtime and must be compensated at a higher rate. Overtime calculation is based on exceeding either the daily or the weekly standard hours, whichever results in a higher overtime amount for the employee.
The standard overtime rates are:
- For the first two hours of overtime on any given day or in a given week: 125% of the employee's regular hourly wage.
- For any subsequent hour of overtime on that day or in that week: 150% of the employee's regular hourly wage.
It is important to note that the calculation can be complex, especially when daily and weekly overtime limits are both exceeded. Employers must ensure accurate tracking to apply the correct rates.
| Overtime Hours | Compensation Rate |
|---|---|
| First 2 hours (daily/weekly) | 125% |
| Subsequent hours (daily/weekly) | 150% |
Rest Periods and Break Entitlements
Israeli law mandates specific rest periods to ensure employees have adequate time off.
- Daily Rest: Employees are entitled to a minimum of 9 consecutive hours of rest between working days.
- Weekly Rest: Employees are entitled to a minimum of 36 consecutive hours of rest per week. This period must include the employee's designated day of rest, which is typically the Sabbath (Saturday) for Jewish employees, Sunday for Christian employees, and Friday for Muslim employees, or another day agreed upon by the employer and employee.
During the workday, employees are also entitled to breaks:
- For a workday of 6 hours or more, employees are entitled to a break of at least 45 minutes.
- At least 30 minutes of this break must be consecutive.
- Breaks are generally unpaid unless the employer requires the employee to remain available for work during the break.
Night Shift and Weekend Work Regulations
Specific regulations apply to work performed during night hours or on the weekly rest day (weekend).
- Night Work: Work performed during defined night hours (typically between 10:00 PM and 6:00 AM) may be subject to restrictions on the number of consecutive night shifts or total hours worked during a specific period. Employees working night shifts may also be entitled to additional compensation or benefits.
- Weekend Work: Work performed during the mandatory weekly rest period (e.g., Sabbath) is generally prohibited unless a special permit has been obtained from the Ministry of Labor. When weekend work is permitted, employees are typically entitled to a higher rate of pay, often starting at 150% of their regular wage for standard hours worked on the rest day, with overtime rates applied on top of this base rate for hours exceeding the standard daily limit on that day.
Working Time Recording Obligations
Employers in Israel have a legal obligation to maintain accurate and detailed records of their employees' working hours. This is crucial for demonstrating compliance with working time, overtime, and rest period regulations.
Required records typically include:
- Employee's full name.
- Date of work.
- Start time of work.
- End time of work.
- Duration of unpaid breaks.
- Total hours worked per day.
- Total hours worked per week.
- Calculation and payment of overtime hours.
These records must be kept for a specified period (usually 7 years) and must be accessible for inspection by the relevant authorities. Failure to maintain accurate records can result in significant penalties for the employer. Utilizing automated time tracking systems is a common method for ensuring compliance with this requirement.
