Unemployment insurance in Israel

Chômage en Israel Cabinet Expert Comptable Dray & Dray

Who is insured for unemployment benefit in Israel?

Unemployment insurance in Israel is designed to guarantee the unemployed compensation for a limited period, to enable him to look for suitable work.

A resident of Israel or a temporary resident, who has worked as an employee or soldier in his first year of demobilization from military service.

Conditions of entitlement to unemployment benefit
1. Age - You must be over 20 and not yet 67, and under certain conditions, people between 18 and 20.
2. Complementary trial period insurance)
- 12 months for which insurance contributions were paid over the 18 months preceding the period of unemployment.
- A demobilized soldier or any person who has completed 24 months of voluntary national or civilian service will have to accumulate a trial period like any unemployed person as mentioned above. However, up to 6 months of the probationary period will be taken into account during the period of military service, national service or national civilian service. If they have been referred for vocational training by the employment services, they will be exempt from the trial period for the first year following demobilization or voluntary service.

3. If you are unemployed - you are registered with the employment services office, ready and able to work in your occupation or in any other suitable job, and if the employment services office has not offered you work as mentioned.

Maximum entitlement period for unemployment benefit in Israel
- For an unemployed person aged 45 and over, or aged 35 and over, with three dependents* - 175 days maximum
- For an unemployed person aged 35 and over without three dependents*, or under 35 with three dependents* - 138 days maximum;
- For an unemployed person who has passed the age of 28 but is not yet 35 and does not have three dependents* - 100 days maximum;
- For an unemployed person who has passed the age of 25 but is not yet 28 and does not have three dependents* - 67 days maximum;
- For an unemployed person aged 25 and over who does not have three dependents* - 50 days maximum;
- A demobilized soldier and anyone who has completed 24 months' national service or civilian national service, 70 days maximum.

* Unemployed spouse and one child under 18

Amount of unemployment benefit in Israel
- The amount of unemployment benefit per day is calculated as a percentage of your average wage over the last 6 months prior to the period of unemployment.
- The amount of unemployment benefit per day for the first 125 days will not exceed the average daily wage on the labor market (in January 2016, 378.56 shekels per day) and from the 126th day onwards, it will not exceed 2/3 of the average daily wage on the labor market (in January 2016 - 252.37 shekels per day).

For the first 5 days of unemployment in every 4 consecutive months, unemployment benefit is not paid.

''In order to verify your entitlement to unemployment benefit and the the amount of unemployment benefit due to you, consult the unemployment benefit calculator on the site Internet du Bitouah leoumi.
Income during period of unemployment
An unemployed person who, during the period of unemployment, earns income from a salaried job, self-employment or retirement, will have this income deducted from his unemployment benefits. Report this income to the Bitouah Leoumi.

Subsidy for unemployed workers with low incomes salary
An unemployed person with a job paying less than unemployment benefit will be entitled to receive compensation equal to the difference between the unemployment benefit he or she should have received and half his or her salary in the low-wage job, provided he or she works at least 25 days part-time. Compensation will be paid for a maximum of 100 days' work.

An unemployed person who has started work in a new job
An unemployed person who has started work in a new job, and who for any reason has interrupted his or her work, may return to the employment office and receive unemployment benefit until the end of the maximum number of days of unemployment per year of unemployment, without submitting a new application for unemployment benefit.

Unemployment benefit for professional training
An unemployed person, referred to a vocational training course by the employment services office, will receive unemployment benefit for the days during which he participates in the vocational training course, up to the end of the maximum number of days to which he is entitled for the unemployment year. The unemployment benefit will be 70% of the unemployment benefit to which he would have been entitled if he had been unemployed, and if he had not participated in the course. Notwithstanding the above, the types of vocational training courses for which unemployment benefit is paid in full have been laid down, and depending on the particular conditions, a person studying in a vocational training course will be entitled to receive payment for a period in excess of the days of unemployment to which he is entitled, but for a total of 138 days at most.

'' A person who has interrupted his work on its own initiative, without justification, will not start to receive unemployment benefit until 90 days after the interruption of work.

'' A person who refuses a proposal of work, will begin to receive the allowance only when only after 90 days have elapsed since the refusal to the work proposal, and 30 days will be deducted from the the maximum number of days he is entitled to, each time he refuses a job.

Applying for unemployment benefit
In order to obtain unemployment benefit for the first time, you must submit an application to the Bitouah Leoumi branch near your home. You can download the BL/1500 application form from the Bitouah Leoumi website and send it by post or fax.

''New! It is now possible to fill in the application form on the website from Bitouah Leoumi and send it online with all documents to the agency.

Application for renewal of unemployment in Israel
It is only possible to file a claim 12 months after the start of the previous entitlement period. Unemployed persons who have not yet reached the age of 40 and who file more than one claim for unemployment benefit within 4 years, will receive unemployment benefit for each claim for a maximum period of 180% of the maximum number of days (as mentioned at the beginning of the chapter). The amount of unemployment benefit for the additional period will not exceed 85% of the maximum unemployment benefit.



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