Israel Professional Employment Organization

Israel Professional Employment Organization

Israel Professional Employment Organization- One of the main challenges investors and entrepreneurs face is to find highly skilled workers without registering a legal entity or establishing a subsidiary. In PEO Middle East, we allow our partners to quickly employ workers in Israel in just a few days instead of the usual months this process takes.

Israel Professional Employment Organization, Compensation and Benefits

Israel Professional Employment Organization- Thus, we onboard the workers complying with the country’s labor laws and regulations. However, they start working with you as if they were an in-house employee.

Table of contents

  1. Israel
  2. Hiring Considerations in Israel
  3. Must-knows for doing businesses in Israel
  4. Employment Contracts in Israel
  5. Probation periods
  6. Bonuses
  7. Termination and severance considerations
  8. Payroll
  9. Access the best advantages with PEO Middle East
  10. Why PEO Middle East is the best option in Israel Professional Employment Organization?
Israel Professional Employment Organization


The country is one of the most popular destinations for investors and entrepreneurs due to its large technology sector. In the same vein, Israeli laws are complex and have strong worker regulations; therefore, you must pay great attention to details when negotiating an employment contract.

However, in PEO Middle East we take care of the tedious parts of this process while you focus on expanding into Israel.

Similarly, the country has established a free-market economy with the service sector as the main area. Thus, the technology industry of Israel has grown a lot on a global scale and is still developing massively. Therefore, multinationals are established here with various research centers such as Google, Microsoft, Apple. However, Israel is very popular amongst start-ups.

The country has free trade agreements with the US, the European Union, and many other important countries around the globe. As a result, without a doubt, Israel is one of the best destinations for innovation and growth.

Hiring Considerations in Israel

Main benefits of hiring in Israel:

  • Businesses embracing revolutionary ideas.
  • Although it is one of the world’s smallest countries, it ranks as the 20th most competitive business economy across the globe.
  • The country is usually known for its innovative spirit; Israel is a business hub for business growth and has a massive start-up culture. Similarly, The World Economic Forum puts Israel as the worldwide leader in:
    • Firstly, Israel leads in the research and development (R&D) areas, this is due to its active startup market.
    • Secondly, it has a good spirit towards entrepreneurial risk.
    • Growth of fresh and innovative organizations.
  • The workforce of Israel is highly educated and skilled. Similarly, the country ranks only behind the US in ease of accessing venture capital and finding workers with the right skills.

Must-knows for doing businesses in Israel

  • Certainly, straightforward communication is expected, Israelis communicate directly, they are also known for being assertive and forward. Therefore, you may avoid being overly polite or subtlety;
  • You must be prepared for strong negotiations. In addition, Israelis are also known for their negotiating and deal-making skills.
  • Closeness is not considered a gesture of aggression or offense; it is a usual cultural practice. Therefore, do not frighten yourself if you feel your counterpart invaded your personal space. However, avoid moving away from them since it is considered an offense.
  • Arrive at your meetings on time; however, your Israeli business counterparts may arrive late. On the other hand, people of this country often move quickly and change or make plans on the spot. Therefore, you must stay adaptable and flexible when doing business in the Country.
  • You must not schedule meetings or do business on Fridays or Saturdays; these are the resting days nationally.

Employment Contracts in Israel

  • The official mandatory minimum wage in Israel is NIS 5,200 (approximately 1,560 USD) per month worked.
  • NIS 213 (approximately $62) daily for employees working 5 days per week.
  • NIS 245 (approximately $72) daily for an employee working 6 days per week.

Probation periods

Companies and workers can reach an agreement on the length of the probation period; it can range from 1 to 12 months.


Certainly, some organizations in the country tend to pay their workforce a 13-month salary. However, the law does not mandate this.

Termination and severance considerations

  • The Advance Notice for Dismissal and Resignation Law states that companies and employees must provide notice for termination of employment.
  • The period of notice depends on the duration of continuous employment; however, it cannot exceed 30 calendar days.
  • Companies can avoid the notice period if they pay the employee the salaries during the period.


  • Certainly, a normal workweek in the country reaches from Sunday to Thursday and encompasses 42 hours.
  • Secondly, normal hours for workers include 8.5 hours daily over a 4-day period and 7.5 hours for the remaining day.
  • Employing working 6 days weekly will divide the hours to 8 during 4 days, 7 hours on another day, and 3 on Friday.


  • The standard overtime hours include any work hours exceeding the limits stated above. However, in order to work overtime hours, companies or employees must obtain a permit from the Ministry of Labor and meet the following restrictions:
    • Individuals cannot work more than 12 hours daily, including the overtime periods but excluding breaks.
    • The employee cannot work for more than 16 hours of overtime weekly.
  • In other words, Israeli law states that workers receive a minimum of 8 hours off in between one working day and the next. However, the law mandates that without this break, the law views this 2nd day as overtime and states that the company pays the worker accordingly.
  • However, workers of this country have the right to 1.25 pay for the first 2 hours of overtime. In addition, 1.5 times pay for any additional overtime hours.

Access the best advantages of Israel Professional Employment Organization with PEO Middle East

Smooth your processes: make your company work efficiently by receiving ongoing support from our team of experts.

Enhance your management: have better management of your employees with our assistance that puts them in the first place.

Financial advantages: our rates allow you and your business to improve your finances and save money.

Legal risks: you will focus on the core activities of your company since our team of experts will back you up every time.

Advanced technology: certainly, in PEO Middle East we provide you with the latest software and resources to streamline your tasks.

Competitive benefits: we allow you to increase employee retention and attract highly skilled workers with our top benefits.

Why PEO Middle East is the best in Israel Professional Employment Organization?

Hiring the best workers quickly in a new country is one of the most difficult and complex processes if you are not guided by experts. Similarly, Israeli employment laws have massive worker protection, this requires you to pay attention to details in this tedious process. In PEO Middle East, we allow our partners to employ workers in a matter of days skipping the usual months it takes.

That is to say, working side-by-side with us you will expand into Israel quickly without having to establish a legal entity or a branch office.

To sum up, if you would like to discover how we can provide you with the best Israel Professional Employment Organization,PEO solution in Israel; you can call us at +971 433 1 688. Or if you prefer, email us via [email protected].

Israel Professional Employment Organization and Benefits

Israel Professional Employment Organization-An international workforce is an essential tool for your company's growth. Expansion comes with a few hurdles, though. Managing your team in a single office involves several administrative tasks. Those responsibilities become even more challenging when you have employees around the world.