Contracting in Israel

Contracting in Israel
Photocredit - Raz Chorev

Have you ever wished to work in Israel or are you living in Israel and you are looking for a job as a contractor? If yes, then you are in the right place. In this article, we are going to look at contracting in Israel or working in Israel as a contractor and some of the things you need to know as a contractor in Israel.

In Israel, contract employment covers about 5-10% of all employment in the labor market. Contract employment is mostly done through manpower or employment agencies that connect employees to their employers and also negotiate employment terms between the two parties. This is done in a number of ways, for instance, there are those companies that outsource workers to other companies and companies whose services are provided for by its employees.

Contracting in Israel is common in sectors like dining, hospitality, engineering, technology, security, law, recruitment, social work, teaching, and maintenance. These opportunities are largely given to disadvantaged groups like women, migrant workers, and new immigrants. Contractors might not receive their full employment rights like a vacation, annual leave, overtime or prior notice of dismissal so it’s important to know your rights.

Understanding employment contracts in Israel

As a contractor, you and your employer must sign a contract within the first 30 days of starting work. This is very important as it clearly stipulates your working hours, sick pay, insurance deductions, salary, terms of work and unemployment compensation. Therefore, it is very important that you request to be given a contract to sign within the first 30 days.

Remember, a poorly-written contract can have inadvertent implications for you as an employee. The Israeli government has in place labor laws that protect employee benefits including contractors, however, the law cannot protect you if you sign a contract that has modified employee benefit terms and agreement. It is essential that you seek professional help whenever you do not understand the terms included in an employment contract.

The Contractor’s rights

There is a difference between a company employee and a contractor. In a nutshell, a contractor is basically someone you contract for a short-term work or for a specific project. These type of workers are entitled to the compensation agreed upon between the worker and the employer or the agreed payment once the project is complete. Contractors are not entitled to other employee benefits. However, if the freelance employee or contractor works for more than the stipulated time frame with the same employer and is present at the company or business premise just like a full-time employee, he or she will be considered a full-time employee by the labor court in Israel in the case of a dispute.

In Israel, there are two types of contracts: fixed-term contract and indeterminate duration. The indeterminate duration type of contract is commonly used in Israel by contracting enterprises and it means working for a company indefinitely. This contract basically means that an employee will work for you under specified terms and conditions.

The fixed-term type of contract means that a worker will work for your company for a short-term work or a specified project. Once the project is complete, you can let the employee go. This is a common type of contract used for freelance employees or during seasonal work. The contract is terminated once the time expires.

As a contractor in Israel, you need to know your rights, know what you need to do and receive from your employer and ensure that you have all the necessary documents as a worker in Israel. If you need help, always seek the services of a professional who will guide you on what to do.

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