Frequently Asked Questions

An Employer of Record (EOR) is a third-party organisation that legally employs workers on behalf of another company. CWS Israel acts as the formal employer for your Israeli team members — handling employment contracts, payroll, tax withholding, pension contributions, and all statutory benefits — while you retain day-to-day management and direction of the employee's work.

This allows global companies to hire in Israel quickly and compliantly without establishing a local legal entity.

No. That's the primary benefit of using CWS Israel as your EOR. We are the legal employer of record, so you don't need to register a local company, open a bank account, or navigate Israeli corporate registration. You can hire your first Israeli employee within days of signing a service agreement with us.

CWS Israel Ltd is the legal employer on record. The employment contract is between the employee and CWS Israel. You (the client) are the economic employer — you direct the work, set deliverables, and manage performance. CWS Israel handles all legal obligations: payroll, tax, benefits, and compliance.

EOR is used when you do not have an Israeli legal entity. CWS Israel becomes the legal employer and takes on all employment liability. Payroll outsourcing is used when you already have an Israeli entity — CWS manages payroll on your behalf, but you remain the legal employer.

• No Israeli entity → use EOR
• Existing Israeli entity → use Payroll Outsourcing

Yes, with appropriate documentation. Israeli citizens and permanent residents can be onboarded immediately. Foreign nationals require a valid work permit or visa. CWS Israel can assist with B1 expert visa applications for eligible foreign national hires. All employees must be legally authorised to work in Israel.

Under Israeli labour law, every employee is entitled to:

• Pension contributions: Employer contributes ~7.5% + 8.33% compensation reserve
• National Insurance (Bituach Leumi): ~3.55–7.6% employer contribution
• Annual leave: Minimum 12 days per year (increases with seniority)
• Sick leave: Up to 1.5 days per month, accruing up to 90 days
• Recovery allowance (Dmei Havra'a): Annual payment (~379–473 NIS/day)
• Severance pay reserve: 8.33% of monthly salary, deposited monthly

Israeli labour law requires a notice period (typically 1 month for employees with 1+ year of service) and a formal hearing process before termination. Employees with over 1 year of service are generally entitled to severance pay. CWS Israel manages the entire termination process in compliance with Israeli law.

We offer an 8-week satisfaction guarantee. If you are not satisfied within the first 8 weeks, you can exit the arrangement. Beyond that, the service agreement includes standard notice terms. There is no multi-year lock-in.

CWS Israel offers two pricing models:

• Essential Boutique: $599/month flat fee — ideal for straightforward compensation packages
• Premium Boutique: 9.5% of total employer cost — ideal for complex packages

A one-month employment cost deposit is required at onboarding. See Pricing page for full details.

The Essential Boutique includes: employment contract drafting, monthly payroll processing, tax withholding & National Insurance filing, pension fund management, statutory benefit administration, HR compliance support, dedicated account contact, and 24-hour response guarantee.

Note: This is the management fee only. Employer costs are billed separately.

The Premium Boutique is priced at 9.5% of total employer cost — gross salary plus all statutory employer contributions. It includes everything in Essential plus enhanced HR support, complex benefits structuring, and priority service. This model is better value for higher-salary employees.

There is no setup fee, but we require a one-month deposit equal to one month's total employer cost. This deposit is held as security and refunded at the end of the engagement. All costs are transparently itemised on your monthly invoice.

CWS Israel offers an 8-week satisfaction guarantee. If within the first 8 weeks you are not satisfied with our services for any reason, you can exit without penalty. This reflects our commitment to quality and transparency.

Our 4-step cycle: 8th — you provide salary inputs; 10th — CWS issues itemised invoice; within 14 days — you pay; first week next month — employee receives salary. All invoices are in USD.

Yes. CWS Israel has operated since 2014 and maintains full compliance with Israeli labour law, tax law, and social insurance regulations. Our compliance framework is independently verified by PwC (PricewaterhouseCoopers).

As the legal employer, CWS Israel carries the primary employment liability — including wrongful termination, unpaid wages, benefits disputes, and National Insurance claims. This shields your company from direct Israeli employment litigation.

CWS Israel engages PricewaterhouseCoopers (PwC) as our independent compliance auditor. PwC periodically reviews our payroll processes, tax filings, and employment practices to verify they meet Israeli regulatory requirements.

For each employee: name, email, phone, role title, agreed salary, and start date. CWS then collects directly from the employee: 2x ID, tax declaration (Tofes 101), pension election form, and bank details.

Under Israeli law, all employment contracts are open-ended (indefinite term). They have a start date but no end date. Fixed-term contracts are rarely used and can create legal complications. CWS Israel issues compliant open-ended employment contracts for all employees.

Key payslip items unique to Israel:

• National Insurance (Bituach Leumi): Both employer and employee contribute
• Pension Contribution: Mandatory superannuation
• Compensation Reserve: 8.33% severance savings deposited monthly
• Recuperation (Dmei Havra'a): Annual recovery allowance
• Income Tax Withholding: Progressive rates withheld at source

Freelancer Shield is CWS Israel's service for independent contractors (osek murshe / osek patur) working with international clients. It allows Israeli freelancers to receive foreign-currency payments compliantly, issue VAT-compliant invoices, and handle all international admin.

Designed for: Israeli freelancers (osek murshe or osek patur) working with overseas clients; foreign companies engaging Israeli contractors; and Olim Hadashim building their freelance practice. If you're an Israeli-registered contractor receiving USD, EUR, or other foreign currency — Freelancer Shield is built for you.

Transparent pricing: 5% of gross salary/invoice value plus 50 NIS per invoice. No monthly retainer, no hidden charges. You only pay when you invoice.

Sign up at our Freelancer Shield sign-up form. You'll need your Israeli business registration number, ID, and bank details. Once approved, you can start submitting invoices through the portal.

Freelancer Shield handles invoicing in USD, EUR, GBP, and AUD. Payments are received in foreign currency and disbursed to your Israeli bank account in NIS at a competitive exchange rate.

Yes. CWS Israel assists with B1 expert (work) visa applications for foreign nationals being employed through our EOR service. We manage the application process with the Israeli Population and Immigration Authority (PIBA).

The B1 visa is Israel's primary work permit for foreign nationals. The B1 expert visa is specifically for highly-skilled professionals in fields where there is a shortage of Israeli talent — technology, engineering, finance, and specialised services.

Typically, B1 expert visa applications take 4–8 weeks from submission of complete documentation. CWS Israel will provide an estimated timeline based on current conditions. We recommend starting visa applications well in advance.

CWS Israel's B1 expert visa assistance is approximately NIS 28,000 per 12-month visa. This covers professional fees, government fees, documentation preparation, and PIBA liaison.

Foreign nationals must have legal authorisation to work in Israel before employment commences. CWS Israel can initiate the visa application process in parallel with onboarding preparation to minimise delay.

Typically 3–5 business days. In straightforward cases (Israeli citizen, existing pension fund), it can be as fast as 48 hours. Speed depends on how quickly both parties provide required documentation.

Just: employee full name, email, phone; job title and brief role description; agreed monthly gross salary; desired start date; and any additional benefits. CWS handles everything else.

Every client is assigned a dedicated account manager from onboarding through the life of the engagement. You won't deal with a call centre — you'll have a direct contact who knows your account. We guarantee a 24-hour human response to all enquiries.

No minimum. CWS Israel works with companies hiring just 1 employee all the way through to enterprises with 50+ Israeli team members. We're a boutique EOR — same service and attention regardless of headcount.

Yes. Setup costs: accounting/tax registration ~NIS 10,530; legal setup ~NIS 14,040; registered office ~NIS 8,775/month (all incl. VAT). We can also transition your EOR employees to your new entity once established.