Ministry of Economy and Industry Increases Enforcement Measures

Lately, we have noticed a substantial increase in the number of enforcement proceedings administered by the Ministry of Economy and Industry’s Labor Branch – Regulation and Enforcement Administration.

Such proceedings include unannounced visits to workplaces, as well as demands to submit information, documents, and more. Such actions may result in criminal proceedings before the labor courts, and ultimately fines or monetary sanctions, as well as a criminal record for the company and its senior officers.

The Regulation and Enforcement Administration is a secondary branch of the Ministry of Economy. It is charged with administering workers’ rights enforcement in the workplace. The Regulation and Enforcement Administration’s representatives have the authority to enter workplaces, demand documents, and carry out investigations with respect to workplace compliance with labor and employment laws.

Considering the noticeable increase in enforcement proceedings, we advise you to look into your engagements with manpower, security, cleaning, and recruitment contractors. This includes verifying that such personnel possess a valid license to provide such services. We also recommend issuing reminders on your workplace’s procedures for reporting attendance and ensuring that all employees have received their employment agreements and their legally required notices of terms and conditions of employment.

The aforementioned inspections are, of course, mere examples of the matters under the Regulation and Enforcement Administration’s authority. As we understand, the Regulation and Enforcement Administration is currently carrying out inspections that apply to additional arrangements and laws. Therefore, we advise you to seek counsel to ensure full compliance with your duties as employers under applicable labor and employment law.

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Our firm is at your disposal for further question on Employers labor law, as well as other legal issues. 

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