Client updates /  Compensation

After lengthy discussions, the Knesset approved a wartime compensation outline for businesses. The outline offers compensation of up to a maximum of ILS 1.2 million to businesses with annual turnovers ranging between ILS 12,000 and ILS 400 million.

Employers may claim compensation for wages paid to employees unable to report for work because of evacuation from one of the border communities specified in government decisions.

The compensation for businesses will be based on their fixed expenses, which they must bear despite the decrease in revenue and business activity, and to help businesses survive the period.

The Israeli National Labor Court awarded ILS 300,000 to the employee after a regional labor court awarded the employee only ILS 60,000.

Employers are able to receive compensation from the ITA for wage payments paid to employees who were absent during the Operation.

The latest amendment includes a limit on linkage to the construction input index and revises contractors’ compensation rates for delays in apartment deliveries

A recent judgment by the Hadera Magistrate’s Court holds that modifications to an apartment made at a purchaser’s request do not constitute just cause for late delivery and that the purchaser must be compensated for any delay.