The Duty of Employers who engage foreign workers in Israel
Under the Israeli law, Israeli employers who engage foreign workers must provide those workers with all social rights and benefits to which Israeli employees are entitled, such as minimum wage, payment for working overtime, annual vacation, travel expenses, pension plan (after a certain period at work), etc.
Furthermore, employers of foreign workers must obtain special permits from the Ministry of Industry, Trade & Labor in order to lawfully employ the foreign workers and must also get the foreign workers to sign an employment contract drafted in their language and provide them with health insurance, national insurance and appropriate accommodation. Employment of a foreign worker that is against the law constitutes a criminal offence, which may impose a financial sanction and even imprisonment. In addition, there is a fiduciary duty upon corporate officers (a company's manager, a partner or an employer who is in charge of employment of foreign workers) to comply with the rules of law.
For example, the National Labor Court has recently charged a company with a fine in the amount of 150,000 NIS for employing a Chinese worker against the law. The company's manager was personally convicted and charged with a personal fine in the amount of 45,000 NIS. (27/07 The State of Israel v. Tasa, 17.7.2008).
For further details and assistance please contact Adv. Anat Kenet and Adv. Daniel Hadash, the department of labor law, Lipa Meir & Co. Advocates Dhadash@lipameir.co.il