Global Employment Solutions & PEO in Israel

Omnipresent makes it fast and easy to employ remote talent in Israel. We take care of payroll, compliance, taxes, and admin so you can focus on growing your business.


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Employment Costs

What You Need to Know About Employing in Israel

Don’t risk non-compliance with local employment, social insurance, and tax regulations.

Select any of the categories below to learn more, and even review our employee cost salary calculator in Israel.

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How it works
Employer Costs
Employee Income Taxes
Employee Social Contributions
Working Hours
Holidays & Vacation
Sick Leave Entitlement
Parental Leave
Annual Leave Entitlement
Severance Pay Entitlement
Employment Cost Calculator

How does Omnipresent Global Employment Solutions work in Israel?

Omnipresent provides global employment solutions and professional employment organisation (PEO) services for companies looking to grow and build out a global team in Israel. Traditional methods of establishing global employment and subsidiaries in Israel typically take months and can incur heavy costs. Omnipresent’s global employment solutions and PEO services is helping hundreds of organisations onboard new employees in Israel in a matter of days with full compliance of local labour laws. We use a tech-forward approach to streamline the process. 

  • Your company conducts the hiring and candidate selection process in Israel.
  • Omnipresent hires the selected candidate through our local professional employment organisation in Israel.
  • We take care of ensuring your new employee is hired in compliance with local labour laws, payroll regulations, benefits and more -- all without needing to set up a subsidiary in Israel.
  • The individual is legally contracted by Omnipresent but assigned to work for your company and reports to a manager or team in your organisation as your full-time employee.
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Employer Costs in Israel

Employer costs include Transportation, Severance Pay, and Pension Fund and Insurance. Use the OmniCalculator to estimate costs or contact us for further information.


Employee Income Taxes in Israel

The rate of personal taxation varies depending on the income tax bracket the individual belongs to. This ranges between 10% - 47%.


Employee Social Contributions in Israel

Employee contributions include National Insurance and Health Insurance.


Working Hours in Israel

42 hours/week and 8 hours/day. The workweek is Sunday-Thursday. Any hours above are considered overtime. Overtime is compensated at a rate of 1.25x-1.50x salary and capped at max. 16 hours/week.


Holidays & Vacation in Israel

Please note that the below information covers national holidays and should be used for informative purposes only and not as a guarantee for payroll purposes. While we strive to offer you accurate information, public holidays are subject to frequent changes and can be dependent on regional differences. Should you need more detailed information on public holidays, please consult the government pages of the state and/or the local municipality of your employee.

  • Tuesday, Apr 23, 2024 - Passover (Pesach) (פסח)
  • Monday, Apr 29, 2024 - Mimouna, Seventh day of Passover (מימונה, שביעי של פסח)
  • Tuesday, May 14, 2024 - Independence Day (Yom HaAtzmaut) (יום העצמאות)
  • Wednesday, Jun 12, 2024 - Shavuot (Feast of Weeks) (שבועות)
  • Thursday, Oct 03, 2024 - Rosh Hashanah (Yom Teruah) (ראש השנה)
  • Friday, Oct 04, 2024 - Rosh Hashanah (Day 2) (ראש השנה יום 2)
  • Saturday, Oct 12, 2024 - Day of Atonement (Yom Kippur) (יום כיפור)
  • Thursday, Oct 17, 2024 - Feast of Tabernacles (Sukkot) (סוכות)
  • Thursday, Oct 24, 2024 - Simchat Torah/ Shmini Atzeret (שמחת תורה/שמיני עצרת)

Sick Leave Entitlement in Israel

Accrued at a rate of 1.5 days per month with a maximum of 90 days total. Paid at 0%-100% regular pay depending on length.

Parental Leave in Israel

Maternity: 15 weeks paid leave + 11 weeks unpaid leave.

Paternity: Father entitled to use up to 6 weeks of mother's maternity leave if mother waives entitlement.

Annual Leave Entitlement in Israel

Depends on years of service, from 12-20 working days min.

Severance Pay Entitlement in Israel

Yes. Severance pay depends on years of continuous service. 1 months’ salary for every year worked is paid as severance. 8.33% contribution covers this payment (if paid by employer each month).

Termination in Israel

Formal process required, and notice and severance is payable in most cases. However, termination can be based on any ground other than discrimination unless the employee is part of a protected group.

Global Employment Cost Calculator in Israel

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- annual salary
Base Salary
Employer's Costs (Estimate)
Social Security - Unemployment insurance contribution
GBP 695.47
Health Insurance
GBP 695.47
Average Monthly Employer Cost *


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Grow your global team. 
Employ the best talent, anywhere in the world

The benefits of growing a global team and finding the best talent anywhere in the world are endless. It’s important to note that labour laws and regulations in Israel are strict with penalties for non-compliance. Let our team take care of the global employment solutions such as payroll, benefits, compliance, taxes, and admin so you can focus on growing your business. We are here to help you every step of the way.

Want to onboard an international employee today? Get started.

Omnipresent makes it easy to hire, pay, and support your international team with our top-notch services including our global EOR & PEO services. Book a call with us to start building your global team today. Book a call with us to start building your global team today.

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