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How do working terms and agreements in Israel differ?

A variety of benefits are found in the Israeli workplace. None of these are required, however the rule of thumb is that the higher the salary, the more likely that one or more benefits will be offered.

Some of the more common benefits include:
  • Pension - An obligatory employee sponsored pension fund is currently being discussed in the Knesset; for now it is optional.
  • Bituach Menahelim - insurance/retirement
  • Keren Hishtalmut - savings plan
  • Pitzuim – severance pay, sometimes paid to employee when leaving company independent of the reason
  • Company car
  • Lunches at subsidized rates

Fully combined, the company contribution can amount to more than 20% of your base salary.

Standard deductions include Bituach Leumi (National Insurance), Kupat Holim (health insurance), and the employee portion of saving plans when relevant.
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