Employment & Labour Law 2011 - The International Comparative Legal Guide to

 
CONTINUE READING
Employment & Labour Law 2011 - The International Comparative Legal Guide to
The International Comparative Legal Guide to:
Employment & Labour Law 2011
A practical cross-border insight
into employment and labour law
                          Published by Global Legal Group, with contributions
                          from:

                          Afridi & Angell
                          Anderson Mori & Tomotsune
                          Andreas Neocleous & Co LLC
                          Bloomfield-Advocates & Solicitors
                          Cardenas & Cardenas Abogados
                          CASTEGNARO
                          Gerlach Rechtsanwälte
                          Heenan Blaikie LLP
                          Hogan Lovells
                          Homburger
                          HopgoodGanim Lawyers
                          KALO & ASSOCIATES
                          Khaitan & Co
                          KhattarWong
                          Koep & Partners
                          Littler Mendelson, P.C.
                          Lydian
                          Matheson Ormsby Prentice
                          Nikos Frangakis & Associates
                          Pachiu & Associates
                          Randl Partners
                          Shin & Kim
                          Shook, Hardy & Bacon L.L.P.
                          Simpson Grierson
                          Soewito Suhardiman Eddymurthy Kardono
                          VNA Legal
                          Yigal Arnon & Co.
Chapter 18

Israel                                                                                                     Ben Sandler

Yigal Arnon & Co.                                                                                           Shira Lahat

  1 Terms and Conditions of Employment                                  institutions to which such payments are to be made; and (ix) in the
                                                                        event that the employer (or the association the employer belongs to)
                                                                        is a party to a collective agreement applying to the employee’s
1.1   What are the main sources of employment law?
                                                                        employment, the name and address of such association.

The main sources of employment law are protective labour law
legislation and developing case law. In addition, there are general     1.4   Are any terms implied into contracts of employment?
collective agreements in certain industrial sectors. Certain terms of
the general collective agreements between the largest labour union      Mandatory labour protection laws are implied into all contracts of
(the “Histadrut”) and the largest organisation of employers             employment, and supersede any contractual stipulation, even if not
organisations (the “Coordinating Bureau for Economic                    written in the agreement. Arrangements set forth by collective
Organisations”) apply to all private sector employees, whether or       agreements or extension orders are also implied into contract of
not they are members of the union, by virtue of “extension orders”      employment to which they are applicable. In addition, an
issued by the Minister of Industry, Trade and Labour.                   established consistent practice of the employer in a particular
                                                                        workplace may be deemed as binding upon the employer.

1.2   What types of worker are protected by employment law?
      How are different types of worker distinguished?                  1.5   Are any minimum employment terms and conditions set
                                                                              down by law that employers have to observe?
All employees are entitled to protection under Israeli labour law.
Independent contractors and freelancers are usually not subject to      Minimum employment terms and conditions include minimum
labour laws, but in some circumstances independent contractors or       vacation days per year, sick leave days, maximum working hours
freelancers may be deemed “de facto” employees and benefit from         per day (including limitations on the number of overtime hours the
mandatory labour laws.                                                  employee may work), weekly day of rest, restrictions on night
                                                                        work, minimum wage, minimum disbursements towards pension,
                                                                        minimum travel expenses, and minimum notice requirements upon
1.3   Do contracts of employment have to be in writing? If not,
                                                                        termination of employment.
      do employees have to be provided with specific
      information in writing?
                                                                        1.6   To what extent are terms and conditions of employment
Written employment agreements are not required, but under the                 agreed through collective bargaining? Does bargaining
Notification to an Employee (Employment Conditions) Law,                      usually take place at company or industry level?
employers are obligated to provide their employees detailed written
notification of certain employment conditions, including written        Much depends on the field and industry. Generally speaking,
updates with respect to any changes in the employment conditions        company collective employment agreements are much more
(unless the changes arise from a change in the law or are visible on    commonly found in traditional industrial companies. Historically,
the employee’s pay slip).                                               certain collective employment agreements were created with
The required notification must include: (i) identification of the       application to an entire field of industry or occupation, but their
employer and the employee; (ii) the date of commencement of             terms are more general in nature and have more or less been
employment, and the term of employment (if the employment               superseded in their entirety by more specific agreements and
agreement is for a fixed period), or indication that the employment     legislation.
is not for a fixed period; (iii) a description of the main duties
required; (iv) the name or title of the employer’s direct supervisor      2 Employee Representation and Industrial
and, in a place of work where salary is determined on the basis of          Relations
ranking set forth in a collective agreement, the employee’s ranking
and the applicable salary scale; (v) all payments to be made to the
employee as compensation, and the timing of such payments; (vi)         2.1   What are the rules relating to trade union recognition?
the length of a standard workday or workweek, as applicable; (vii)
the employee’s weekly day of rest; (viii) contributions to social       Under Israeli law, an employer may not object to the incorporation
benefits made by the employer and the employee, and details of the      of a workers’ union, and must negotiate with the union in good

ICLG TO: EMPLOYMENT & LABOUR LAW 2011                                                                            WWW.ICLG.CO.UK                117
© Published and reproduced with kind permission by Global Legal Group Ltd, London
Yigal Arnon & Co.                                                                                                                  Israel

         faith. In addition, the law protects the employees and imposes a         3 Discrimination
         fine on employers who refrain from employing, dismiss or
         otherwise abuse the employment terms and conditions of members
                                                                                3.1    Are employees protected against discrimination? If so, on
         of workers unions, or employees who try to establish a workers
                                                                                       what grounds is discrimination prohibited?
         union in the workplace, or an employee who refrains from
         becoming a member of a workers union. A recognised trade union
                                                                                The purpose of the Equal Employment Opportunities Law, together
         is a union which incorporates the highest percentage, and in any
Israel

                                                                                with the Equal Opportunities for Disabled Law, the Women
         event, no less than one third, of the employees in a workplace.
                                                                                Employment Law, and some other relevant laws, is to prohibit
                                                                                discrimination on the basis of any of the following grounds: gender;
         2.2    What rights do trade unions have?                               sexual orientation; age; race; religious beliefs; nationality; country
                                                                                of origin; opinion; political party; military service (including
         The representative workers union in a workplace is usually entitled    military reserve duty); and matrimonial or parental status.
         to collect membership fees or representation fees, which are           However, Israeli labour courts have held that this list is not
         deducted by the employer from employees’ salaries and transferred      exhaustive and other discriminatory parameters can be considered
         to the union. An employer is obligated to negotiate a collective       as violation of the Law.
         employment agreement in good faith with the representative
         employee union. The union officials are entitled to access to the
                                                                                3.2    What types of discrimination are unlawful and in what
         place of employment and to meet with employees, after
                                                                                       circumstances?
         coordinating with the employer.
                                                                                Discrimination is prohibited with respect to all aspects of
         2.3    Are there any rules governing a trade union’s right to take     employment, including recruitment, promotion, advancement and
                industrial action?                                              professional training of employees, and termination (including
                                                                                when determining termination or retirement benefits).
         The Collective Agreements Law, 1957 and the Settlement of              Discrimination is also prohibited with respect to work conditions,
         Labour Disputes Law, 1957 permit unions to take industrial action      including salary, severance pay, and other benefits.
         steps (such as slowdowns, strikes, etc.) subject to certain
         restrictions and notice requirements, such as declaring a labour
                                                                                3.3    Are there any defences to a discrimination claim?
         dispute and providing advance of industrial action to the employer.
                                                                                Israeli law recognises the defence of justified distinction –
         2.4    Are employers required to set up works councils? If so,         distinction on the basis of parameters relevant for the fulfilment of
                what are the main rights and responsibilities of such           the position (such as expertise and education).
                bodies? How are works council representatives
                chosen/appointed?
                                                                                3.4    How do employees enforce their discrimination rights?
         There are no requirements for employer initiated work councils in             Can employers settle claims before or after they are
                                                                                       initiated?
         Israel. Employers may join employers’ unions, and those unions
         are authorised to sign general collective employment agreements
                                                                                Employees may bring discrimination claims before the court, the
         which apply to the members in the union and are sometimes applied
                                                                                Minister of Industry, Trade and Labour, the Equal Employment
         to specific sectors or groups through extension orders issued by the
                                                                                Opportunities Commission, or, where relevant, the Commission for
         Minister of Industry, Trade and Labour. Upon issuing such
                                                                                Equal Rights for Persons with Disabilities or the Supervisor under
         extension orders or before legislation of new regulations, the
                                                                                the Women Employment Law. Employers may settle civil claims at
         Minister of Industry, Trade and Labour usually consults the relevant
                                                                                any stage. However, violations of the Equal Employment
         employers union.
                                                                                Opportunities Law are also criminal offenses, and proceedings in
                                                                                connection therewith cannot be settled. Employees are also entitled
         2.5    In what circumstances will a works council have co-             to ask for and receive information regarding other employees’ terms
                determination rights, so that an employer is unable to          of employment, in order to be able to prove the alleged
                proceed until it has obtained works council agreement to        discrimination.
                proposals?

         This is not applicable in Israel.                                      3.5    What remedies are available to employees in successful
                                                                                       discrimination claims?

         2.6    How do the rights of trade unions and works councils            Employees may seek injunctive relief in order to eliminate the
                interact?
                                                                                discriminatory treatment or act, monetary compensation for
                                                                                damages, and statuary award without being required to prove
         This is not applicable in Israel.
                                                                                damages of up to NIS 60,000 (approximately US$16,000).

         2.7    Are employees entitled to representation at board level?
                                                                                  4 Maternity and Family Leave Rights
         This is not applicable in Israel.
                                                                                4.1    How long does maternity leave last?

                                                                                Under Israeli law, women are statutorily entitled to maternity leave.

118      WWW.ICLG.CO.UK                                                               ICLG TO: EMPLOYMENT & LABOUR LAW 2011
         © Published and reproduced with kind permission by Global Legal Group Ltd, London
Yigal Arnon & Co.                                                                                                                     Israel

There are two components of maternity leave: (1) the amount of         maternity leave must remain employed for 90 days after she returns
time during which a woman is required or entitled to be physically     from leave.
absent from the workplace; and (2) a woman’s entitlement to be         During the first four months after a woman working full-time
paid during such absence.                                              returns from maternity leave, she will be entitled to work one hour
The law was recently amended to extend statutory maternity leave       less per day without a reduction in pay.
by an additional 12 weeks, from 14 to 26 weeks. During the first
14-week period (which may be, in some cases, extended to up to 18

                                                                                                                                                   Israel
                                                                       4.4    Do fathers have the right to take paternity leave?
weeks), the employee is entitled to receive maternity payments
from the Israeli National Insurance Institute, while during the
                                                                       Men are entitled to paternity leave of at least 21 days and up to 7
additional 12-week period the employee is not entitled to receive
                                                                       weeks, on the terms detailed in question 4.2 above, provided that
payment. The 12-week extension is available solely to employees
                                                                       the mother is entitled to maternity leave of 14 weeks at full pay and
who have worked in the same workplace or for the same employer
                                                                       has chosen to return to work prior to the completion of her full
for at least 12 months prior to taking maternity leave, and may be
                                                                       maternity leave. The first six weeks of the mother’s maternity leave
waived in whole or in part at the request of the employee, in which
                                                                       cannot be waived by her.
case the employer must permit her to return to work within three
weeks of providing such notice. In addition, all employees who
have been on maternity leave are entitled to additional leave, but     4.5    Are there any other parental leave rights that employers
without pay or social benefits, for, depending on the circumstances,          have to observe?
up to one year from the date of birth.
                                                                       Upon the advice of a doctor, a pregnant woman is entitled to
                                                                       medical “bed rest” if it is required to protect her pregnancy. During
4.2   What rights, including rights to pay and benefits, does a
                                                                       this period, she is entitled to be absent from work, and in certain
      woman have during maternity leave?
                                                                       cases is entitled to receive payment from the National Insurance
                                                                       Institute. In addition, a woman is entitled to be absent from the
As detailed above, during the first 14 weeks, eligible employees are
                                                                       workplace during each pregnancy for purposes of medical
entitled to payment.
                                                                       supervision authorised by a doctor. In the event of a miscarriage,
Whether a woman will be paid during her period of physical leave       the woman may be absent from the workplace for one to six weeks,
from the workplace is a function of the amount of time during          if authorised by a doctor. Fertilization treatments are fairly
which she worked before going out on maternity leave. A woman          common in Israel and special rules apply with respect to the effect
who has worked at least 10 months out of the previous 14 months,       of such treatments on an employee. A woman undergoing fertility
or 15 months out of the previous 22 months, will be entitled to be     treatments and in vitro fertilization may be excused from the
paid by National Insurance for 14 weeks of maternity leave. A          workplace if her doctor provides written authorisation, and the time
woman who has only worked for six months of the previous 14            of absence from work will be treated as sick leave. Certain rights
months will be entitled to be paid by National Insurance during only   exist for male employees who undergo fertility therapy as well.
7 weeks of her leave. The woman will be paid her salary, limited to
                                                                       In addition, employees are entitled to a certain amount of sick leave
a ceiling of three times the national average wage.
                                                                       due to the illness of any child under the age of 16.
As opposed to her salary, a woman’s benefits during the maternity
leave period are paid by the employer, and remain completely
intact. As such, the period of maternity leave is included in          4.6    Are employees entitled to work flexibly if they have
                                                                              responsibility for caring for dependents?
calculations for all seniority-based benefits. In addition, the
employer continues to pay all of the woman’s social benefits,
including payments to pension funds and education funds                Disabled employees and employees who are responsible for a
established for her.                                                   disabled first-degree relative, are entitled to reasonable flexibility in
                                                                       their work time and other terms, as long as it does not put an
In cases where the woman’s absence from the workplace is allowed       unreasonable burden on the employer or affect work performance.
for a longer period of time due to sickness or medical contingencies
of her or the newborn, the woman may be entitled to additional
payment during this extended period.                                     5 Business Sales
It is forbidden to employ an employee during mandatory maternity
leave, and a woman’s employment cannot be terminated for any           5.1    On a business sale (either a share sale or asset transfer)
reason during that period, with or without authorisation of the               do employees automatically transfer to the buyer?
Ministry of Industry, Trade and Labour (see question 6.4).
                                                                       In the event of a share sale, the employing entity will typically
4.3   What rights does a woman have upon her return to work            remain the same, and unless the employing entity initiates an act of
      from maternity leave?                                            termination, the employees remain employed by the same entity,
                                                                       currently owned by the new shareholder. However, if the
Once a woman returns from maternity leave (or after leave of           employees are transferred as part of an asset transfer, there will be
absence following maternity leave), her employment cannot be           a change of the employer, which requires receipt of the employees’
terminated for 60 days after her return. During such 60-day period,    consent. This may be achieved through an assumption of the
the employer is required to allow the employee to actually return to   existing employment arrangements by the buyer, or through a “fire
work and cannot give notice of termination and pay her for the 60-     and rehire” approach, however, even in the latter alternative, the
day period. Since employees (who have worked for over one year)        new employer may in some circumstances be responsible for
are entitled by law to 30 days’ prior notice of termination, the       residual liabilities deriving from the period of employment
practical effect is that a woman who has just returned from            preceding the transfer.

ICLG TO: EMPLOYMENT & LABOUR LAW 2011                                                                              WWW.ICLG.CO.UK                  119
© Published and reproduced with kind permission by Global Legal Group Ltd, London
Yigal Arnon & Co.                                                                                                                   Israel

         5.2    What employee rights transfer on a business sale? How              of 30 days (additional contractual notice periods may apply). The
                does a business sale affect collective agreements?                 length of the notice period will be less for employees paid on an
                                                                                   hourly basis. During the notice period, salary and benefits must
         If the place of employment and the employee’s position remain             continue to be paid unless the employer terminates the
         essentially intact, then rights and entitlements deriving from            employer/employee relationship with earlier effect. If the
         seniority will generally continue to accrue on a going forward basis.     employer/employee relationship are terminated with earlier effect,
         With respect to unpaid salary or disbursements towards pension            the employer will be responsible to make a payment “in lieu of
Israel

         fund, a new employer may publish a notice requesting the                  notice” immediately upon termination, in the amount of the salary
         employees to file claims within three months, following which the         to which the employee would have been entitled in the remaining
         employer will no longer be required to compensate the employee            notice period, unless a contractual provision or binding practice
         for such unpaid rights if no such claims have been made.                  provides otherwise or provides for additional benefits.
         If a collective employment agreement applies, it will bind the new
         employer as well.                                                         6.2    Can employers require employees to serve a period of
                                                                                          “garden leave” during their notice period when the
                                                                                          employee remains employed but does not have to attend
         5.3    Are there any information and consultation rights on a
                                                                                          for work?
                business sale? How long does the process typically take
                and what are the sanctions for failing to inform and
                consult?                                                           Employers may chose to require their employees to refrain from
                                                                                   attending work during their notice period, provided that the
         In workplaces where employees are organised in unions, the union          employees receive full salary and benefits during such period,
         has a right to receive information about any material transaction in      unless a contractual provision provides otherwise.
         the workplace. Additional rights may appear in specific collective
         employment agreements. Otherwise, there is no obligation to               6.3    What protection do employees have against dismissal? In
         consult or provide information to employees regarding a                          what circumstances is an employee treated as being
         contemplated business sale.                                                      dismissed? Is consent from a third party required before
                                                                                          an employer can dismiss?

         5.4    Can employees be dismissed in connection with a
                business sale?                                                     Employees may claim unlawful dismissal on the grounds of
                                                                                   discrimination, breach of the employer’s obligation of good faith
         In general, there is no prohibition on dismissal of employees in          and/or failure to comply with the procedural requirements for
         connection with a business sale provided that: (a) the employer has       termination.
         acted in good faith and in accordance with all requirements applicable    Employees will be treated as dismissed for purposes of severance
         for dismissal; and (b) no applicable collective employment agreement      pay entitlement in the event of: (i) material worsening in their
         stipulates otherwise. In such cases, employees will be entitled to such   working conditions; (ii) if their employment is no longer possible,
         rights and entitlements generally applicable upon dismissal.              such as a result of the death of the employer or employee, health
                                                                                   condition of the employee or his/her close family member or
                                                                                   completion of liquidation procedures; (iii) under certain
         5.5    Are employers free to change terms and conditions of
                                                                                   circumstances, change in the employee’s place of residency to a
                employment in connection with a business sale?
                                                                                   place which is at least 40 kilometres away from the employee’s
                                                                                   work place; (iv) enrolment into military service; or (v) stay in a
         In case of a transfer of employees to a new employer (in an asset
                                                                                   women’s crisis shelter.
         sale), the new employer is entitled to offer the employees a new
         employment agreement, and whatever will be agreed upon in the             If a collective employment agreement applies, employees may
         new agreement will apply. In case of a share sale, the employer           benefit from special defences or procedures relating to dismissal,
         cannot change the terms of employment unilaterally. However, the          and certain collective employment agreements require the consent
         employer can change any terms the employees agree to change,              of the workers union to certain dismissals.
         provided such consent is genuine and was freely given.
         Terms of a collective employment agreement can only be amended            6.4    Are there any categories of employees who enjoy special
         by a new collective employment agreement.                                        protection against dismissal?

                                                                                   Generally, pregnant women, women on maternity leave or during
           6 Termination of Employment                                             the first 60 days following their return to work, and employees
                                                                                   undergoing fertility treatments may not be dismissed without the
         6.1    Do employees have to be given notice of termination of             prior approval of the Ministry of Labour. In addition, the
                their employment? How is the notice period determined?             employment of an employee in military reserve duty cannot be
                                                                                   terminated during the period of reserve duty and for 30 days
         Israeli law sets certain minimum notice periods based upon a              following return to work.
         sliding scale.
         For employees paid on a monthly basis: if an employee has worked          6.5    When will an employer be entitled to dismiss for: 1)
         less than twelve months, then he/she is entitled to advance notice of            reasons related to the individual employee; or 2) business
         one day for each month during the first six months of employment                 related reasons? Are employees entitled to compensation
         and an additional 2½ days for every additional month thereafter. If              on dismissal and if so how is compensation calculated?
         the employee has worked for the employer on a full time basis for
         at least twelve months, the employee is entitled to an advance notice     Assuming the employer is not subject to a collective bargaining

120      WWW.ICLG.CO.UK                                                                  ICLG TO: EMPLOYMENT & LABOUR LAW 2011
         © Published and reproduced with kind permission by Global Legal Group Ltd, London
Yigal Arnon & Co.                                                                                                                    Israel

agreement, dismissals may be initiated by the employer for any          6.10 How do employees enforce their rights in relation to mass
reason, provided it acts in good faith. The final payments made to           dismissals and what are the consequences if an employer
the terminated employee will include last salary, payment for                fails to comply with its obligations?
accrued but unused vacation days, and unpaid recuperation pay,
payment in lieu of notice in the event that the termination takes       In the absence of collective agreements, the employees may enforce
place prior to completion of the notice period, and statutory           their rights as set forth in question 6.7 above. It is common for
severance pay, if applicable, according to the following formula: the   employees to retain counsel for this purpose. If a collective

                                                                                                                                                  Israel
last monthly salary multiplied by the number of years (or portions      employment agreement applies, the employer must comply with its
thereof) that the employee worked.              Under certain rare      terms regarding dismissals, and failure to do so might cause
circumstances employees will not be entitled to severance pay. It is    industrial actions to be taken.
common for employers to opt into a voluntary arrangement to limit
severance pay liability to amounts disbursed to “managers
                                                                          7 Protecting Business Interests Following
insurance” (a common instrument combining elements of pension
planning and insurance) or provident funds on a monthly basis,
                                                                            Termination
provided certain conditions are met, in accordance with Section 14
of the Severance Pay Law. Special rules for calculating severance       7.1    What types of restrictive covenants are recognised?
pay apply for employees who work on sales commissions or have
significant supplemental payments to base salary, or who have had       It is common for Israeli companies to require employees to sign a
their salaries lowered during the course of employment.                 proprietary information agreement upon the commencement of
                                                                        their employment, which typically includes nondisclosure, non-
                                                                        solicitation and non-competition provisions.
6.6   Are there any specific procedures that an employer has to
      follow in relation to individual dismissals?
                                                                        7.2    When are restrictive covenants enforceable and for what
As a result of developing case law, an employer seeking to fire an             period?
employee is generally required to provide the employee a hearing
before making a final decision to dismiss. The hearing is intended      Under current case law, post-termination non-competition
to allow the employee an opportunity to respond to the employer’s       undertakings are generally not enforceable, unless in very unique
grounds for dismissal and to express his or her position regarding      situations. Non-solicitation and confidentiality undertakings are, in
the possible dismissal. The employer is required to consider the        principle, enforceable.
employee’s responses in good faith. In some circumstances, failure
to carry out the above could result in reinstatement and/or
                                                                        7.3    Do employees have to be provided with financial
significant compensation payable to the employee.
                                                                               compensation in return for covenants?

6.7   What claims can an employee bring if he or she is                 Post-termination non-compete covenants may only be enforceable
      dismissed? What are the remedies for a successful                 (if at all) if such non-compete is in exchange for sufficient
      claim?                                                            compensation, and may not be enforceable for more than a limited
                                                                        period of time.
Employees can claim unlawful dismissal on substantive and
procedural grounds. The remedies include receipt of injunctive
                                                                        7.4    How are restrictive covenants enforced?
relief (including reinstatement), compensation for damages, and, in
certain circumstances, a statutory award without having to prove
damages. Employees can also file a criminal claim in certain cases      Claims asserting violation of restrictive covenants may be brought
of dismissals.                                                          before the court. However, and as stated above, the courts are
                                                                        extremely reluctant to enforce non-competition arrangements.
                                                                        Non-solicitation and non-disclosure undertakings are, in principle,
6.8   Can employers settle claims before or after they are              enforceable, but it is often difficult to establish from an evidentiary
      initiated?                                                        standpoint that a violation has occurred.

Civil claims can be settled at anytime. If criminal or other
procedures have been initiated by governmental agencies, such             8 Court Practice and Procedure
procedures will continue to be carried out at the discretion of the
relevant authority.                                                     8.1    Which courts or tribunals have jurisdiction to hear
                                                                               employment-related complaints and what is their
6.9   Does an employer have any additional obligations if it is                composition?
      dismissing a number of employees at the same time?
                                                                        Israel’s labour courts have wide and exclusive jurisdiction to hear
In any event of dismissal, notwithstanding the number of                claims pertaining to employment-related matters. The labour court
employees dismissed, the employer is required to provide each           of first instance will be a regional labour court. In addition,
dismissed employee with a hearing, as described above. If more          complaints and discrimination related claims may be filed with the
than ten employees are dismissed, the employer must notify the          Equal Employment Opportunities Commission, or, depending on
local Employment Service Bureau of the dismissals.                      the specifics of the case, the Commission for Equal Rights for
                                                                        Persons with Disabilities or the Supervisor under the Women
                                                                        Employment Law (under the aegis of the Ministry of Industry,
                                                                        Trade and Labour).

ICLG TO: EMPLOYMENT & LABOUR LAW 2011                                                                              WWW.ICLG.CO.UK                 121
© Published and reproduced with kind permission by Global Legal Group Ltd, London
Yigal Arnon & Co.                                                                                                                       Israel

         8.2   What procedure applies to employment-related                      8.4    Is it possible to appeal against a first instance decision
               complaints? Is conciliation mandatory before a complaint                 and if so how long do such appeals usually take?
               can proceed?
                                                                                 Appeals against decisions of the regional labour courts are usually
         It is very common for employment-related claims to be referred to       heard by the National Labour Court of Israel. In some cases, in
         mediation procedures after the initial court hearing of the claim.      which a novel or important issue is addressed, appeals against
         The law does not specify any internal procedures for handling           decisions of the National Labour Court may be brought before the
Israel

         employee complaints, except in cases of sexual harassment, for          Supreme Court of Israel.
         which procedures are set forth in the statute.

         8.3   How long do employment-related complaints typically
               take to be decided?

         Claims submitted to the labour courts are usually decided in a
         period between six to twenty-four months, depending on the
         complexity of the case and the parties involved.

                                  Ben Sandler                                                               Shira Lahat
                                  Yigal Arnon & Co.                                                         Yigal Arnon & Co.
                                  22 Rivlin Street                                                          Azrieli Center 5
                                  Jerusalem 9242                                                            Tel Aviv 67025
                                  Israel                                                                    Israel

                                  Tel:     +972 2 623 9200                                                  Tel:     +972 3 608 7835
                                  Fax:     +972 2 623 9236                                                  Fax:     +972 3 608 7716
                                  Email:   bens@arnon.co.il                                                 Email:   shiral@arnon.co.il
                                  URL:     www.arnon.co.il                                                  URL:     www.arnon.co.il

           Ben Sandler has a wide-ranging and sophisticated practice               Shira Lahat specialises in all aspects of labour and employment
           concentrated on emerging and established technology                     law. She represents employers in day-to-day employment issues
           companies. His practice straddles corporate and employment              as well as in complex and sensitive events and transactions.
           areas of the law. His clients range from entrepreneurs and start-       Shira provides on-going legal advice to corporations and
           ups to major international corporations. Ben has acted as Israeli       individuals and represents the firm’s clients in court in all forms of
           counsel in numerous M&A transactions, often for prominent               labour dispute.      Shira advises clients as to labour law
           international clients. In addition to negotiating and handling          ramifications in complicated commercial reorganisations,
           traditional corporate aspects of M&A transactions, he often works       mergers and acquisitions as well as negotiating other matters
           with clients to structure and implement complex retention and           relating to employee equity-based incentive plans and executive
           post-transaction integration programmes. Ben also advises               compensation.
           corporate clients with respect to general corporate and                 Shira regularly appears before various judicial instances including
           employment matters on an ongoing basis. He has extensive                all labour court instances as well as different governmental
           experience in executive compensation and employment issues,             authorities. Shira is a member of the labour law committee in the
           and leads the firm’s practice in employee incentive plans. Ben          Israel Bar, and a member of the Israeli Society for Labour Law
           was born in New York. He graduated magna cum laude from the             and Social Security. Shira received her LLB from The
           University of Pennsylvania, and received his law degree from the        Interdisciplinary Center, Herzlia, Israel (1999), and her LLM from
           Hebrew University, after moving to Israel in 1992.                      Tel-Aviv University, Israel (2005). She was admitted to the Israel
                                                                                   Bar in 2000.

           Yigal Arnon & Co. is one of the largest and most dynamic law firms in Israel, and has a proven track record of innovation and
           quality in meeting our clients’ needs. For nearly fifty years we have provided a full range of legal services to a wide-ranging client
           base, including major international (“Fortune 500”) companies, emerging growth companies, investor groups and individuals.
           Our diverse client base reflects our capacity to tailor work to specific client needs. Throughout our history, a full spectrum of clients
           has turned to Yigal Arnon & Co. when seeking professionalism, service and integrity in helping them to resolve their complex and
           challenging legal problems.
           Clients select us and stay with us for our comprehensive legal skills. We recruit first rate lawyers, many of whom have the highest
           academic credentials and join us after gaining invaluable experience with prominent firms overseas. We have a highly integrated
           work approach, and complement the expertise of our specialists with the pooled talents of the whole firm. Our reputation for
           achieving results has attracted and retained high-profile clients, demanding cases and exceptional lawyers.
           We are also selected for our good business judgment. Resolving a complex legal problem involves a multi-disciplinary legal
           approach as well as a thorough understanding of our clients’ objectives. These are essential steps in finding pragmatic and
           effective solutions that will stimulate clients’ positive business growth or resolve their business disputes.

122      WWW.ICLG.CO.UK                                                                ICLG TO: EMPLOYMENT & LABOUR LAW 2011
         © Published and reproduced with kind permission by Global Legal Group Ltd, London
The International Comparative Legal Guide to:
Employment & Labour Law 2011
Other titles in the ICLG series include:
  Business Crime                            International Arbitration
  Cartels & Leniency                        Litigation & Dispute Resolution
  Class & Group Actions                     Merger Control
  Commodities and Trade Law                 Mergers & Acquisitions
  Competition Litigation                    Patents
  Corporate Governance                      PFI / PPP Projects
  Corporate Recovery & Insolvency           Pharmaceutical Advertising
  Corporate Tax                             Product Liability
  Dominance                                 Public Procurement
  Enforcement of Competition Law            Real Estate
  Environment & Climate Change Law          Securitisation
  Gas Regulation                            Telecommunication Laws and Regulations

  To order a copy of a publication, please contact:
                                   Global Legal Group
                                    59 Tanner Street
                                    London SE1 3PL
                                    United Kingdom
                                  Tel: +44 20 7367 0720
                                  Fax: +44 20 7407 5255
                                Email: sales@glgroup.co.uk

                                     www.ICLG.co.uk
You can also read