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Is the reward for a reservist higher than his salary? "Employers pocket the difference" - Voila! Of money

2024-02-29T06:43:28.387Z

Highlights: National Insurance calculates the amount of compensation that reservists are entitled to receive. Sometimes an amount higher than the employee's salary is transferred to the employer's account. The minimum wage for reserve service is NIS 9,000 per month and NIS 300 per day of reserve service. Ministry of Labor considers the problem extremely serious and says it will exhaust all investigation procedures to protect the rights of those who sacrifice their lives for us. It is forbidden to fire a reservist who served in the reserves for more than two consecutive days during the reserve period.


The method by which the National Insurance calculates the amount of compensation that the reservists are entitled to receive creates a situation in which sometimes an amount higher than the employee's salary is transferred to the employer's account


Ariel Shweber, a reservist, played the flute, and Lilit listened to him/photo: Shimi Abramowitz

Anyone who is called to active reserve service, or following order 8, is entitled to receive compensation from National Insurance which is calculated as follows: the average of the 3 months preceding the reserve (90 days' average salary) which is the value of the reserve day, which is multiplied by 30 days, since reserve service is considered About a full month.

As of the Iron Swords War, the minimum wage for reserve service is NIS 9,000 per month and NIS 300 per day of reserve service.

The maximum salary is NIS 47,465 per month and NIS 1,582.17 per reserve day.



The calculation of the compensation based on 30 days means that more often than not, the amount of compensation that National Insurance transfers to the employer is higher than his salary, sometimes by many hundreds of shekels, and in very certain cases - even by thousands of shekels.

The language of the law and the regulations state that the employer must transfer the full payment received from National Insurance to the employee or return the difference between the two to National Insurance.

But regulations are separate, and reality is separate: recently, it turns out that there are quite a few cases where employers receive a benefit whose amount is higher than the employee's salary, and the delta between the two is kept in their coffers.



"An employer who acts in this way is taking on quite a risk," says lawyer Hila Aharoni, an expert in labor law.

According to her, it is reasonable to assume that the Ministry of Economy will carry out inspections in order to verify that, God forbid, the employer did not keep a portion of the amount transferred to him by the National Insurance, which, as stated, he should have transferred in full to the employee. If it were found that the employer acted illegally, administrative fines would be imposed on him. It starts with NIS 5,000 and climbs northward, depending on the circumstances.



Second, if for one reason or another, the employee files a claim against the employer, you can be sure that the lawyer representing him will include this in his demands, plus interest, and it is likely that the court will compel the employer to pay.

Not fired for at least two months.

Reserve exercise in the north/Dover IDF

This buyer is not the only problem that can complicate employers.

In recent weeks there have been more and more reports about reservists or their spouses who were illegally fired.

The Ministry of Labor, which is aware of the problem, considers it extremely serious.



In a conversation with Walla, a senior official in the ministry states that cases brought to their attention will be examined as a top priority: "We intend to exhaust all investigation procedures to protect the rights of those who sacrifice their lives for us. In this case, the law is very clear and no professional or legal advice is required to understand : It is forbidden to fire a reservist who served in the reserves for more than two consecutive days during the reserve period and up to 60 days after the end of the reserve, nor to give advance notice during this period.



In addition to the aforementioned, since the outbreak of the war, a great feature is evident in the groups of payroll accountants on Facebook regarding various and complex issues related to the provision of social rights to reservists.

At Oketz Systems, which is engaged in the provision of computerized solutions in the field of personnel and in the delivery of professional courses for payroll accountants, they analyzed over a thousand requests and questions from the payroll accountants.

From their processing it appears that one of the most frequent questions is regarding pension offsets.



In Kotz, it is clarified that a pension is not offset, but if it is paid to the employee as usual from the salary that is paid to him: "The law states that an employer must pay an employee in the reserves a payment on account of the compensation in an amount equal to his regular salary, as if he had not gone to reserve service at all and that the payment is a salary for all intents and purposes."

They also point out that, section 283 of the National Insurance Law, adds and states that one must continue to set aside for pension / welfare and further education, to the same fund or to the same fund to which they retired, before the employee went to the reserves, for the period of time the employee served in the reserves, as if he had worked during this period.

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Inaccurate sources of information.

Haim Molcho/relation

Haim Molcho, CEO of Okets Systems: "This is a very challenging time, also for the payroll accountants, some of whom are encountering for the first time the need to respond to concrete issues related to reserve service.

The web is full of sources of information, some of them are inaccurate, and relying on them can complicate the employer, even though he or the accountant acted in good faith."

  • More on the same topic:

  • Social Security

  • Reserve soldiers

  • reserves

  • retaliation

  • War of Iron Swords

  • Gaza war

Source: walla

All business articles on 2024-02-29

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