Leave Without Pay for Employees Who Were Absent from Work During the War with Iran

On July 1, 2025, we updated you regarding a legislative memorandum, which included a preliminary outline regarding the possibility of paying unemployment benefits to workers who were absent from work as a result of the Home Front Command’s directives during the period of fighting with Iran.

On July 21, 2025, the legislative process on this matter wrapped up. Under the outline as approved, eligibility for unemployment benefits is conditioned on having been on unpaid leave for at least ten out of the 12 days of fighting (between June 13, 2025 and June 24, 2025). In addition, various dispensations were made regarding eligibility for unemployment benefits for employees who were absent from work during this period:

• The qualifying period for eligibility for unemployment benefits will be six months for which National Insurance contributions were paid in the 18 months preceding the date of payment (instead of the 12-month eligibility period prescribed by law). An even shorter qualification period was established for cases of workers with disabilities, those evacuated from their homes, and those serving in the reserves.

• Unemployment benefits will be paid from the first day of unpaid leave, and the first five days of unemployment paid will not be deducted.

• Unemployment benefits will be paid even if the employee does not use the paid vacation days available to him.

• The period of unpaid leave will not be included in the count of the 60 days during which employees are protected after a period of maternity and paternity; placing employees on unpaid leave will not be considered a harm that requires a permit under the Women’s Employment Law, 5714-1954.

Employees aged 67 and over who have been placed on unpaid leave will be entitled to a grant of an amount not exceeding NIS 134 per day.

Please note: In order to exercise this entitlement, the employee must submit a request for payment of unemployment benefits on the National Insurance Institute website and register on the Employment Service website. The employer must report the period during which the employees were absent from work to the National Insurance Institute; that period will be considered unpaid leave for the purpose of entitlement to unemployment benefits.

Employers who require assistance in all matters relating to the implementation of this outline are invited to seek individualized advice.

Labor Law Department

Herzog Fox Neeman