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72 The US-Israel Legal Review 2019
ISRAEL: EMPLOYMENT
work overtime should be paid the following
compensation: (i) for the first 2 hours of overtime
– an additional 25% per hour; and (ii) for the third
hour of overtime and thereafter – an additional
50% per hour.
WHAT IS THE POSITION REGARDING
DISCRIMINATION CLAIMS AND HOW IS
THAT CHANGING?
The Employment (Equal Opportunities) Law 5748-
1988 (the “
Equal Opportunities Law
”) is the
main anti-discrimination law with respect to the
workplace. The Equal Opportunities Law prohibits
any discrimination in respect of employment
which is based on the following grounds: gender;
sexual tendencies; marital status; pregnancy, the
undergoing of fertility or in vitro fertility treatment;
parenthood; age; race; religion; nationality;
country of origin; place of residence; views; party
affiliation; the performance of military reserve
duty, or the duration or frequency of such military
reserve duty; and employees who are employed by
manpower agencies. According to case law, the above
is not a “closed” list. In accordance with the Equal
Opportunities Law, an employer is also not permitted
to inquire about an employee’s army profile.
According to the Equal Opportunities Law,
the prohibition of discrimination with respect to
employment includes any discrimination relating
to: hiring, terms of employment, promotion,
training, dismissal or severance pay, benefits and
payment in connection to retirement.
Discrimination is defined as setting irrelevant
terms or conditions, unless such term or condition
is necessary due to the nature and essence of
the position.
Ingeneral,themainremediesthatthelabourcourts
can award to a discriminated employee are monetary
compensation or an injunction. Furthermore, under
certain laws (such as the Equal Opportunities Law), it
would be possible to receive monetary compensation
of up to approximately NIS 120,000, without the
victim having to prove actual damages.
Israeli law has additional specific anti-
discrimination law, such as:
• The Equal Rights of Disabled People Law 5758-
1998, according to which discrimination in
the workplace on the basis of disability is
prohibited, and employers are required to
make necessary accommodations to enable the
continued employment of disabled employees
(accommodationsshouldnotimposeanexcessively
heavy burden on the employer). In this context, we
note that a recent extension order has stipulated
that employers of 100 or more employees, must
have “Fair Representation” of disabled employees,
meaning that disabled employees constitute at
least 3% of the employment body. We note that
there are currently no formal sanctions for not
meeting this requirement, although employers
are required to demonstrate that they are actively
pursuing this target.
• The Female and Male (Equal Pay) Law 5756-
1996, according to which an employer must
pay equal wages to men and women in the
same workplace who perform the same or
substantially the same work.
HAS THERE BEEN A CHANGE IN EMPLOYEE
UNIONISATION RATES?
Freedom of representation has been recognised by
the High Court of Justice and the labour courts as
a fundamental right which is a part of the right to
freedom of association. The National Labour Court
also held that the freedom to be a member in a
union, as well as the freedom to choose not to be, is
part of the right to freedom of association.
Israeli law does not recognise a requirement for
an employer to establish a union if none currently
exists. During the past fewdecades, for several reasons,
there has been a substantial reduction in the
number of Israeli employees who are unionised and
subject to the collectivebargainingagreements, and
at the same time there has been an increase in the
number of employees who are subject to personal
employment contracts. This process occurred
together with the transfer from manufacturing
plants to a growth in the sophisticated high-tech
industry, in which personnel is the main resource.
However, in recent years, there has been a
revival in the area of unionising of un-organised
employees. Employees’ organisations have begun
investing efforts in unionising new working places
and sectors (including the Hi-Tech sector, the
communication sector and the insurance sector)
whichwere traditionally unorganised. Amendments
in the applicable law and principal rulings have