Knesset Advances Legislation for Reimbursing Employers for Reservists’ Pension Payments

The All-Israeli Association of Trade Unions, Histadrut, has made an appeal to Deputy Israel Eichler, the Chairman of the Parliamentary Commission on Labor and Social Security. The union is requesting him to begin promoting a bill that would reimburse employers for the pension contributions of workers called up for reservist duties.

The initiative was started by Yossi Barabi, the head of the trade union of employees in security companies, cleaning companies, and elderly care companies. If an agreed government legislation is not formulated by the Ministry of Finance and the Ministry of Defense within two weeks, Barabi’s bill will be tabled. This move is supported by both Ministers of Labor and Defense.

Currently, under the National Insurance Law, reservists are compensated based on their “gross” salary without considering social benefits paid by their employer such as pension fund contributions, severance pay, vacation pay, health benefits, and sick days. These non-reimbursable losses can amount to 22%-36% of an employee’s salary.

This issue is particularly important in safety and security industries where around 100 thousand people work with at least 20% being called up for reservist service. These workers risk their lives while putting a significant financial burden on already unprofitable security companies who have to pay 25% of salaries for these employees.

Meanwhile, other parts of the content seem to focus on lists of marijuana businesses in various counties and states. It appears disconnected from the main topic concerning reimbursement for pension contributions during reservist duties.

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