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Employer of record in Israel

30 sourced figures on hiring in Israel, drawn from 11 sources and normalized for comparison: statutory rules, employer cost and exactly what an EOR covers locally. Every figure is dated.

ISO ILRegion AsiaCurrency ILSVerified 2026-08-30

Hiring here: moderately complex, mid-range on cost, and fast to hire via EOR.

cost of employment
MODERATE
26.07% total tax wedge, 23% corporate tax
ease of exit
MODERATE
moderate worker protection (2.83 / 6)
speed to hire
DAYS
39 EOR providers, from $179/mo
Employer burden rank
statutory employer burden: cost, severance, notice
#99 of 192
Each band is derived from the 30 sourced fields below and recomputed on every refresh. See the methodology.
Statutory snapshot

Employer of record in Israel: the statutory snapshot

The headline employer costs, pay floor and worker protections for hiring in Israel through an employer of record, each figure sourced and dated. 39 EOR providers cover Israel.

Minimum wageILS 6,444/moNational government, 2026-04-01
Employer social security6.27%OECD
Total tax wedge26.07%OECD
Corporate tax23%OECD
Average income tax12.66%OECD
Notice period4.3 weeksWorld Bank Employing Workers / B-READY, 2019-05-01
Severance23.1 weeksWorld Bank Employing Workers / B-READY, 2019-05-01
Maternity leave15 weeksOECD Family Database, 2024-01-01

As of 2026-08-30. Each value is the winning figure from primary and harmonized sources, resolved by a documented priority chain. Full record with provenance below.

Reading the data

What the figures say about Israel

Employing someone in Israel starts with a statutory minimum wage of ILS 6,444 per month, while the average monthly wage stands at ILS 10,928, giving a clear picture of where most workers sit relative to the floor. The OECD puts the average annual wage at $54,736, against a GDP per capita of $60,337 and a labour force of 4.8 million people. On payroll costs, employers contribute 6.27% in social security while employees contribute 8.77%, producing a total tax wedge of 26.07%; the corporate tax rate is 23% and the top personal income tax rate reaches 50%. Exit costs carry real weight: statutory severance runs 23.1 weeks and the statutory notice period is 4.3 weeks, with employment protection for regular contracts rated 2.91 on the 0-to-6 OECD scale. Statutory maternity leave is 15 weeks, and no statutory paternity or parental leave exists. The statutory normal working week is 42 hours, though actual weekly hours worked average 38, and collective bargaining covers 45.8% of workers, with a union density of 27.2%.

Written from the 29 sourced figures on this page and regenerated whenever the data changes. Last generated 2026-08-03. How our data works is on the methodology page.

Where to start

Three ways to hire in Israel

Own entity

You are the employer. Lowest per head cost at scale, months to establish.

Best for large, permanent headcount.
EORfastest

You direct the work, the provider's local entity is the employer on paper. Compliant in days.

See the 39 providers below
Best for 1 to 50 hires, for speed, or to test a market.
Contractor

Not your employee. Fastest and cheapest, with misclassification exposure.

Best for genuinely independent, short term work.
Compare entity setup cost against EOR fees for Israel

The full record

Every figure behind the snapshot

Not a guide, a record: 30 figures for Israel from 11 sources, last refreshed 2026-08-30. Each value carries its source and the date it was pulled. Hover any provenance tag for the full chain.

employment & pay7 fields
Minimum wage
ILS 6,444/mo
National government · 2026-04
Average monthly wage
ILS 10,928/mo
ILOSTAT · 2021-01
Average wage
$54,736/yr
OECD · 2024-01
13th salary
None
National government · 2026-01
Hours worked
1,877 hrs/yr
OECD · 2024-01
Statutory weekly hours
42 hrs/wk
Statutory working time (national labour law) · 2018-01
Actual weekly hours
38 hrs/wk
ILOSTAT · 2024-01
cost & taxes7 fields
Employer social security
6.27%
OECD · 2025-01
Employee social security
8.77%
OECD · 2025-01
Total tax wedge
26.07%
OECD · 2025-01
Corporate tax
23%
OECD · 2025-01
Average income tax
12.66%
OECD · 2025-01
Top income tax rate
50%
PwC Worldwide Tax Summaries · 2026-06
VAT / GST
18%
PwC Worldwide Tax Summaries · 2026-06
termination5 fields
Protection (EPL overall)
2.83 / 6
OECD · 2019-01
Protection (regular contracts)
2.91 / 6
OECD · 2019-01
Protection (temporary contracts)
1.48 / 6
OECD · 2019-01
Severance
23.1 weeks
World Bank Employing Workers / B-READY · 2019-05
Notice period
4.3 weeks
World Bank Employing Workers / B-READY · 2019-05
leave3 fields
Maternity leave
15 weeks
OECD Family Database · 2024-01
Paternity leavePaid leave available to fathers, incl. father-eligible parental leave
None
World Bank Women, Business and the Law · 2026-02
Parental leave
None
OECD Family Database · 2024-01
labour market8 fields
Unemployment
2.72%
OECD · 2025-01
Inflation
3.04%
World Bank Open Data · 2025-01
GDP per capita
$60,337
World Bank Open Data · 2025-01
GNI per capita
$56,180
World Bank Open Data · 2025-01
Labour force
4.8M people
World Bank Open Data · 2025-01
Collective bargaining coverage
45.8%
OECD/AIAS ICTWSS · 2023-01
Union density
27.2%
OECD/AIAS ICTWSS · 2023-01
Retirement age
64.5 yrs
OECD Pensions at a Glance · 2024-01
Salary by occupation

Average monthly earnings in Israel by occupation (2021)

Gross monthly earnings of employees per ISCO-08 major occupation group, in ILS — the official ILOSTAT survey figures, not estimates. Use them to sanity-check an offer before an EOR quote turns it into total employer cost.

Occupation groupMonthly (ILS)≈ USD
All occupations10,928$3,383
Managers · ISCO 120,464$6,335
Professionals · ISCO 215,500$4,798
Technicians and associate professionals · ISCO 311,029$3,414
Clerical support workers · ISCO 47,398$2,290
Service and sales workers · ISCO 55,875$1,819
Skilled agricultural, forestry and fishery workers · ISCO 68,185$2,534
Craft and related trades workers · ISCO 79,487$2,937
Plant and machine operators and assemblers · ISCO 89,285$2,874
Elementary occupations · ISCO 95,128$1,588

Source: ILOSTAT (EAR_EMTA, employees, both sexes), reference year 2021. Survey earnings differ from statutory minimums above.

Take-home estimate

What the average salary takes home in Israel

The employee keeps an estimated 79% of gross at the average wage. For an employer, this is the gap between the offer you quote and what your hire actually receives.

Average gross monthly earnings (2021)ILS 10,928
Employee social contributions (8.8%)− ILS 958
Income tax (avg. effective 12.7%)− ILS 1,384
Estimated monthly take-homeILS 8,586

Illustration at the ILOSTAT average wage using statutory rates (OECD; OECD) applied to gross pay. Individual allowances, deductions and regional rates vary — not tax advice.

// recent updates

What changed in Israel

Figures refreshed as newer, more current sources replaced older ones

  1. Minimum wageApr 1, 2026

    Now ILS 6,444/mo, from ILS 6,156/mo. Source: National government (was OECD).

    Source →

Every figure is sourced and dated. How we verify the data →

The differentiator

What an EOR handles in Israel

An EOR removes the entity and the payroll machinery. It does not remove your obligations as the people manager.

obligationeor coverswhat that means for you
Legal employer of record● fullThe EOR's local entity is the employer on paper. No entity setup required.
Payroll, tax & social security● fullGross-to-net, statutory withholding and employer contributions remitted locally. Employer social security here is 6.27%.
Compliant local contract● fullDrafted to local labour law and language requirements. Here statutory notice is 4.3 weeks and the wage floor is ILS 6,444/mo.
Statutory leave & public holidays● fullAccrual, tracking and payment run through the local payroll the EOR operates. 15 weeks maternity leave.
Statutory severance on exit● partialThe EOR computes and processes it, but the cost is billed to you (often pre-funded). Statutory severance here is 23.1 weeks.
Termination decision & risk● partialThe EOR runs the legal process; the business reason, timing and exposure stay yours. Worker protection here scores 2.83 / 6 on the OECD index.
Work permits / visas (foreigners)● partialSome providers sponsor, many don't. Confirm per provider in the table below.
Performance management● noneDay-to-day direction, reviews and PIPs are entirely on your side.
Equity / ESOP administration● noneCross-border equity handling sits outside standard EOR scope.

Provider × country

Who can employ in Israel

39 providers operate an EOR in Israel, ranked by Select Score.

providerfrom / moselect score
Multiplier logoMultiplierSELECT PICKfrom $45981
RemoFirst logoRemoFirstfrom $19979
Payoneer Workforce Management logoPayoneer Workforce Managementfrom $19978
Remote logoRemotefrom $69977
Pebl (formerly Velocity Global) logoPebl (formerly Velocity Global)Quote75
Remote People logoRemote Peoplefrom $19975
Globalization Partners logoGlobalization PartnersQuote74
Rivermate logoRivermatefrom $31974
Show all 39 providers ↓
Deel logoDeelfrom $59974
Borderless AI logoBorderless AIfrom $57971
Playroll logoPlayrollfrom $39971
Papaya Global logoPapaya Globalfrom $49969
Oyster logoOysterfrom $69968
Rippling logoRipplingQuote68
Thera logoTheraQuote67
Lano logoLanofrom $49965
Asanify logoAsanifyQuote65
Teamed logoTeamedfrom $59963
Atlas HXM logoAtlas HXMfrom $59961
Foxhire logoFoxhireQuote61
GoGlobal logoGoGlobalQuote60
Dhi ADT logoDhi ADTfrom $44960
Aspirock logoAspirockQuote59
WTS Energy logoWTS EnergyQuote59
Agility EOR logoAgility EORfrom $59959
HSP logoHSPQuote59
Cadana logoCadanaQuote58
Justworks logoJustworksQuote58
Alariss logoAlarissQuote56
CWS Israel logoCWS Israelfrom $59955
39 providers operate an EOR in Israel, ranked by Select Score. Price is each provider’s lowest published EOR rate (global, not country-specific).
See the ranked best EOR in Israel
Scored by the EOR Select rating systemSee the methodology →Built and maintained by Robbin SchuchmannUpdated 2026-08-30

Comparing EOR options for Israel?

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