Overtime
How is overtime remuneration calculated?
Answers (1)
The Overtime and Rest Hours Law of 1951 stipulates at what times an employer is permitted to employ their workers. Furthermore, the law defines the framework of working hours and whether an employer is permitted to require an employee to stay beyond these hours. Generally, an employed worker is entitled to two additional hours at a rate of 125% after 8 regular working hours per day or 7 regular hours per night, and also to overtime pay at a rate of 150% from the third additional hour onwards. The Working Hours Law stipulates that a workday shall not exceed 8 hours for employees working 6 days a week, or alternatively, 8.4 hours for employees working 5 days a week. Furthermore, it is stipulated that work performed between 22:00 and 06:00 shall be considered night work, and the latter shall not exceed 7 hours. Regarding weekly rest, it is stipulated that it shall be no less than 36 consecutive hours, taking into account the employee's religion (rest days for Jews are Friday-Saturday). Overtime - If the employee works hours beyond those stipulated by law, the employer shall be obligated to pay additional working hours, at a rate of 125% (for the first and second hour) and 150% (from the third hour), in accordance with protective laws, collective agreements, extension orders by employment sector, and personal employment contract. Yaakov Shintman Labor Law Attorney