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ISRAEL - 2018 Minimum Wage Increase for Foreign Experts

Effective immediately, the new minimum monthly prevailing wage for foreign national experts holding B-1 work permits is now 19,604 NIS (up from 19,086 NIS in 2017).

The change does not affect experts holding SEA visas (Short Employment Authorization for 45 days) or STEP visas (Short Term Expedited Process for up to 90 days) categories.

What can be included in the prevailing wage?

The prevailing wage for one-year B-1 work visas is double the national average salary. The employer can include in the calculation of the prevailing wage the following benefits, if officially recorded in the pay slip:

  • Gross salary;
  • Unconditional per diem payments;
  • Unconditional monthly relocation compensation;
  • Unconditional monthly international travel allowances (for home visits);
  • Unconditional monthly bonus;
  • Any other unconditional monthly payment made to the expert employee.

Action Items

  • Employers must review the salaries of their foreign national employees in Israel to ensure compliance with the new minimum monthly prevailing wage.

This news alert was prepared using information provided by Kan-Tor & Acco.

DISCLAIMER: The information contained in this immigration alert has been abridged from laws, court decisions, and administrative rulings and should not be construed or relied upon as legal advice. If you have specific questions regarding the applicability of this information, please contact Peregrine © 2017 Peregrine Immigration Management Ltd.