a. Changes in the formula for calculating the benefit (amendment to the law, section 273 (A) )
Every reserve service soldier is now compensated for the loss of income due to reserve service, according to the formula specified in Section 273 (A) of the law: the quarterly salary which is subject to National Insurance contributions, divided by 90. According to this formula, full compensation is not given to someone who served for short periods of less than 7 days or longer periods of service in which the service ended on Thursday. For example, a person serving reserve duty for 5 days is now compensated at the rate of 5/30 of his salary. In contrast, someone who works 5 days earns 7/30 of his salary a day.
Below are details of the amendments according to the new formula:
Continuous service of 7 days - Each day of service is paid (even if this entails a number of consecutive 7 day periods) according to the formula that currently exists in the law (dividing the quarterly salary by 90).
1, 2, 3, 4, 5 days of service are paid according to the existing formula (dividing the quarterly salary by 90 and adding 40% for the number of days served).
6 days of service are paid according to the existing formula with the addition one day.
For a period of service of over 7 days - If, after dividing the number of days by seven, the remainder is less than 6, the benefit is calculated according to the existing formula with the addition of 40% for the remaining days. If, after dividing the number of days by 7, the remainder is 6 days, the service is paid according to the existing formula with the addition of one day for the remaining days.
b. Increasing the minimum benefit
Under the law, "the rate of the daily benefit shall not be less than the minimum benefit."
The minimum daily benefit is defined as the minimum monthly salary divided by 30, NIS 123.67 per day and NIS 3,7180 per month.
Under the amendment to the law, the minimum benefit has been increased to 68% of the basic amount NIS 189.72 (as of 01.01.2012) per day and NIS 5,692 (as of 01.01.2012) per month.
Even if a reservist received the minimum wage before his reserve service, after amendment of the law he receives a higher benefit for his reserve service – NIS 5,692 (as of 01.01.2012) instead of NIS 3,710.
The increase in the minimum benefit applies also to reservists who completed their service in August 2008. The increased minimum benefit applies only to those days that are after August 1, 2008.
c. Half-day service
Sometimes reservists are called up for reserve service that does not exceed one day, for which they are paid the regular benefit, just as they receive for any other period of service.
There are cases in which reserve service of several hours is performed, which only partially affects the reservist’s job.
The benefit that is paid for partial service is half the benefit that is paid for one regular day of reserve service. The duration of the service may not exceed 6 hours, including travel to and from the service location. The benefit is paid on the basis of special authorization issued by the IDF.
d. Payment to a person who served in reserve duty but whose income was not affected by the service
On the basis of the amendments to the law, the reserve service benefit is paid for each day of service, irrespective of whether the income of the reservist was affected by the service.
A worker serving in reserve duty during a regular workday who performed the reserve service beyond work hours, or on his weekly rest days and/or his vacation, is paid both his regular salary and the reserve service benefit.