Updates from July 2020


The National Insurance Institute made sur that those who lost their jobs due to the coronavirus crisis could continue to receive unemployment benefits.
Below, a list of updates on unemployment benefit as of July 2020:

Extension of unemployment benefits payment until 30.6.2021

The payment of unemployment benefits will be extended until 30.6.20, for those who exhausted their days of unemployment, as follows:
  • Those who used up their unemployment days as of 1.3.20 onwards - will automatically continue to receive unemployment benefits until 30.6.20 as long as they are unemployed.
  • Those who used up their unemployment days before 1.3.20 and whose work stopped from 1.3.20 within the unemployment year - can receive unemployment benefits since the day of his work stoppage (subject to providing a work stoppage confirmation from their employer) until 30.6.20.
  • Those who used up their unemployment days in January or February 2020 and did not return to work - can receive unemployment benefits from 1.7.20 to 30.6.20.
    Payment will be automatic for the insured who reported to Employment Service in July. Whether you did not report in July, rather in August, you can receive unemployment benefits from August onwards.

Please note, even if the year of unemployment ends, there is no need to submit to us a new unemployment benefit claim, we will extend the eligibility automatically.
During that time, the payment of unemployment benefits will vary according to the unemployment rate in the economy, according to the publications of the Central Bureau of Statistics:

First step – Regular payment

As long as the unemployment rate in the economy is higher than 10%, the payment of unemployment benefits will continue as usual, as made until now.

Second step – Reduced payment

If the unemployment rate in the economy lies between 7.5% and 10%, unemployment benefits will be paid at a reduced rate of 90%, 30 days after publication of unemployment rate, for those who exhausted their unemployment days.
In other words, if you are entitled to an unemployment benefit of NIS 1,000, your unemployment benefit will be reduced to NIS 900.

Third step – Termination of payment

If the unemployment rate in the economy falls below 7.5%, the payment of unemployment benefits will cease 30 days after publication of unemployment rate.
In other words, those who exhausted their unemployment days will see their entitlement to unemployment benefits end on 30.6.2021 or 30 days after the unemployment rate dropped below 7.5%, whichever is earlier.

Important notice!

During that period your unemployment benefits will not be recalculated.
What does that mean? If you start a new job at a lower wage and find yourself again sent on unpaid leave or dismissed, you can continue to receive unemployment benefits as you had until now. We will not recalculate the unemployment benefit according to the lower wage.

Shorter qualifying period for unemployment benefit for those dismissed by 30.6.21

A person dismissed or sent on unpaid leave by his or her employer, between March 1 and June 30, 2021, who spent at least 6 months of work in the last 18 months, can be eligible for unemployment benefit. In this case, the entitlement represents half of the unemployment days granted to those who have accumulated 12 months of work. Registration with Employment Service is required according to regulations.

Extending the period of payment of unemployment benefit together with an additional allowance

Payment of unemployment benefit together with the benefits listed below, will be extended until 30.6.21.
During that period, unemployment benefits will not be considered double benefit, rather work income.

Additional benefits are::

  • Maintenance (Alimony)
  • Income support
  • Old-age pension (age 62 for women and 67 for men)
  • Survivors' pension
  • General disability pension (increment for spouses and children)


Cancellation of the 5 unemployment days deduction

From June 2020, 5 days of unemployment won't be deducted but in the first month of reception of unemployment benefit, and no more over the whole unemployment year.

This amendment is in force until 30.6.21.

Additional relief measures during the coronavirus period

All of the following relief measures are valid from 1.8.20 to 30.6.21 or up to 30 days after the unemployment rate in the economy dropped below 7.5%, whichever is earlier. Relief measures will enter into force as of August unemployment benefits paid in September.
  • Shortening the period of unpaid leave entitling to unemployment benefits to 14 days
    A person sent on unpaid leave as of 1.8.20 may be entitled to unemployment benefits if the period of unpaid leave is at least 14 days (instead of 30 days).
  • Increasing unemployment benefits for those under 28 and with a child
    The amount of unemployment benefits to be received by an unemployed person who is under 28 and lives with a child, will be calculated as for the unemployed aged 28 and above.
    For unemployment benefit rates by age, click here
  • The maximum amount of unemployment benefits will not be reduced from the 126th day
    As of the 126th day, the maximum amount of unemployment benefit will not be reduced to NIS 281.36 and remain at NIS 422.04, per day.
  • Full-rate unemployment benefit payment for those attending vocational training
    Those who are in vocational training on behalf of the Employment Service, will receive unemployment benefits at the full rate (and not at a 70% rate as thus far).
  • Full-rate unemployment benefit payment for the recurring unemployed
    During this period, the unemployment benefit for a recurring unemployed person will neither be shortened nor reduced, and will be paid at full rate (rather than for 80% of the days and 85% of the amount of the unemployment benefit, as thus far).