What Should You Pay Attention to If You're Being Dismissed?

Step-by-Step Instructions

1. 1

   Your employer must hold a hearing (Shimua)

   Before dismissing an employee, an employer is legally required to invite them to a dismissal hearing, known in Hebrew as a Shimua (שימוע).

   • The employee must receive reasonable advance notice of the hearing — generally at least 2 or 3 days beforehand.
   • The purpose of the hearing is to give both the employer and the employee an opportunity to have a genuine conversation, during which each side can present its arguments before a final decision is made.
2. 2

   If your employer decides to dismiss you

   If, after the hearing, the employer decides to proceed with the dismissal, you must receive a written notice of termination (or advance notice of dismissal). This document should clearly state the date on which your employment will officially end.

   Notice period:

   • If you have worked for your employer for one year or more, you are entitled to one month's notice.
   • If you have been employed for less than one year, the required notice period is generally equal to the number of months you have worked.

   Convalescence pay (Dmei Havra'a): Employees who have worked for more than one year are also entitled to receive any outstanding convalescence pay if they have not already received it.

3. 3

   Documents you should receive when your employment ends

   1. Confirmation of Employment Termination

   This document confirms the end of your employment and specifies the period during which you worked for the employer.

   • You should receive it within two weeks of your last working day, or within one week of requesting it — whichever comes first.
   • The employer is required to state your period of employment but is not required to specify the reason for your dismissal.
   • This document is important, among other things, when applying for Unemployment Benefits (Dmei Avtala).

   2. Letter Releasing Pension Funds (if applicable)

   If pension contributions — including severance pay — were made during your employment, you may be able to access part of these funds.

   To do so, the pension fund typically requires confirmation that your employer does not object to releasing the funds to you.

   Important: We generally do not recommend withdrawing money from your pension fund — these savings are intended for retirement and can significantly increase your future pension.

   3. Form 161

   Form 161 is the employer's official notification to the Israel Tax Authority regarding the end of your employment.

   It includes:

   • The amount of severance pay and any other payments made upon termination.
   • The amounts contributed to your pension fund during your employment.

   4. Form 106

   Form 106 summarises all of your salary payments, tax deductions, and other payroll information for the entire tax year (January through December).

   Every employer is required to provide Form 106, even if you worked for them for only one day during that tax year.

4. 4

   Payment for unused vacation days

   When your employment ends, you are entitled to receive financial compensation for any unused vacation days you have accumulated — regardless of the circumstances under which your employment ended.