Employer of Record in Israel

Hire in Israel legally, without an entity.
EOR gives you full control—from onboarding to offboarding.

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Trusted Insight

Employ in Israel without risks

As your trusted Employer of Record in Israel, GEOR handles the full scope of local employment tasks for you.

  • Hire developers in Israel without opening a local company.
  • Work with engineers already vetted and registered for legal employment.
  • Local payroll, Bituach Leumi, and deductions handled by people who know the system.
  • Built for SaaS, fintech, and global teams entering the Israeli market.
  • Flexible terms, fast and accurate setup, legal peace of mind.

Israel

High-return market

A globally connected tech ecosystem with infrastructure built for ROI and scale.

Technical excellence and global mindset

Strong STEM talent with deep technical focus and cross-functional engineering expertise.

​​Precise legislation

Strictly enforced regulations with no margin for error.

Economy

Ranked 35th globally for ease of doing business, with a GDP of $583.36 billion (2025 projection).

Language

Hebrew (English widely used in business)

Currency

Israeli New Shekel (₪)

IT salary range

₪160k–₪480k/year ($43k–$130k)

Pay in tech hubs

Cities Niche focus Avg. software developer pay
Tel Aviv Cybersecurity, Fintech, SaaS, AI ₪360k/year ($96k)
Haifa Hardware, Telecommunications, R&D ₪320k/year ($85k)
Jerusalem GovTech, AI, Health Tech ₪310k/year ($83k)
Herzliya Gaming, Media, Mobile Apps ₪330k/year ($88k)
Be’er Sheva Cybersecurity, Defense Tech ₪295k/year ($79k)

Note: Salary figures are based on 2025 market estimates, including bonus. Final compensation may vary depending on contract structure, sector, and seniority.

In-demand tech roles and skills

Languages
Python, JavaScript, Java, Go, Rust, TypeScript.
Platforms
AWS, Google Cloud, Azure, Kubernetes, Terraform.
Data
SQL, Snowflake, Apache Kafka,
dbt (Data Build Tool), TensorFlow, PyTorch
AI
PyTorch, TensorFlow, Hugging Face, LangChain,
Apache Spark
OpenAI API
Frameworks
React, Angular, Next.js.
Cybersecurity
Zero Trust Architecture,
OWASP Standards,
SIEM Solutions,
SOC 2 Compliance.
Blockchain
Solidity, Web3.js, Truffle, Hardhat.
Soft skills
Communication, problem-solving, adaptability, teamwork, critical thinking, time management, client-focused mindset, conflict resolution, cross-cultural competence.
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Labor laws for IT employers

Key Israeli employment rules for tech companies hiring locally, including contracts and salary-related obligations.

Labor laws

​​Employment in Israel is regulated through a mix of statutes, case law, and collective agreements. Key laws include the Hours of Work and Rest Law, Wage Protection Law, National Insurance Law, and others.

Minimum wage and overtime
₪5,571/month ($1,480) as of 2025. Overtime starts after 42 hours/week: first 2 hours at 125%, additional hours at 150%.
Written contracts
Required for all employment relationships. Contracts must define salary, role, hours, social contributions, and termination terms.
Worker classification
Employees are managed directly and get full benefits. Freelancers (atzma’im) work independently and handle their own payments.
Equal opportunity
Discrimination based on gender, religion, age, sexual orientation, or political opinion is prohibited.
Workplace safety
Employers must provide safe working conditions per the Occupational Safety Ordinance, including training and regular risk assessments.
Military reserve obligations
Israeli employees are subject to IDF reserve duty. Employers must continue paying full salary during service, while reclaiming part of the cost from the state.
Benefits and leave in IT

National insurance (Bituach Leumi)

All employees must be registered with Israel’s National Insurance Institute.

Monthly contributions

Health, pension, and social payments are mandatory. Employers deduct and report them each month.

Mandatory
Annual leave
16–22 working days per year depending on tenure. Many IT firms offer 23–25 days to stay competitive.
Sick leave
First day unpaid, second and third days at 50%, then 100% from day 4 onward. Paid directly by the employer.
Parental leave
15 weeks (105 days) paid by Bituach Leumi. Fathers receive up to 6 days mandatory paternity leave and may share remaining time.
Optional
Private health insurance
Offered by many employers for extended coverage and faster access to care beyond the public health system.
Performance bonuses
Often linked to milestones or yearly goals. Some bonuses (up to 6% of annual salary) can be exempt from income deductions.
Remote work support
Reimbursement for home internet, phone, or co-working space.
Professional development
Partial or full funding for courses, certifications, and international conferences.
Foreign worker policies
Employer registration
Employers must apply for a work permit through the Population and Immigration Authority (PIBA) before hiring a non-Israeli.
Work and residence permits
Foreign nationals need a valid B/1 visa linked to one employer and role. It’s usually valid for 1 year and can be renewed.
Permit scope and restrictions
The visa is non-transferable. Changing employers or roles requires a new application and approval from Israel’s Ministry of Interior (Misrad HaPnim).
Contract requirements
A written contract is mandatory, detailing job title, compensation, responsibilities, work location, and termination terms.
Salary and job category
The job must match an approved profession and meet the minimum wage for foreign workers. Underpayment can lead to permit denial.
Bituach Leumi
Foreign hires must complete social security and fiscal registration before starting.
Employer obligations
Any changes in employment status (termination, role change, relocation) must be reported to the authorities within 15 days.
Data and IP laws
Data protection
Israel’s Privacy Protection Law governs employee data use. Companies must ensure transparency, security, and lawful processing, especially during onboarding and remote work.
Employee data rights
Employees can view, correct, or delete their data. Employers must explain how it’s used and get consent when required.
Confidentiality and IP
Trade secrets are contract-based. IP made on the job usually stays with the employer if the contract says so.
Non-compete clauses
Non-compete clauses are valid if limited (6–24 months), reasonable in scope, and offer fair compensation.
Remote work compliance
Employers must secure systems, set clear usage rules, and control access to sensitive data for remote teams.
Work termination
Grounds for dismissal
Termination must have clear, documented reasons like performance issues or redundancy. Discrimination or arbitrary dismissal is not allowed.
Severance pay
After one year, dismissed employees usually get severance (one month’s salary per year) unless fired for cause.
Notice period
Advance notice is required. Length depends on seniority and the contract. If not given, the employer must pay in lieu.
Legal protections
Termination is not allowed during maternity leave, military duty, or for reasons like gender, health, union ties, or family status.
Tech levy structure in Israel
Personal income (Mas Hachnasa)
Progressive, from 10% to 50%, based on earnings.
Employer share
19.6%–26.5% to Bituach Leumi for pension, health, and other coverage.
Employee share
3.5%–12% to social security and health insurance.
Freelancers
Pay their own contributions and 17% VAT(Ma’am) if applicable.
Equity compensation
RSUs and stock options are treated as salary when vested or sold.
Ma’am
The standard VAT rate of 17% applies to digital services, SaaS, and contractor invoices, but not to regular employee salaries.

Israeli recruiting allows no errors

The system in Israel requires accuracy. Missing a single step in onboarding can lead to audits, fines, and registration issues.

Employer registration

Companies must be fully registered as an employer and reporting to Bituach Leumi and Tax Authority (Rashut HaMisim).

Continuous compliance update

Incorrect contract wording

Poorly phrased terms on working hours, notice, or job scope can invalidate the contract.

Global payments automation

Visa tied to job description

Even minor changes in foreign worker’s job duties may invalidate the permit.

Inconsistent employee experiences

Automatic severance

Unless clearly defined in advance and properly justified, terminations can trigger severance.

Minimize compliance risk

Insurance and pension errors

Staff has to be enrolled in required pension and insurance schemes.

Control cost

Only local payroll system

Salaries must be paid through Israeli-approved payroll systems.

Complete EOR support in Israel

Everything your team needs is covered by our Employer of Record in Israel. Full protection and peace of mind.

  • All employment steps covered
    Contracts, payslips, contributions, and benefits aligned with Israel’s labor and insurance laws.
  • Full HR coverage
    From job offers to layoffs — all documents are drafted, filed, and updated.
  • Tech talent based in Israel
    Junior to Senior-level engineers fluent in English and experienced with global teams.
  • Retention through legal clarity
    Employees stay longer, as their rights are protected and benefits are clear and reliable.
  • Grow without bottlenecks
    Scalable EOR framework to grow without admin and legal setup in Israel.
  • Employee registration and visas
    Bituach Leumi registration and compliant onboarding for foreign and local hires.

Speed and structure for tech

Based on 15+ years of hiring experience across tech roles, this is what makes our EOR the preferred choice for software teams in Israel:

96%
reduction in hiring time.
40%
savings in onboarding and operational costs.
4x
faster market entry.
92%
employee retention rate.

Included with EOR in Israel

We take on all the risk and complexity of hiring in Israel. Here’s what’s included in our EOR package:

Fully compliant tech onboarding

Verified employment, signed contract, fiscal ID (Teudat Zehut), and Bituach Leumi registration.

Correct payroll and contributions

Salaries, monthly deductions for social security, pension, and healthcare deductions handled automatically.

Employee and data security

Clear job description, secure documentation, and employee data handling aligned with Israeli laws.

Benefits and perks

Curated for Israel’s tech professionals:

  • Private health plans (e.g. Clalit Mushlam, Harel)
  • Pension and severance contributions
  • Paid vacation, sick leave, and parental rights
  • Optional life and disability coverage
  • Stipends for coworking, wellness, and home office
  • Training budgets and performance bonuses

Israel EOR pricing

Built for startups and scaleups that value cutting-edge frameworks, solid expertise, and a good deal.

  • Access to an exclusive talent pool
  • Onboarding within 7 days
  • Payroll and tax management
  • Built-in security and compliance
  • IP and invention rights protection
  • Workforce management platform

Add-ons:
Recruitment, Visa services, Premium benefits and Dedicated HR team

Employer of Record
$499

per employee/ month.

 

A basic EOR package with flexible service add-ons.

Tech pay trends in Israel

Compare annual IT salaries across roles and regions.

City Junior Mid-level Senior
Tel Aviv ₪200k / $53k ₪290k / $77k ₪420k / $112k
Haifa ₪185k / $49k ₪270k / $72k ₪400k / $107k
Jerusalem ₪180k / $48k ₪260k / $69k ₪390k / $104k
Be’er Sheva ₪170k / $45k ₪250k / $66k ₪370k / $99k
Herzliya ₪190k / $50k ₪280k / $74k ₪410k / $110k

Note: Estimates include base salary plus typical annual bonus (as of 2025). Employer of Record costs are not included.

We got you covered

Israel is a place of strong talent and strict rules.
Most companies take months formatting contracts line by line just to get permits.
We already have what you need to get started next week.

Contact us_Tamuna

Client Feedback

Daniel Urmañn
Founder
Diib

The team’s professionalism and technical expertise were unmatched. They met our intricate needs with tailored solutions, guaranteeing reliability and efficiency, while modern technology was expertly incorporated into our systems.

Joe Purtle
Chief Operations Officer
Doka USA

The team demonstrated unmatched expertise and dedication, seamlessly integrating innovative technology with our advanced platforms to enhance overall performance.

Maxi Schellhas
Director General
Randstad, Argentina

GEOR’s team is a mastermind of innovation! Their cutting-edge solutions revolutionized our analytics, providing valuable insights and improving our decision-making.

Victor Fei
Victor Fei
Founder & CEO
Ormi Labs, Inc.

We’ve been really impressed with the temporary labor services they’ve offered. Thanks to them, we were able to secure contracts with top blockchain developers and DEFI projects.

Jim Darter
Jim Darter
President
Sandpiper Hospitality

I love the fact that they are always ready to help and put a lot of effort into every aspect of their work. GEOR was helping source, review and iterate candidates suited for our roles

Jason Schwartz
Jason Schwartz
Creative Director
Bright Bright Great

They provided innovative outputs and always meet the deadlines. Most of all, they have a deep understanding of the client’s business, allowing them to process things exceptionally.

Peter Arduini
Peter Arduini
President & CEO
GE HealthCare

The speed and quality of profile they provided, lots of matching candidates were impressive. They help us to strengthen our team and to fill in needed position with experienced member.

Greg Tearne
Greg Tearne
Chief Executive Officer
Altapac Group

They go above and beyond with their service delivery. My initial expectations have not only been met but exceeded to a level I didn’t think possible.

A better EOR for developers

Compare top Employer of Record services in Israel and see why GEOR makes more sense for tech companies.

Pros
Cons
GEOR
Developers onboarded in 1 week. Local legal team. Own developers’ base.
Built for tech only, doesn’t fit non-digital sectors.
Skuad
Fast setup, clear pricing, SaaS-based platform.
No local team or recruiting in Israel, limited tech scope.
CWS Israel
Local compliance knowledge, Israeli legal team.
Limited infrastructure, no tech specifics, no hiring support for global teams.
Velocity Global
Visa services, global templates, support for Enterprises.
High cost, no dev talent, onboarding takes weeks.

Your hiring partner
in Israel

The Israeli market is competitive, fast-moving, and built on trust, legal clarity, and deep technical standards. Whether you’re choosing engineers from our vetted talent pool or onboarding your own hires, our framework is fully equipped for them to start within 7 days. Our Employer of Record hires on your behalf, clarifying obligations and removing approval pendings. Let us handle all the legal steps—from worker classification to payroll, and layoffs—so you can focus on the product.

GEOR

Start legally, work calmly.

Talk to us about hiring in Israel.

FAQs

What is an Employer of Record (EOR) in Israel?

We act as your legal employer in Israel, handling contracts, payroll, and all official filings on your behalf.

Why do foreign companies use an EOR in Israel?

To hire in Israel without opening a company, while staying fully legal and compliant with local labor laws.

What types of foreign companies use EOR in Israel?

Mostly SaaS, AI, fintech, and product teams expanding to Israel without setting up a local branch.

How fast can developers be onboarded under EOR?

Local hires are usually ready within 7 business days with an Employer of Record. For non-Israelis, visa processing takes a few months.

Can an EOR support remote developers in Israel?

Yes. Our Employer of Record supports hybrid and remote work setups with legal contracts, equipment allowances, and accurate payroll anywhere in Israel.

What benefits do employees receive under EOR in Israel?

Public and private health insurance, pension contributions, paid vacation, sick leave, parental leave, and annual bonuses.

How does an EOR manage payroll and required contributions in Israel?

We calculate and pay salaries along with all required contributions each month, fully aligned with Israeli law.

Does EOR in Israel cover both employees and freelancers?

Yes. We employ full-time staff and help structure freelance agreements with valid registration and compliant invoicing.

Can non-Israeli developers work through an EOR?

Yes, an Employer of Record sponsors work permits and hires your developers as the local legal employer.

Is employee data handled securely with an EOR?

Yes, all records are managed under GDPR and Israeli data laws, with clear privacy and confidentiality terms.