Can an Israeli employer dismiss a foreign worker during a period of medical incapacity?

The Sick Pay Law 5736-1976 creates a two-part protection for ill employees. Section 4 prohibits the employer from serving a dismissal notice while the employee is absent due to illness and still has unused accumulated sick days. The protection lasts precisely as long as the sick-day bank holds out: 1.5 sick days accrue per calendar month of employment (18 days per year), and they carry forward if unused. A worker employed for three years who has never taken a sick day would have a bank of up to 54 days at the point of illness. Beyond the Sick Pay Law, Section 7A of the Equal Opportunities in Employment Law 5748-1988 independently prohibits dismissal on grounds of disability, long-term illness, or physical limitation. This provision does not require an active sick absence — it applies whenever the reason for dismissal is the condition itself. Together, these two statutes create overlapping protection that Israeli Labor Courts apply consistently, as detailed in the full guide to employment law in Israel for foreign nationals.

A foreign worker dismissed in violation of Section 4 can apply to the Labor Court (Beit Mishpat LaAvodah) for a reinstatement order or, alternatively, for enhanced monetary compensation. Israeli Labor Courts have consistently awarded significant sums — including full severance pay and notice pay — to workers dismissed during a protected sick absence. The employer cannot circumvent the protection by claiming the dismissal was for unrelated reasons if the timing coincides with the illness. A foreign worker facing this situation should notify the employer immediately in writing that the dismissal is unlawful and file a Labor Court application within 60 days. Even after sick-day entitlement is exhausted, dismissal on medical grounds still requires the employer to follow the full notice period, conduct a prior hearing (shmiyas tvionot), and pay severance — the full package does not disappear when the sick-leave protection lapses.

From the full guide: Employment Law in Israel for Foreign Nationals and Expats

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