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Employer of Record (EOR) in Israel:
Compliant Onboarding & Severance Management

Hire Without an Israeli Entity

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Employer of record
Global Deployment
On-demand talent
payroll

What Is an Employer of Record in Israel?

An Employer of Record (EOR) in Israel legally employs workers on behalf of your company so you can hire local or foreign talent without creating a local subsidiary or entity. The EOR becomes the official employer on paper, handling payroll, statutory compliance, taxes, social and labor obligations under Israeli law — while your business retains full operational control of the team.

This model helps businesses enter Israel’s advanced labour market quickly and efficiently, avoiding entity setup delays, administrative burden, and legal risks.

Why Use NNRoad as Your Israel EOR Service Provider

As a global EOR, payroll outsourcing, and international hiring services provider across 82+ countries, NNRoad provides a seamless, compliant, and locally expert approach to hiring in Israel:

  • Trusted global coverage with dedicated local compliance experts.

  • Zero need for entity setup — rapid launch in Israel.

  • Fully compliant payroll, tax, social benefits and HR admin.

  • Local Israeli labor law expertise, updated constantly.

  • Strong internal technology infrastructure linked to payroll & compliance data.

With NNRoad, international companies can hire, onboard, and pay Israeli staff efficiently — mitigating legal, tax, and labour compliance risks in one of the most dynamic markets in the Middle East.

Hire in Israel Without Setting Up a Local Entity

Establishing a legal entity in Israel can be costly and time‑consuming, often requiring extensive legal registration and operational infrastructure before employment can begin. Partnering with our Employer of Record in Israel allows you to:

✔ Start hiring local talent immediately
✔ Avoid permanent establishment risk
✔ Reduce recruitment admin & back‑office overhead
✔ Maintain operational control of your teams
✔ Ensure full compliance with Israeli labour, tax and social security rules

This approach is particularly valuable for businesses testing the Israeli market or looking to hire specialist talent quickly.

Comprehensive EOR Services We Offer in Israel

NNRoad’s Israel EOR offering covers every step of the employment lifecycle:

Employment & Contracting

  • Drafting compliant contracts under Israeli employment law

  • Local labour classification consulting

  • Work permits & B‑1 visa support if hiring foreign nationals

Payroll & Compensation

  • Monthly payroll processing in New Israeli Shekel (₪)

  • Income tax withholding & national insurance remittance

  • Pension & statutory benefit contributions

  • Expense & bonus administration

Compliance & Legal

  • Employment law regulatory updates implemented automatically

  • Data retention policies aligned with local standards

  • Anti‑discrimination practices as defined by Employment (Equal Opportunities) Law

Employee Support

  • Onboarding assistance and HR support

  • Mandatory statutory benefits compliance

  • Local HR communications

Israel Employment Compliance, Payroll & Tax Essentials

To hire legally in Israel, employers must navigate complex compliance requirements, including social security (Bituach Leumi), pension contributions, payroll tax filings, and statutory benefits such as annual leave, sick pay, and recreation pay.

Our EOR service ensures:

  • Accurate payroll tax calculation & remittance

  • Employer contributions to mandatory social programs

  • Compliance with work‑time, leave and remuneration laws

  • Local legal risk mitigation

With NNRoad, your workforce in Israel remains legally compliant at every stage of employment.

Statutory Employee Benefits & Local Israel Regulations

Employees working in Israel are entitled to statutory benefits including:

  • Paid annual leave (based on years of service)

  • Pension contributions

  • Social security coverage

  • Recreation pay and public holiday entitlements

  • Other benefits based on local labour standards

NNRoad ensures that all employee benefits and payroll deductions are processed fully within the legal requirements, removing compliance risk for your business.

Industries & Roles Ideal for Israel EOR Hiring

Key sectors where EOR services add strategic advantage include:

  • Technology & SaaS — rapid talent acquisition without entity setup.

  • Fintech & Cybersecurity — compliance in specialised professional roles.

  • Life Sciences & Biotech — streamlined hiring of research and engineers.

  • Consulting & Services — flexible workforce scaling.

Whether you’re hiring engineers, researchers, consultants, or operational staff in Israel, NNRoad supports your workforce dynamics with full compliance and HR administration.

QUICK FAQs

Yes. With NNRoad’s EOR in Israel, international companies can legally hire and manage Israeli employees without setting up a local entity. NNRoad acts as the legal employer, handling compliant employment contracts, payroll, and benefits administration under the Israeli Labour Law and guidance from the Ministry of Economy and Industry. This allows businesses to expand into Israel quickly and compliantly.

NNRoad’s EOR in Israel manages payroll according to local tax and labor regulations. We calculate gross-to-net salaries, withhold income tax, Bituach Leumi (National Insurance) contributions, and health insurance payments. All filings and payments are made to the Israel Tax Authority (ITA) and the National Insurance Institute, ensuring accuracy and compliance with Israeli employment laws.

Employees in Israel are entitled to benefits including social insurance (Bituach Leumi), pension contributions, paid vacation, sick leave, maternity/paternity leave, and severance pay under the Severance Pay Law (1963). NNRoad’s EOR in Israel ensures compliance with these requirements and can also help manage collective agreement benefits (such as those through the Histadrut labor federation).

Yes. NNRoad’s EOR in Israel assists employers with obtaining work and residence permits for foreign nationals through coordination with the Population and Immigration Authority. We prepare and submit all relevant documents, manage visa renewals, and ensure expatriate employees meet the legal conditions for employment in Israel.

Onboarding through NNRoad’s EOR in Israel typically takes 7–10 business days. Once candidate details are confirmed, our HR team drafts a compliant bilingual (Hebrew-English) employment contract, registers the employee with Bituach Leumi and the tax authorities, and completes payroll setup. This ensures a quick and fully compliant hiring process for both local and foreign employees.