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Placement of New Employees1. Employment Track -As part of <strong>the</strong> employment track, assistance is provided <strong>in</strong>respect of engagement of employees <strong>in</strong> <strong>the</strong> form of <strong>the</strong> paymentof grants as a percentage of <strong>the</strong> employees' salaries. Three aidschemes are operat<strong>in</strong>g <strong>in</strong> this framework.A. An employment track <strong>in</strong> which assistance is provided for 30months on two subsidiary tracks:1. The general track <strong>in</strong> <strong>the</strong> "outly<strong>in</strong>g areas" - a graduatedamount of assistance is provided, vary<strong>in</strong>g between 15%- 30% dur<strong>in</strong>g <strong>the</strong> first 10 months, 5% - 10% dur<strong>in</strong>g <strong>the</strong>last 10 months depend<strong>in</strong>g on <strong>the</strong> size of <strong>the</strong> Company. InDevelopment Region A, <strong>the</strong> aid varies between 5% - 25%depend<strong>in</strong>g on <strong>the</strong> size of <strong>the</strong> Company.2. The special population group track (m<strong>in</strong>orities, ultraorthodox,handicapped, s<strong>in</strong>gle parents). The track isavailable all over <strong>the</strong> country to entrepreneurs who employ90% of <strong>the</strong>se population groups and <strong>the</strong> amount of aidvaries between 35% <strong>in</strong> <strong>the</strong> <strong>in</strong>itial months to 10% <strong>in</strong> <strong>the</strong> lastmonths. M<strong>in</strong>imum employment on <strong>the</strong>se tracks is 5 jobsand <strong>the</strong> wage ceil<strong>in</strong>g for assistance is NIS 15 thousand.B.Initiatives for development of <strong>the</strong> outly<strong>in</strong>g regions:With<strong>in</strong> this framework, aid is provided for two types of enterprises:1. High salary earn<strong>in</strong>g enterprises (m<strong>in</strong>imum wage costof 250% of <strong>the</strong> national average wage). The m<strong>in</strong>imumemployment is 15 employees <strong>in</strong> <strong>the</strong> "outly<strong>in</strong>g" regions,when <strong>the</strong> aid will vary between 35% <strong>in</strong> <strong>the</strong> first year and5% <strong>in</strong> <strong>the</strong> fourth year. An advance payment will be madewhen <strong>the</strong> required m<strong>in</strong>imum is reached and with additionalassistance to those tak<strong>in</strong>g early steps to recruit employees.2. Firmly based enterprises. In this framework, <strong>the</strong> assistanceis provided to companies with a turnover of more thanNIS 100 million, and with a m<strong>in</strong>imum employment of 100jobs when <strong>the</strong> required wage cost is 150% of <strong>the</strong> nationalaverage wage.C.Send<strong>in</strong>g employees on paid leave (Agreed Leave):Assistance is provided to enterprises that employ more than 25employees, to send employees on paid leave. The employercan remove up to 100 employees from any paid leave cycle fora period of 3 months. Dur<strong>in</strong>g this period, <strong>the</strong> employer will pay<strong>the</strong> social benefits for employees up to 18% of <strong>the</strong> last salaryand high salary unemployment grant. This cost will be f<strong>in</strong>ancedby <strong>the</strong> State as a grant to <strong>the</strong> employer.Fur<strong>the</strong>r details can be found on <strong>the</strong> website of <strong>the</strong> M<strong>in</strong>istryof Industry, Trade and Employment - <strong>Invest</strong>ment Center.46 < <strong>Invest</strong> <strong>in</strong> <strong>the</strong> Negev and Galilee

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