An initiative to provide compensation to employers of reserve soldiers was approved by the Knesset on Monday, giving the provision a permanent position in Israeli law.
The Knesset plenum approved the second and third readings of the amendment to the National Insurance Law led by Finance Minister Bezalel Smotrich, Defense Minister Israel Katz, and Deputy Prime Minister, Minister of Justice, Minister of Interior, and Minister of Religious Services Yariv Levin.
The decision made financial compensation for those who employ reserve soldiers mandatory by law, ending reliance on temporary regulations.
The kaw is designed to provide long-term economic security for the business sector, ensuring continuous and stable support for businesses bearing the economic burden of employing soldiers on reserve duty.
It also encourages the continued integration of reservists in the labor market.
Passing the law a ‘milestone,’ says Smotrich
"Passing this law today in the Knesset is a milestone in strengthening the economic resilience of the State of Israel,” said Smotrich. The fronts of the conflict rely on a solid economic rear, and employers are the growth engine that sustains the economy. Fixing the reimbursement as a permanent provision creates business certainty and establishes a long-term contract between the state and the business sector.”
“We stand behind the reserve soldiers, their families, and the business owners who bear the national burden with a stable and permanent economic policy,” he concluded.
Katz also praised the decision, calling it a “significant step stemming from a deep understanding of the importance of supporting reserve soldiers and their employers.”
Reservists the backbone of security, says Katz
“Reservists are the backbone of Israel's security,” he continued, “and our responsibility is to stand behind those who enable them to serve repeatedly. Making the reimbursement a permanent provision strengthens national resilience, creates certainty for the business sector, and ensures a stable economy.”
“The State of Israel is sending a clear message here: full, long-term commitment to reserve soldiers, their families, and their employers, in both routine times and emergencies,” asserted Katz.
Levin called the law an “expression of deep appreciation for the reserve soldiers and the employers who stand by them.”
He assured that making the law permanent provides the Israeli economy with the “certainty and stability it needs," and added that he sees it as a “top priority” to provide a “proper economic safety net” for employers.
“The state stands behind those who continuously bear the national burden,” he said.