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Ministry of Economy And Industry Announces Upgrade to Salaries Subsidies to Employers of People with Disabilities


shekDirector of the Investment Center at the Ministry of Economy, Nahum Itzkowitz, calls on employers in the third sector and small businesses to apply to the Investment Center’s new grant track, absorb employees with disabilities, and receive subsidies for salary costs. Until now, grants have been given to production plants employing more than five full-time employees with disabilities. From now onwards, the unique new track will also allow third sector employers and licensed dealers to join; the limit on the number of employees has been lifted; part-time employees can also be given work, and the period during which the employer receives a salary subsidy will be extended from 30 to 36 months.

The new track is being launched with an initial funding of NIS 5 million, with 45% support for the employee’s salary during the first year of employment, 33% during the second year, and 22% during the third year – averaging 33% of salary costs.

In addition, various administrative dispensations were agreed upon, including:

· Reducing the percentage of a full-time position required for receiving aid, from a full-time position to one with one third of the hours;

· Raising the ceiling for the salary costs that can be subsidized from NIS 15,000 to NIS 16,000;

· Reducing the bureaucratic burden on someone employing less than five employees – the requirement to submit financial statements and a complete business plan is cancelled;

· Submitting a request for this aid track does not interfere with the eligibility to concurrently also approach other Investment Center tracks.

According to Ministry of Economy and Industry figures, 18% of the population of employment age (approximately 750,000) have disabilities. Since the end of 2014, every organization with over 100 employees has been required to employ people with disabilities at a rate of 3%.

The Administration for the Integration of People with Disabilities in the Workforce at the Ministry of Economy and Industry has recently made available a detailed guide for employees with disabilities (the complete guide is available on the Ministry’s website). Employers who are interested in advice and guidance are invited to make use, at any stage, of the services of the employer support centers that offer a tour of the working environment, an assessment meeting, and long-term guidance from the Ministry, which also includes financial aid for the employer when needed.

Director-General of the Ministry of Economy and Industry Amit Lang stated: “The low participation rate of male and female employees with disabilities in the labor market demands broader governmental intervention to provide more incentives for employers to employ them. This is an extremely important social and economic task and I hope that the increase in the grants, while also making them accessible to more employers, will lead to employer cooperation.”

Deputy Director of the Investment Center and Director of the Employment Tracks Asher Shitrit adds: “We have created an independent and separate track that will provide a professional solution for integration of people with disabilities in employment. We have constructed new dispensations on this track, raised the ceiling for salaries to help the employee, reduced the administrative burden and lengthened the period for providing aid. I view the new track with great importance in that it will increase the extent of employment among people with disabilities, and help integrate more high-quality employees into the world of employment. Now it is left to the employers to raise the gauntlet and make progress regarding employment of male and female employees with disabilities.”

(YWN – Israel Desk, Jerusalem)



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