Compensation framework for public sector workers affected by operation Lion’s Roar

Following several days of intensive negotiations, on Friday 20th of March, the Histadrut and Israel’s Ministry of Finance have finalised a comprehensive compensation framework to protect public sector workers whose employment was disrupted by the ongoing security situation. The agreement, covering the period from 28 February to 31 March 2026, aims to ensure that workers remain safe, financially supported, and able to maintain stability at home as the country continues to face the impacts of the conflict. This mechanism was crafted to provide both security for workers and continuity for the Israeli economy during a period of exceptional strain.

The new framework is based on employer participation in employees’ wages, based on the value of an annual leave day, with the remainder of any approved absence covered through the worker’s annual leave. This structure is intended to secure a reliable economic safety net for workers across the public sector, many of whom were unable to report to their workplaces or fulfil their duties due to Home Front Command restrictions, school closures, travel disruptions, or direct security threats.

First two weeks

During the first two weeks of the covered period, from 28 February to 14 March, employees whose workplaces were closed or reduced under official directives, and who were unable to work remotely, will receive full employer participation. For those for whom the above does not apply, parents of children under 14 whose schools were closed, along with persons with disabilities and their caregivers, will receive a 90 per cent participation rate, while workers delayed abroad due to cancelled flights will be compensated at 80 per cent. Absences for other security-related reasons will be covered at 60%.

Third and fourth weeks

Over the next two weeks, from 15 to 28 March, participation levels will gradually decrease. Workplace closures will be compensated at an 80 per cent rate, while parents, caregivers and special population groups will receive 75 per cent. Other cases, including travel delays and general security-related absences, will be compensated at 50 per cent.

Passover

The final days of the period, from 29 to 31 March, coincide with the days leading into Passover. Workplaces with a traditional pre-holiday recess will apply that recess under their usual terms. In units where no such recess exists, the compensation rates from the previous period will apply. Essential units that are required to maintain continuous public services will be exempt from the recess. Additionally, any worker who has been officially evacuated from their home due to war-related damage will be entitled to full compensation for eight days from the date of evacuation.

Histadrut Chair Arnon Bar‑David emphasised the importance of anchoring financial protection for workers during this period of uncertainty. “Public sector workers are the backbone of Israeli society, and even in the current operation they demonstrate extraordinary dedication,” he said, stressing the union’s commitment to securing economic safety for employees and their families. He added that the framework “strikes the right balance between the personal needs of workers and the national need for continuity,” noting that efforts will continue until all understandings are formalised into a collective agreement that fully safeguards workers’ rights.

This agreement underscores the essential role of unions in guaranteeing economic stability for workers. At the beginning of the war, the Histadrut reestablished its call for a structured, automatic system that activates during emergencies, ensuring the continuous flow of economic oxygen to the public. Indeed, the Ministry of Finance’s first draft was deemed a “good starting point” by Histadrut Chairman Arnon Bar-David.

The Histadrut’s rapid negotiations and steadfast commitment demonstrate how strong worker representation can secure mechanisms that ensure income continuity and maintain essential public services during national crises. As long as the current war continues, the Histadrut will remain engaged in ongoing negotiations to secure fair and comprehensive compensation for all workers affected by the unfolding situation.