Starting April 1, 2026, the minimum wage in Israel will increase by 3.3%, from ₪6,247 to ₪6,443.85 gross per month. The hourly wage will rise to ₪35.40. Employers who fail to update payroll slips may face lawsuits and fines.
Full Wage Table
- Adult employee (18+): ₪6,443.85/month, ₪35.40/hour
- Youth age 16–17: ₪5,062/month, ₪27.94/hour
- Youth under 16: ₪4,673/month, ₪25.78/hour
- Apprentice: ₪3,221/month, ₪17.70/hour
- Cleaning worker (from 1.1.2026): ₪6,810/month, ₪37.40/hour
- Restaurant worker: ₪6,705/month, ₪36.80/hour
Three Mistakes Employers Make
- Failing to update payroll on time
- The change takes effect on April 1, 2026. April pay slips must reflect the new wage.
- Claiming “total pay plus bonuses stays the same”
- Minimum wage law applies to base salary only. Bonuses and additions do not count.
- Failing to update hourly workers
- Even a ₪0.40 gap is considered a violation of the law.
Retroactive Correction
If you discover in May that April payroll was not updated, don’t panic.
Correct the payslip, pay the difference in the May payslip, and attach a notice to the employee.
It is recommended to add 4% interest to the difference.
What This Means in Real Employer Costs
A 3.3% minimum wage increase translates into an overall employer cost increase of about 5% (because social contributions also increase).
For an employee who earned ₪6,247 and now earns ₪6,443.85:
the additional cost to the business is about ₪260 per month.
How Fullness Handles Wage Updates
The Fullness payroll and attendance module includes:
- Automatic minimum wage updates by age and industry
- Alerts when an employee is “at risk” of falling below the legal threshold
- Monthly wage cost comparison reports before and after the change