Protection from Layoffs and Remote Work: Details of the New Histadrut Agreement

SAP's Israeli subsidiary signed a three-year collective agreement with the Histadrut, guaranteeing protection from layoffs, compensation of up to 33 salaries, and a hybrid schedule for 800 employees. The agreement was preceded by a labor dispute resolved with the intervention of the Ministry of Labor.

SAP's Israeli subsidiary signed a new three-year collective agreement with the Histadrut covering about 800 employees in sales and research laboratories. The document establishes strict reduction rules: any downsizing program must begin with a voluntary departure phase with quotas. Those laid off or voluntarily leaving will receive compensation of up to 33 monthly salaries based on age and family status, along with a three-month notice period with salary and benefits preserved. The agreement also enshrines the right to a hybrid schedule (two remote work days per week) and increases the social programs budget by 4.5%. The agreement was preceded by a labor dispute: in February, SAP management unilaterally canceled previous arrangements, but the Ministry of Labor's Labor Relations Division deemed these actions illegal, forcing the company back to negotiations.