Minimum Wage Bill (Amendment - Tortious Act and Private Prosecution), 5783-2023

The bill seeks to assist employees whose wages are lower than the statutory minimum. Henceforth, if an employer fails to pay an employee the minimum wage, or terminates their employment under certain circumstances related to working conditions or promotion, the employee will be able to sue the employer in the Labor Court. The claim will be defined as a tortious act, meaning an injury that caused damage. Within the framework of such a claim, the court may order the employer to pay the employee compensation of up to 100,000 NIS. This amount will not require proof of actual damage, meaning the employee will not need to prove how much money was lost as a result of the violation. The compensation amount will be updated periodically in accordance with the Consumer Price Index. Additionally, if an employer is convicted of an offense under the Minimum Wage Law, the court may order them to pay the employee compensation in a similar amount, up to 100,000 NIS, also without proof of damage. The bill also allows labor organizations to file claims on behalf of employees, as well as to file a private criminal complaint against employers who violate the law. In the event of a criminal conviction, the court may order the employer to pay compensation to the employee without the need to prove damage. The purpose of the proposed amendments is to increase the enforcement of the Minimum Wage Law, deter employers from violating its provisions, and make it easier for employees to exercise their rights.

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