Making it work

Should employers be lax in following the stipulations of the pension agreement, they will be subject to prosecution in a court of law.

In order to ensure that the country's employers follow the mandate issued by Industry, Trade and Labor Minister Eli Yishai expanding the collective pension agreement signed with the Histadrut and the Manufacturers Association in July, the ministry said on Monday it has appointed an oversight commission to enforce the agreement. Should employers be lax in following the stipulations of the agreement, they will be subject to prosecution in a court of law. The pension agreement extends to all professions, including those employees who work in small businesses, such as those who work as staff in accounting, law and medical offices. While security and cleaning employees will not be included in the current agreement, the ministry said it hopes those employees will be included in future agreements. Companies are being encouraged to have their pension plans in place by the beginning of February and have until March to begin the payments, which then will be paid retroactively to include their employees' January salaries. Over the next few weeks, pension companies are expected to heavily promote their products in an attempt to gain market share. In an effort to help employers understand the implications of establishing pension plans for all of their employees, the FICC will conduct a conference at the end of January for the country's goods and services companies to explain to them the rules and regulations of the new pension plan. For additional information regarding the new pension plan, employees can call (02) 666-2794, (03) 512-5357 or (04) 861-9322.