How to Properly Dismiss a Nanny: Legal Grounds in Israel

Dismissing a nanny in Israel requires strict adherence to labor laws, including conducting a mandatory hearing (shimua), paying severance (pitzuim), and observing statutory notice periods. As of April 15, 2026, ignoring these regulations can cost an employer up to 15,000–20,000 NIS in penalties as ruled by the labor courts.

What is important for an employer to know before starting the process?

Israeli law treats a nanny the same as any other employee; therefore, all Labor Code requirements apply. Regardless of whether your assistant has worked for you for a month or five years, you must act within the legal framework to protect yourself against wrongful termination lawsuits. EzraHome helps families not only with staff recruitment but also with drafting employment contracts that clearly define the termination process in advance, minimizing stress for both parties.

How to properly conduct the shimua (hearing) procedure?

The shimua procedure (hearing) is a mandatory step; without it, any dismissal can be deemed illegal in an Israeli court. This process gives the employee the right to be heard before you make a final decision.

• Provide written notice of the upcoming hearing at least 48 hours in advance.
• Clearly state the reasons why you are considering terminating the contract.
• Give the employee the opportunity to attend the meeting (potentially with a lawyer or representative).
• Listen carefully to the nanny’s arguments and keep minutes of the meeting.

Practical Example: A family from Tel Aviv decided to fire their nanny due to a schedule change. They did not hold a shimua, and the employee filed a lawsuit. The court ordered the family to pay a fine of 12,000 NIS for procedural violations, even though the reason for dismissal itself was valid.

What is the notice period for dismissal?

The notice period for dismissal depends on the nanny's length of service with a particular employer. This time is given to the employee to find new employment, and the employer is required to pay for this period, even if the nanny does not work during this time by your decision.

Table of notice periods according to law

How are pitzuim and the final settlement calculated?

Severance pay (pitzuim) is mandatory if the nanny has worked for you for more than a year (12 full months). The amount is calculated based on the last salary multiplied by the number of years worked.

In addition to pitzuim, the final settlement must include:

• Payment for unused vacation days (heshbon hofsha).
• Payment for recuperation pay (dmei avra'a) for the last year, if not paid previously.
• Remaining salary for the worked period.
• Pension fund contributions and Bituach Leumi, which must be fully settled by the time of dismissal.

Common employer mistakes

Many families in Jerusalem or Haifa make the mistake of announcing a dismissal verbally at the end of the day. By law, the notice must be delivered in writing, stating the date the notice period begins. Furthermore, it is important to avoid "immediate termination" without compensation for the notice period, as this is interpreted as a gross violation of employee rights.

If you feel that bureaucratic details (Bituach Leumi, pension contributions, pay slips) take up too much energy, EzraHome specialists are ready to handle the legal side of the employment relationship so you can focus on your family.

Frequently Asked Questions (FAQ)

1. Can I fire a nanny without notice if she made a mistake? No, with rare exceptions (severe misconduct), you must comply with the notice period or pay the salary for that period.
2. Do I need to pay pitzuim if the nanny worked for 10 months? No, by law, the right to full severance compensation arises after 12 months of continuous employment.
3. Can a nanny be fired while on sick leave? No, dismissal during paid sick leave is prohibited by law, except in cases where special authorization is obtained.
4. Is it mandatory to draw up a dismissal letter? Yes, written notice is mandatory evidence in case of labor disputes in court.
5. Who pays Bituach Leumi after dismissal? The employer is required to make the final contributions for the last month of work and notify the agency of the termination of the employment relationship.

Conclusion

Dismissing a nanny in Israel is not just a personal decision; it is a legal process. Compliance with employee rights and correct documentation (written notice, shimua, pitzuim calculation) protects you from serious financial losses. If you need help with legal hiring or finalizing the employment of staff, the EzraHome team is always ready to provide expert support so that your home remains a place of peace and order.