‘Hi-tech’ program for qualifying companies expected soon

IMPACT – MEDIUM

What is the change? Israel has announced the launch of a program that will allow companies to obtain “hi-tech” status, providing them an expedited process to bring high-skilled foreign workers to the country.

What does the change mean? Once the program takes effect, companies qualifying as hi-tech will likely be waived from the requirements of ensuring adequate housing and providing a written contract at the employer’s work site. Spouses of hi-tech employees will likely be allowed to work in Israel. Hi-tech employees are also expected to be waived from requirements that they undergo medical checks before consular processing.

• Implementation time frame: Ongoing.
• Who is affected: Companies in Israel’s tech industry.
• Impact on processing times: The waiver of requirements for both the employer and employee is expected to expedite processing.
• Business impact: Officials hope that the new program will help Israel attract highly skilled tech workers to the country.
• Next steps: Details of the program still need to be finalized, including the criteria that will be used to determine which companies qualify.

Background: The Israeli government announced its intentions to create the program Jan. 15. While not implemented yet, the program has been taken as a sign that Israel is serious about competing in the global market for highly skilled tech workers. The program is expected to be launched at some point in the second quarter of 2017.

BAL Analysis: Plans for a hi-tech program for qualifying companies in Israel could provide significant benefits to companies that rely on foreign tech workers. BAL will continue to follow developments in Israel and will alert clients as more information becomes available.

This alert has been provided by the BAL Global Practice group and our network provider located in Israel. For additional information, please contact your BAL attorney.

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