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Fired from Your Job? Don't Expect Immediate Unemployment Benefits

Adv. Sasha Bogatirov·September 6, 2026·8 min read
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Is this relevant to you? If you've received a termination notice and expect to start receiving unemployment benefits immediately — this article will reveal the surprising reality that may await you.

Key takeaway

The most important point is that substitute notice is considered a month of work, so unemployment benefits will only start after it ends.

What Happens When You're Fired

You arrive at the office on a regular day and receive a notice from your employer that today is your last working day. You're confused and worried, but at least you have the understanding that you will receive unemployment benefits to get through this period. In reality, the situation is not as simple as it seems.

In this case, the employer offers to pay you a substitute notice instead of you continuing to work. You think this means you can start receiving unemployment benefits immediately. But when you submit the claim to Bituach Leumi, you find out that the eligibility for unemployment benefits is postponed until the end of the month in which you received the substitute notice.

The most important point is that substitute notice is considered a month of work, so unemployment benefits will only start after it ends.

What the Courts Actually Look At

When employees are fired, the central question is how the month of advance notice is treated. The National Insurance Law states that the period of substitute notice is considered a month of work for all intents and purposes. This means that the eligibility for unemployment benefits will only start after the end of this month.

The law treats substitute notice as a period in which the employee is still receiving a salary from the employer. Therefore, Bituach Leumi sees this as a month of work, leading to a delay in the start of unemployment benefits. This is an issue that many employees are not aware of, and it's important to understand its legal significance.

To avoid unpleasant surprises, it's advisable to be aware of this in advance and plan your budget accordingly. Knowing your rights is key to maximizing the rights that belong to you.

When It's Relevant — Checklist

  • Did you receive a termination notice from the employer?
  • Did you receive payment instead of advance notice?
  • Were you planning to start receiving unemployment benefits immediately after termination?
  • Did you know that substitute notice is considered a month of work?
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The Specific Law That Applies

חוק רלוונטי
National Insurance Law
Defines eligibility for unemployment benefits and periods considered as work
Violation may result in the postponement of unemployment benefits

The National Insurance Law (National Insurance Law [Consolidated Version], 1995) sets out the rights and obligations of fired employees. One of the key points is that the period of substitute notice is considered a month of work. This means that unemployment benefits will not start immediately after termination but only after the end of this month.

To avoid unpleasant situations, it is recommended to check all the details with the employer and ensure that you understand your rights. Remember, planning ahead can save you a lot of headaches and unpleasant surprises.

Questions Everyone Asks — But No One Asks the Lawyer

Can I argue with Bituach Leumi about the delay?
It's generally difficult to argue with Bituach Leumi regarding the law. If you have documents supporting your claim, you can always try.
What counts as a month of work for unemployment benefits?
Any period in which you receive payment from the employer is considered a month of work, including substitute notice.
What should I do if I've already received advance notice?
Make sure you understand all the terms and seek legal advice if necessary.
Will unemployment benefits start immediately after the month of advance notice?
Yes, after the end of the month in which you received the substitute notice.
How can I avoid this situation in the future?
Be aware of your rights and discuss all the details with the employer before signing documents.

Real Situations — Which Side of the Line Are You On?

  • A senior manager who is fired and receives substitute notice. Eligibility for unemployment benefits starts a month later.
  • An employee at an advertising agency who is fired without advance notice. Unemployment benefits start after five waiting days.
  • A school teacher who receives two months' advance notice and stops working on the same day. Unemployment benefits start after the two months end.

What to Do Right Now

First, check your contract and understand all the terms related to termination and substitute notice. Do not sign any document without understanding all the implications. If in doubt, seek legal advice.

If you do nothing, you may find yourself in a situation where you have no income for the immediate future, which could worsen your financial situation. Don't stay alone with your concerns — seek legal advice to ensure you understand all your rights and obligations.

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