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YnetEconomy

Salesman Awarded $75,000 for Overtime After Working Evenings from Home

Translated & summarized from Ynet by baba

CenterNeutral tone

Hebrew · Sole source

An Israeli labor court ordered an optics company to pay a former salesman $75,000 in back pay, mostly for overtime worked from home. The court ruled that his evening work, particularly for clients in Latin America due to time differences, was not adequately recorded by the company. While acknowledging his autonomy, the judge found he was not in a management role exempt from overtime laws. The company failed to prove the employee did not work the claimed overtime hours.

The story in 5 lines · by baba

  • An Israeli labor court awarded a former salesman $75,000 for overtime worked from home.
  • The ruling stated the optics company failed to properly record the employee's evening work.
  • The salesman focused on sales to Latin America, requiring work outside standard office hours.
  • The court determined the employee's role did not exempt him from overtime pay protections.
  • The company was ordered to pay the sum plus interest, covering overtime, vacation, and pension differences.

An Israeli labor court has ordered an optics company to pay a former salesman approximately $75,000 (280,000 shekels) in back pay, primarily for overtime hours worked from home. The ruling by Judge Kamal Abu Qaaoud, based on the Hours of Work and Rest Law, found that the employee's evening work from home was not fully reflected in the company's attendance records.

The salesman worked for an optics import, export, and marketing company from January 2014 to June 2020, focusing on sales to Latin America. He utilized his Spanish skills, held meetings, attended international trade shows, and initiated business ventures. The company argued that his level of autonomy and trust excluded him from the Hours of Work and Rest Law.

A point of contention was a fixed monthly payment of $135 (500 shekels), initially termed "work from home" and later "compensation for hours." The employee considered it part of his regular salary, while the company claimed it was for additional work and should be deducted from any awarded compensation. The company also asserted the employee did not work the claimed hours, lacked approval for overtime, and that occasional responses to emails or calls outside the office did not constitute compensable work.

Judge Abu Qaaoud acknowledged the employee's significant professional independence but determined he did not qualify as a management employee or someone in a special trust position, thus remaining under the Hours of Work and Rest Law. The court noted that while the employee had considerable responsibility and operational freedom, he was not part of the company's senior management.

The ruling emphasized that attendance records did not capture the full scope of his work, especially given the time difference with South America, which necessitated evening work from home. Evidence of professional activity, including communications after 10 PM Israel time, indicated actual work beyond standard office hours, not mere availability. Although the exact duration of evening work couldn't be precisely calculated, the court found that overtime was proven and the company failed to maintain complete records for work performed at home. Consequently, the burden shifted to the company, which could not prove the employee did not perform the disputed hours.

The judge calculated the overtime based on 41 hours per month as claimed by the employee. Including vacation pay and pension/severance contribution differences, the total awarded amount reached $77,000 (280,634 shekels) plus interest, with $74,000 (273,381 shekels) specifically for overtime. The $135 monthly payment was recognized as part of his regular salary. Given that most of the employee's original claim of $245,000 (874,000 shekels) was dismissed, each party was ordered to bear its own legal costs.

YnetCentre · Rishon LeZion

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