Government Approves Compensation Plan for Businesses Harmed by Iran Conflict

Jerusalem, 2 July, 2025 (TPS-IL) — The government of Israel today (Monday) approved the implementation of what it called a broad compensation plan for businesses that were economically damaged due to Operation “Rising Lion” against Iran. The plan includes a spending track for businesses throughout the country, along with unique adjustments to the “temporary unpaid vacation” model (temporary layoffs) in order to ensure a broad safety net for businesses and employees that were damaged due to the war and the Home Front Command’s guidelines.

The compensation will be provided to businesses with an annual turnover ranging from 12,000 Shekels ($3,557) to 400 million Shekels ($118 million), and will be based on the rate of damage to the revenue cycle during the months of June or May-June 2025. Small businesses will receive a fixed grant according to the level of damage, and medium-sized and large businesses will receive partial reimbursement of expenses and salary payments.