Women who want to start small businesses will now have an easier time, thanks to the efforts of SHATIL’s Forum to Promote Micro-business Initiatives. The National Insurance Institute (NII) has approved the Forum’s recommendation to continue to provide women with their social security benefits for up to a year following declaration of a new business. Previously, women who declared their businesses immediately lost all supplemental government income.

The change comes on the heels of the Forum’s breakthrough outreach efforts to Minister of Social Welfare Isaac Herzog last summer. Until now, mandatory reporting to the Employment Authority prevented many women from launching small businesses. Women enrolling in business training courses as a means to financial independence (such as those offered by Forum member organizations, Economic Empowerment for Women and MATI Business Development Center) were required to continue to report to the Employment Authority and even forced to take menial and minimum wage jobs -- which effectively cut off all opportunity to develop start-up micro-enterprises.

According to the new policy, organizations providing training and guidance to women in small business development will be asked to report on participants’ progress.  Because it takes time for businesses to become profitable, women participating in these courses will continue to be granted their social security benefits for up to one year.  Their financial independence will be established on a graduated plan over that time.  While the unemployment policy has already undergone this change, its final approval will take place this month.