A sales agent worked for over a decade at a sports apparel and equipment marketing company. He was dismissed after being recorded taking merchandise from the warehouse without permission, and after it was discovered that while employed by the company, he sold products and cooperated with a competing company.
The Court found that the employee's dismissal was lawful, with a complete revocation of severance pay. Generally, the Israeli Severance Pay Law allows for the revocation of an employee's severance pay and advance notice pay, in whole or in part, when dismissed under circumstances that justify it, such as severe disciplinary offenses, theft or a blatant breach of the fiduciary duty owed to the employer. Here, the employee took products from the company without permission and sold merchandise for a competitor while still employed by the employer. Therefore, his severance pay and advance notice pay were completely revoked.