The purpose of the unit is to allow Haredi Jewish men to serve as combat soldiers in the Israeli military by creating an atmosphere conducive to their religious convictions in the strict observance of Halakha.

[3][4][5] Despite the original purpose of the battalion being to accommodate Haredim who wish to serve in the military, the majority of the unit (60%) is drawn from Dati Leumi (Religious Zionist) community, specifically those as part of the Hardal sub-group.

[8] Since the unit's creation, it has attracted many members of an extreme Hardal settler group called the Hilltop Youth who are infamous for establishing illegal outposts on Palestinian land that have no legal basis in Israeli law.

[9] In recent years, the Netzah Yehuda battalion has experienced at least a half-dozen controversial cases involving its soldiers, resulting in jail time, discharge, or harsh criticism for assaulting or killing innocent Palestinians.

This, and the Netzah Yehuda Battalion, are seen as models for the possible future incorporation of Haredi conscripts into the IDF, should the present draft exemption for the ultra-Orthodox community be lifted.

[citation needed] As the battalion runs on a voluntary basis and does not draft soldiers, it is one of the few units in the IDF which depends on community recruitment mechanisms for new intakes.

[17] Founded in 1999, the battalion started off as a result of 18 months of discussions between a group of Haredi educators, led by Rabbi Yitzhak Bar-Chaim from Netzah Yehuda organization and the IDF, with just 30 soldiers in total.

[13] The battalion had its first casualty on August 19, 2006, when a member of the Al-Aqsa Martyrs' Brigades shot and killed Staff Sergeant Roi Farjoun of Yehud at the Beka'ot Checkpoint east of Nablus.

The Palestinian detainee was held by troops in the back of a military vehicle after his arrest in the West Bank, and was allegedly beaten en-route to an army base.

[30] An investigation by CNN in July 2024 found members of Netzah Yehuda were training Israeli ground troops and running Gaza operations.