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The Labor Code is the main law that governs employment relationships of all workers and the labour law in Ukraine. Its main purpose is to ensure a good work productivity, improvement of work quality, increase efficiency and ensure a good relationship between employees and their employers.
According to the current legislation of Ukraine, there are four ways to exercise the right to work and provide services as an individual:
Residents do not need to obtain a work permit, but they must be of legal age. Minors are allowed to work with parental permission only if they are over 14 years old and the work does not interfere with their studies.
Non-residents have the same labour rights as Ukrainian nationals. However, to be employed, a non-resident needs to obtain a work permit from the State Employment Service, issued for a specific position and a specific period, depending on the foreigner’s category and the duration of work. After obtaining a work permit, a non-resident can obtain a residence permit. The permit may be extended an unlimited number of times, provided there are valid grounds for its renewal.
When signing an employment contract, a person must provide a passport or another form of ID, as well as their employment record book (if they have one) or employment history from the State Register of Compulsory State Social Insurance. Depending on the job, additional documents may be required by law, such as proof of education, health certificates, military registration papers, or others.
For Ukrainian citizens, the employer is required to check their military registration documents during hiring or training. People who are conscripts, liable for military service, or reservists can only be officially employed or trained after being registered with the local recruitment and social support centre, the Security Service of Ukraine, or the relevant intelligence agency unit.
According to the labour law of Ukraine, we can identify the following types of employment contracts:
This is a contract between an employee and an employer. The employee agrees to do the work outlined in the contract, while the employer agrees to pay for the work and ensure proper working conditions, following labour laws, any collective agreements, and the company’s internal rules.
A fixed-term employment contract is used when a long-term employment relationship isn’t possible—either because of the nature of the work or due to personal reasons of the employee (such as family circumstances). The length of employment is clearly stated in the contract.
Starting from July 19, 2022*, employers are required to inform employees working under fixed-term contracts about any job openings that match their qualifications and offer the possibility of a permanent (indefinite) contract. Employers must also ensure that these employees have equal opportunities to apply for and sign such contracts.
*According to Law No. 2352 of 01.07.2022, which applies during martial law in accordance with the Law of Ukraine ‘On the Legal Regime of Martial Law’. Most provisions of this law will stop being in effect once martial law ends, except for part three of Article 13 and Article 15 of this Law, the articles relating to payments by the state that carries out military aggression against Ukraine of monetary amounts lost as a result of armed aggression related to labour relations.
Seasonal work is a type of fixed-term employment established for a specific period, which, due to natural or climatic factors, cannot be carried out throughout the year but only during a particular season or period not exceeding six months. The industries and types of work considered seasonal are determined by the List of Seasonal Work.
Temporary work is another form of fixed-term employment contract, which can be concluded for up to two months. If the purpose is to replace an employee who is temporarily absent but retains the right to their position, the contract may last up to four months. The grounds and duration for entering into such contracts are clearly defined.
This contract establishes employment for an indefinite number of hours, without guaranteeing continuous work. The employee is only required to perform tasks specified in the contract if and when the employer provides such work. While the employer does not guarantee ongoing assignments, all terms regarding remuneration must still be observed.
Remote work allows the employee to carry out their duties outside the employer’s premises, at any location of their choosing, while using information and communication technologies. In this arrangement, the employee is responsible for managing their own working hours and is not bound by the employer’s internal labour regulations, unless otherwise specified in the employment agreement.
When working under a home-based employment contract, the employee performs their duties from their place of residence or another location of their choosing. This location must have a designated workspace and the necessary technical equipment, including tools, devices, inventory, or a suitable combination, required for producing goods, providing services, or performing tasks. Unless the employment contract states otherwise, home-based employees follow the standard working hours set by the enterprise, institution, or organisation.
An employment contract must contain the following information:
identification details of the employer and employee
type of work
job duties
term of the agreement/contract
place of work
remuneration corresponding to the type of work (salary*)
working hours, days off, and entitlements to additional leave
probationary period
benefits, compensation, additional guarantees, etc.
notice period for termination of employment
* The minimum wage in Ukraine from 01.01.2025 is 8000 UAH (approx. 165 EUR)
Prior to starting employment, the employer must clearly inform the employee – using any mutually agreed method in accordance with Law No. 2352 of 01.07.2022 – about the following matters:
The employer must notify the employee of changes to the essential terms and conditions of employment no later than two months in advance (part 3 of Article 32 of the Labour Code). The law establishes a minimum two-month notice period so that an employee who does not agree to work under the new conditions can find another job.
If martial law is in effect, the two-month advance notice period for changes to essential working conditions – required under normal circumstances – does not apply when such changes result from adjustments in production or labour organisation. Instead, according to part 2 of Article 3 of the Law of Ukraine No. 2136-IX “On the Organisation of Labour Relations under Martial Law” of 15.03.2022, it is sufficient for the employer to notify employees of these changes simply prior to their implementation.
A probationary period may be included in an employment contract by mutual agreement between the employer and the employee. This period allows the employer to assess whether the employee is suitable for the position, in accordance with Article 26 of the Labour Code.
Under Ukrainian law, the probationary period must not exceed 3 months, unless otherwise specified. In certain circumstances, and with the consent of the primary trade union organisation, this period can be extended up to 6 months (Article 27 of the Labour Code). For certain categories of employees, such as technical or production staff, the probation period cannot be longer than 1 month.
During martial law, employers have the right to establish a probationary period for any category of employee, as provided by part 2 of Article 2 of the Law of Ukraine No. 2136-IX “On the Organisation of Labour Relations under Martial Law” of 15.03.2022.
According to the current labour law of Ukraine, employment may be terminated on the following grounds:
The employee’s reasons may be different (their own desire, as well as valid reasons, e.g. moving, starting studies at an educational institution, retirement, pregnancy, caring for a child under 14 years of age or a child with a disability, and other reasons).
Effective from 19.07.2022, several new grounds for dismissal have been introduced:
In addition, starting from 19.07.2022, the following nuances regarding dismissals apply:
Effective from 19.07.2022, several specific provisions regarding dismissal are in effect:
These provisions are enforced in accordance with Law No. 2136 of 15.03.2022.
On the day of termination of the employment contract, the employer is obliged to fulfil all their obligations and make all payments to the employee, including compensation for the unused vacation days.
Together with a copy of the dismissal decree, the employer shall provide the employee with a written notice of the amounts accrued and paid to them upon dismissal and make an entry in the employment record book.
An employee may initiate a labour dispute by submitting an application directly to the court within three months from the date when they became aware, or should have become aware, of a violation of their rights. In cases of dismissal, the employee has the right to file a claim with the court within one month after receiving a copy of the dismissal decree. If the dispute concerns payments due upon dismissal, this period is extended to three months from the date the employee receives written notification of the amounts accrued and paid upon termination.
If an employee wishes to resign, they must provide their employer with 14 calendar days’ notice before their intended resignation date. However, under martial law, if the company is located in an area affected by hostilities and the employee’s life and health are at risk, the employer is required to process the resignation within the timeframe stated in the resignation letter. Alternatively, if both the employer and employee agree, the resignation may occur on a mutually decided date.
In the case of dismissal for valid reasons (according to the Labour Code of Ukraine), the employer must terminate the employment contract within the period requested by the employee.
In the event of mass dismissal (reduction in the number of staff), employees are personally notified of the forthcoming dismissal at least two months in advance, or three months in advance if the Trade Union is present.
The suspension of an employment contract occurs when the employer temporarily halts the provision of work and the employee stops fulfilling their work duties, due to military aggression against Ukraine which makes it impossible for both parties to meet their obligations under the employment contract.
Suspension of the contract can be initiated by either the employer or the employee, but it may only last for as long as martial law is in effect. If the employer decides to end the suspension before martial law is officially lifted or cancelled, they are required to notify the employee at least 10 calendar days before the employee is expected to return to work.
This is a special form of cooperation with experts that combines the features of an employment contract (due to social guarantees) and a civil law contract. Under a gig contract, a specialist is not hired, but invited to a specific project, where he or she completes the tasks assigned within the set timeframe.
A gig contract is a type of civil law agreement in which a gig specialist agrees to carry out work or provide services based on the assignments given by a Diia City resident as the customer. The Diia City resident company is responsible for paying for the completed work or services and for providing the gig specialist with suitable conditions and the social guarantees outlined in Section V of the Law “On Stimulating the Development of the Digital Economy in Ukraine”.
A civil law contract is a special form of service provision where the terms of cooperation are governed by the Civil Code of Ukraine and not the Labour Code.
In a civil law contract, a contractor agrees to perform specific work or provide a service, while the client accepts the completed work and pays for it. The contract focuses on the final result rather than the process. Both parties act independently and equally. The client is not responsible for providing working conditions, a workplace, equipment, or sick leave. The contractor organises their own work and is accountable for finishing it on time.
22% of the accrued salary is the Unified Social Contribution.
This percentage applies to wages that are less than 25 subsistence minimums. If the wage is more, the amount left is not taxed.
The subsistence minimum for an able-bodied person is set at 6,700 UAH (approx. 135 EUR) starting from January 1, 2022.
On November 28, 2024, the President signed the Law of Ukraine ‘On Amendments to the Tax Code of Ukraine on Peculiarities of Taxation during the Period of Martial Law’ No. 4015-IX of 10.10.2024, which increased the military tax rate from 1.5% to 5%. The rate for military personnel remained at 1.5%.
18% of the accrued salary is the income tax rate.
The standard workweek consists of 40 hours, evenly distributed over five days. However, employers may establish a six-day workweek, in which case employees must not exceed seven working hours per day.
Additionally, on the day preceding a national holiday, the duration of the working day is reduced by one hour.
*The changes from 19.07.2022. provide that:
Normal working hours during martial law may be increased to 60 hours per week for employees of critical infrastructure facilities (defence, public utilities, etc.).
During the period of martial law, the provisions on holidays and non-working days (Article 73 of the Labour Code) do not apply.
Effective from July 30, 2023, the Law of Ukraine ‘On Amendments to Article 73 of the Labour Code of Ukraine’ removed Christmas Day celebrated on January 7 as a public holiday and introduced new dates for some of the holidays:
Some categories of employees are entitled to work fewer hours per week. For employees working in hazardous conditions, the working week is limited to 36 hours.
At the request of an employee due to their valid personal circumstances and at the initiative of the employer, part-time work may be established. Pregnant women, women with a child under 14 or a disabled child, and those caring for a sick family member based on a doctor’s recommendation are guaranteed to the ability to work a short day or week with a proportional change in salary.
Flexible working hours are a type of labour arrangement that permits a work schedule different from the standard internal regulations. In this case, employees must still comply with established working time limits – whether daily, weekly, or over another accounting period such as a month, quarter, or year. Flexible working hours allow employees to perform their duties in the office, remotely, or from home.
Unfixed working hours are a form of labour organisation that does not set a specific time for work. An employee is obliged to perform work only when the employer provides such work, as stipulated in the employment contract. The relevant conditions are fixed and agreed upon in the employment contract.
For employees called up for military service, the law obligates employers to retain their position and job during their period of service.
In accordance with the current legislation of Ukraine, there are several types of vacation:
basic annual leave
additional annual leave (for those who work in harmful and difficult working conditions, for a specific nature of work or in other cases provided for by law)
additional study leave
creative leave
social leave:
Unpaid leave:
The frequency of annual leave is determined in accordance with schedules prepared at the beginning of the year, which consider the interests of both the employer and the employee.
Employees are entitled to at least 24 calendar days of annual leave for each year of work.
In their first year of employment, full annual leave – both basic and additional – may be granted after completing six months of continuous service with the company. However, employees requiring additional social protection can receive their full annual leave entitlement before completing this six-month period.
If an employee who does not need additional social protection has worked for less than a year, their annual leave is calculated in proportion to the actual time worked. For instance, an employee earns two days of leave for each month worked, resulting in 24 days of leave over a full calendar year.
Employers also have the right to grant their employees longer annual leave.
Certain categories of employees are entitled by law to longer leave and the employer is obliged to provide it:
Employees who work irregular hours are entitled to an annual additional leave of 1 to 7 calendar days per year.
An employee may take a full or partial leave of absence, provided that the main continuous part of it is at least 14 working days.
Employees must receive their salary for the entire duration of their leave before the leave begins, unless a different arrangement is specified by law, employment contract, or collective agreement.
*The changes effective from 19.07.2022. provide that:
Starting from July 29, 2023, the Law of Ukraine ‘On Amendments to Certain Legislative Acts of Ukraine on Peculiarities of Using Maternity Leave’ provides that, in the absence of medical contraindications, a pregnant woman has the right to transfer the prenatal part of the leave to the postnatal period (starting from the day of delivery) in part or in full. The total duration of pregnancy and childbirth leave does not change.
On December 23, 2023, the following amendments were made in accordance with the Law of Ukraine ‘On Amendments to Certain Legislative Acts of Ukraine on the Regulation of the Granting and Use of Leave, as well as Other Matters’ No. 3494-IX:
The following categories of employees are entitled to leave that employers are required to provide:
Under certain circumstances, the employer is obliged to grant leave to:
Starting from April 3, 2024, the Cabinet of Ministers of Ukraine issued Resolution No. 356 of 29.03.2024, which amended the Procedure for Granting Parental Leave.
The document states that the right to such leave is confirmed by:
For family reasons and certain other reasons, an employee may be granted unpaid leave for a period agreed upon between the employee and the owner or their authorised representative:
The changes effective from July 19, 2022 include new provisions for employees during the period of martial law. If an employee leaves the territory of Ukraine or acquires a status of an internally displaced person, they can request an unpaid leave of absence. The employer is required to grant this leave for the period specified in the employee’s request, but it cannot exceed 90 calendar days. Importantly, the time spent on this unpaid leave will not be included in the employment record that counts towards the entitlement to annual basic leave, as outlined in paragraph 4 of part one of Article 9 of the Law of Ukraine ‘On Leaves’. The law does not provide for the employer’s right to refuse to grant such leave to an employee.
The most common employee benefits include:
Financial bonuses are added to the accrued salary and are taxed according to their type.
Such bonuses as professional trainings, language courses, company cars (used for business purposes) are considered company expenses and reduce the amount of taxes paid by the company.
Any personal (individual) bonuses are taxed in accordance with the accrued salary..
Key legislation regulating labour relations:
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