Kontakt
Klaus Kessler

Rechtsanwalt (Deutschland)
Partner
Niederlassungsleiter
Phone: +49 89 928 780 702
E-Mail

Contact
Yuri Nikolaychuk

Rechtsanwalt (Ukraine), Dipl.-Jur., LL. M., Steuerberater
Associate Partner
Phone: +380 (44) 586 23 03
E-Mail

2. Labor relationships during the period of martial law

  1. The military aggression of the Russian Federation against Ukraine and the imposed martial law do not affect the status of employees and their labor rights in relationship with an employer, which are established by the legislation in force.
  2. Ukrainian legislation does not provide for special or additional grounds for dismissal of employees during wartime. Hence, during the military aggression, employees may be dismissed only on the grounds, in the manner and subject to the restrictions stipulated by labor legislation as for ordinary circumstances.
  3. One of the legal grounds for dismissal of employees upon the employer's initiative is reduction of personnel. In this case, the employer shall notify the employees concerned of the reduction at least two months in advance, and additionally notify the relevant employment center within the same period, if the reduction is largescale. The employer shall make a lump sum severance payment to the downsized employees in the amount of at least their average monthly earnings.
  4. Dismissal of the employee, who has become a refugee and has left Ukraine from the territory affected by war actions, is possible (i) upon the initiative of the employee based on his/her application or (ii) by consent of the parties, which may be expressed in the employee's application for dismissal by consent of the parties and agreed to by the employer or in a separate written agreement on employment termination.
  5. The procedure for, and conditions of, obtaining a refugee status and employment in foreign states are governed by the local laws of such states.
  6. Working place and payable remuneration of the mobilized employees and employees who have joined volunteer defense formations of territorial communities (territorial defense) shall be preserved.
  7. The imposition of martial law may not serve as a ground and does not entitle the employer to suspend the accrual and payment of wages or to reduce wages unilaterally. With this being said, if due to military activities an accountant or other responsible person is objectively unable (lack of electricity, access to the Internet, threat to life and health etc.) to accrue and pay wages within the time limits stipulated by law, liability for late accrual and payment of wages should not apply to the employer and the person responsible for the payroll in view that they are not guilty of such a delay.
  8. In the event of a suspension of business operations due to military activities, a company may declare downtime. In this case, the remuneration of employees pay may be reduced to 2/3 of their tariff rate (base salary).
  9. In those cases where the nature of the work allows to be performed remotely, remote work may be introduced for employees who remain at home or who have moved to another locaton or even another country. Under Article 602(1) of the Labour Code, remote work is a form of work organisation where the work is performed by an employee outside the working premises or premises of the owner or its authorised body, in any location at the choice of the employee and using information and communication technologies. Under a general rule, a written employment agreement shall be concluded with an employee for the performance of remote work. However, in cases where there is a threat of military aggression, remote work may be introduced by an order of the director of the employer. The employee shall become familiar with such an order within two days from its adoption, but in any case before the introduction of remote work.
  10. If, due to war actions, the employee is completely unable to perform work neither at the workplace or remotely, then, if circumstances permit, the employee may be granted vacation (with or without pay) upon his or her consent. If, however, it is not possible to receive an application from the employee for vacation, the days during which the employee was unable to perform his or her job functions may be marked in the timesheet as 'I' (other reasons for absences) and will not be paid.
  11. In those cases where an employee does not to show up at work and there is no contact with him or her, it is not recommended to dismiss the employee for unjustified absence. Instead, it would be rather expedient to mark the working hours during which the employee could not perform job duties with the code "I" (other reasons for absence) or the code "NZ" (absence for unknown reasons) in the timesheet. Once the reasons for the employee's absence have been clarified and such reasons are justified, the timesheet can be adjusted correspondingly.
  12. The Cabinet of Ministers of Ukraine has introduced, by its Resolution No. 199 of 04.03.2022, a program of one-time financial assistance in the amount of UAH 6,500 to be provided to socially secured persons for the partial loss of their salaries (income), whose work (economic activity) is temporarily suspended as a result of military activities during the martial law in Ukraine.

This mentioned assistance is provided to socially secured persons who work under an employment agreement (contract), gig-contract, other civil law agreement, on other grounds provided by law, and to private entrepreneurs, and whose social insurers meet all of the following criteria:

  • are registered as payers of the unified mandatory social security contribution in the administrative-territorial units, which are included in the list approved by the Cabinet of Ministers of Ukraine based on the proposal of the Emergency Service of Ukraine;
  • have filed the tax report for the fourth quarter of 2021 or the annual report for 2021 in accordance with the procedure stipulated by the law;
  • are not institutions financed from the state or municipal budget, or social security funds.

At the moment, the list of administrative-territorial units which are covered by assistance program includes Volyn region, Donetsk region, Zhytomyr region, Kyiv region, Kyiv city, Luhansk region, Mykolaiv region, Odessa region, Sumy region, Kharkiv region, Kherson region, Chernihiv region and Zaporizhzhya region.

The request for the disbursement of the assistance can be made by socially secured persons through the mobile application Diia Portal in the category - "eSupport" service.

Rödl & Partner
Kyiv

Mykoly Pymonenka Street 13
Building 1B, office 31
04050 Kyiv

Phone: +380 (44) 586 23 03
Fax: +380 (44) 586 23 04
E-Mail: kiew‎@‎roedl.com
Website: www.roedl.net/ua