13 March 2025
Amended rules for booking of employees in Ukraine
Recently, during the last months, changes to the rules for booking of employees.
As previously, in order to book their employees the companies must be recognised as critical for the economy and the population (the “Critical Companies“). However, these criteria have been slightly changed.
According to the latest changes, Critical Companies must update their status until 31 March 2025 in order to be able to continue booking its employees. After this date the booking of all the employees booked previously under the previous rules becomes invalid.
Currently, the Government introduced two new mandatory criteria which must be complied with in order to be recognised as a Critical Company:
- the average monthly salary of employees of a company must be not less than minimum salary in Ukraine multiplied by 2.5 (which is UAH 20 000 (appr. EUR 460) as of 1 March 2025); and
- the company must have no debts on payment of taxes and single social contribution.
Additionally, the Critical Company must meet at least ONE of the following criteria:
- the total amount of taxes and/or single social contribution, except for customs duties, paid during a preceding tax year must exceed the equivalent of EUR 1.5 million;
- the amount of foreign currency revenues (except for loans) received during a preceding tax year must exceed the equivalent of EUR 32 million;
- the employer must be important for the national economy sector or for the meeting the needs of a local community (a company can be recognised as such by the relevant ministry or municipal authority);
- the company must be a mobile communication service provider or a fixed-line communication service provider with the average monthly net income, according to the last financial statements, exceeding UAH 200 million (EUR 4.6 million) or UAH 20 million (EUR 460 thousand), accordingly; or
- the company must be a Diia City resident (relevant mostly for IT-companies).
Special rules apply to diplomatic missions, representation offices of international organisations, UN specialised agencies, religious organisations, donor institutions etc.
Other key changes include:
- extension of the booking period up to 12 months (instead of 6 months);
- possibility for representation offices of non-residents to book its employees;
- booking must be conducted via Diia online portal etc.
For more information, please contact Natalia Gerus, Counsel, or Zakhar Kymberskyi, Associate.
