Category: Uncategorized

Promotion has been providing personnel outstaffing services in Ukraine since 2003, managing over 150 ongoing projects and 4,000+ specialists throughout Ukraine, and is one of the largest companies in the outstaffing segment in Ukraine.

UAH 100,000,000.00+ – is the average monthly amount spent on payments to outstaffed specialists in Ukraine.

During this time (over 22 years), we have participated in hundreds of tenders, primarily conducted by international companies and their professional representatives—procurement specialists, HR managers, and others. We have successfully transitioned over 2,000 employees to our services as part of won tenders.

We have compiled a list of key questions that, in our opinion, will help you conduct a thorough market analysis to select the best outstaffing service provider according to your company’s needs.

1. A High-Quality and Comprehensive Statement of Work (SOW) is the Key to a Successful, Open, and Long-Term Professional Partnership

• A professional outstaffing provider will need minimal information to prepare a quality proposal.
• At the same time, the more details/forecasts the company provides, the more stable the provider’s offer will be (fixed for a year/years, without surprises in cost revisions, etc.).
• We recommend including the following parameters in the core components of the SOW:
  • Is the project new, or is it managed by a current partner?
  • Planned start date of cooperation.
  • Duration of cooperation.
  • For how long would the company like to fix the price proposal and payment terms?
  • What is the number of outstaffed personnel in the project, and can the company forecast an increase/decrease in this number?
  • What is the type of contract between the outstaffed specialists and the provider?
  • Main job positions of the personnel.
  • Is the involvement of personnel in high-risk work anticipated?
  • Requirements for the payroll project (bank).
  • Dates of main payments.
  • Are there additional benefits for personnel that will be managed by the provider (insurance, business trips, meals, mobile communication, car leasing, etc.)?
  • All metrics that can be calculated as of the tender/market analysis date, for example:
    • Number of personnel, plans for increase/decrease in headcount.
    • Average monthly budget for personnel maintenance (salary with taxes).
    • Average monthly budget for additional personnel benefits (insurance, mobile communication, etc.), UAH excluding VAT.
  • The company’s preferred payment procedure for the provider’s services: prepayment on main salary payment dates, 100% post-payment with one set of documents within 5, 15, 30, 45, 60, 75, 90, 120 calendar days from the Acceptance Act date, etc.

2. Key Information Companies Typically Request from Outstaffing Service Providers:

1) Basic Information about the Provider’s Legal Entity

• Company name (full/abbreviated)
• Date of state registration
• Company Registration Code (EDRPOU)
• VAT Payer Status
• Legal address of the company
• Actual address of the company
• Company website
• Full name and contact details of the company director
• Full name and contact details of the person responsible for submitting the proposal

2) Key Information on Company Performance (financials, HR and technical resources, etc.):

• Number of full-time employees directly involved in project support
• Number of outstaffed specialists managed over the last 3 years (by year)
• Revenue (excluding VAT) for the last 3 years (by year)
• Country of registration of the ultimate beneficial owner, and whether there are foreign legal/natural persons in the ownership structure
• List of related legal entities
• Main area of activity, and whether the company is engaged in other areas unrelated to its core business (e.g., trading, export-import activities), and if so, which ones

3) Quality Indicators, Expertise, and Practical Experience

• Years of experience in the relevant service area
• Experience in managing outstaffing projects with over 100 specialists
• Main outstaffing clients
• Contact details of 3-5 main clients for references (full name, position, year cooperation started, contact phone number)
• Electronic document management (yes/no, which tools are used)
• Additional information about the provider (expertise, advantages, other)
• Main competitors
• Competitive advantages
• Status as a critically important enterprise for the economy and population’s livelihood during a special period (related to the possibility of reserving personnel from mobilization)

4) Questions Related to Company Policies

• Sanctions, anti-corruption provisions, corporate requirements, etc.

During martial law, correctly managing labor relations with mobilized employees remains a critical issue. This is especially true when an employee is called to military service during their annual vacation.

Is the Unused Vacation Postponed?
According to Art. 11 of the Law of Ukraine “On Vacations,” annual leave is subject to postponement or extension if an employee performs state or public duties while retaining their average salary. However, following changes to labor legislation (effective July 19, 2022), employers are no longer required to retain the average salary for mobilized employees. Article 119 of the Labor Code only guarantees the retention of their job and position.

Therefore, if mobilization coincides with an annual vacation period, the unused vacation days are not postponed or extended. The paid vacation period is considered fully used.

Employer’s Documentation Procedure
1. Order: After receiving supporting documents, the employer issues an order to release the employee from work due to mobilization, effective from the first day after the vacation ends.
2. Timesheet: The vacation period is marked with the code “В” (Basic Leave) or “A” (Additional Leave). Starting from the day after the vacation ends, the days of service are recorded with the code “ІН” or the numerical code “22”.
3. Work Record Book: No entries regarding mobilization or release from work are made.

Payroll
Payments already made for the vacation period should not be reversed. Going forward, no salary is accrued, as it is not retained during military service.

If an employee is mobilized during their annual vacation, the employer must formalize their release from work starting the day after the vacation ends, reflect their absence in the timesheet with the appropriate codes, and ensure their job is retained. Postponement or extension of the unused part of the vacation is not provided for in this situation.

The employment of minors in Ukraine is regulated by the Labor Code and other legal acts. Employers must consider both general rules for concluding employment contracts and special guarantees for individuals aged 14 to 18.

Minimum Age for Employment
The general rule allows concluding an employment contract from the age of 16. As an exception, it is permitted:
● From age 15 – with the written consent of one parent or a legal guardian;
● From age 14 – for students of schools and vocational or secondary special education institutions, exclusively for light work during their free time, with parental consent.

Hiring children under 14 is prohibited.

Working Conditions for Minors
Minors enjoy all labor rights on par with adults but have additional guarantees, including:
● Reduced working hours: 36 hours per week (ages 16–18), 24 hours (ages 15–16), and half of that for students during the school year;
● Wages: Paid at the same rate as adult employees in the same category, even with reduced hours;
● Annual leave: At least 31 calendar days, granted at a time convenient for the employee, without the requirement of working for six months first;
● Medical examination: Mandatory before hiring and annually until the age of 21.

Setting a probationary period for minors is prohibited.

Restrictions and Prohibitions
Minors cannot be engaged in:
● Work with harmful and hazardous conditions or underground work;
● Night work, overtime, or work on weekends;
● Lifting and moving loads exceeding the established limits.

Formalizing the Employment Contract
An employment contract with a minor must be in writing. The employee must provide a passport, taxpayer identification number, a medical examination certificate, and parental consent if they are 14–15 years old.
After signing the contract, an employment order is issued, the employee is familiarized with internal labor rules, and receives health and safety training.

Dismissal of a Minor
Termination of an employment contract at the employer’s initiative is possible only with the consent of the child protective services. In case of downsizing or company liquidation, the employer is obliged to ensure the minor’s subsequent employment. Additionally, the contract can be terminated at the request of parents or guardianship authorities if the work is harmful to the minor’s health or violates their rights.

Thus, when hiring a minor, employers must consider special working conditions, additional guarantees, and strict restrictions designed to protect the health and rights of young workers.

Annual leave is divided into:
● Annual basic leave (Art. 6 of Law No. 504/96-VR);
● Annual additional leave (Art. 7–8 of Law No. 504/96-VR).
The service period for these types of leave is calculated differently.

1. Annual Basic Leave
The service period qualifying for annual basic leave (Art. 82 of the Labor Code, Art. 9 of Law No. 504) includes:
● Time of actual work (including part-time, remote/home-based work);
● Periods when the job and salary were retained (fully or partially) by law;
● Periods of receiving social insurance benefits (temporary disability, maternity leave);
● Unpaid leave provided by law, except for childcare leave;
● Periods of off-the-job training (up to 10 months);
● Time of deprivation of liberty due to aggression against Ukraine, if the job was retained.

Not included: childcare leave up to 3 years; unpaid leave under Art. 26 of Law No. 504 granted after Dec 24, 2023; periods of employment contract suspension; absenteeism.

2. Annual Additional Leave
a) For work in harmful and hazardous conditions (Art. 7 of Law No. 504)
The service period is calculated only for the time actually worked in these conditions, provided the employee:
● Is engaged in such conditions for at least half of the working day;
● Performs work listed in the official list approved by the CMU.

Other periods (sick leave, vacations, training) are not counted.

b) For the special nature of work (Art. 8 of Law No. 504)
Only the time of actual work in positions/conditions that grant this leave is included.
Example: non-standard working hours, work with increased nervous-emotional or intellectual strain.
Other periods (illness, vacations, downtime) are not counted.

3. Military Service and Mobilization
● Since July 19, 2022, time spent in military service without average salary retention does not count towards any type of annual leave.
● Exception: Territorial defense volunteers—their service period is counted.
● Since Dec 24, 2023, special guarantees for pedagogical and scientific-pedagogical staff have been canceled.