1999 - year of foundation

200+ customers

100% post-payment

150+ existing contracts

Overview of Draft Law No. 13380: Innovations in Ukraine’s Redundancy Procedure

On June 18, 2025, Draft Law No. 13380 was registered, proposing amendments to Article 49-2 of the Labor Code of Ukraine regarding the employee dismissal process. It is important to note that this bill has not yet entered into force and is currently under review.

The current version of Article 49-2 of the Labor Code requires employers to notify employees of their upcoming redundancy at least two months in advance. Simultaneously, the employer must offer the employee another available job within the same company that matches their profession or specialty. If no suitable vacancies are available, or if the employee declines the offer, they have the right to contact the state employment service or find a new job independently.

Bill No. 13380 proposes to add a provision allowing the two-month notice period to be shortened if the employee submits a written request to do so. However, even with a reduced notice period, the employer is not exempt from the obligation to offer the employee all vacant positions matching their qualifications from the date of the initial notice until the actual day of dismissal.

This innovation offers flexibility for employees who wish to terminate their employment sooner, for instance, if they have already found another job or due to personal circumstances. At the same time, it places an additional responsibility on the employer to ensure that all relevant vacancies are offered throughout the entire shortened notice period.

Practical advice for employers: If this bill is passed, it is advisable to update internal HR documentation and procedures in advance. Specifically, companies should develop an algorithm for promptly informing employees about available vacancies, create standard forms for written notifications, and establish a procedure for recording requests to shorten the notice period. This will help prevent disputes, increase process transparency, and reduce legal risks.

It is crucial to emphasize that Draft Law No. 13380 is still under consideration, and until it becomes law, the current legal norms remain in effect.

Vacation Abroad for a Reserved Employee: Legal Aspects and Risks

During martial law in Ukraine, the ability of men aged 18 to 60 to travel abroad is significantly restricted. An exception is made for certain categories of individuals, including military-liable persons who are “reserved” (granted a deferment from mobilization) for the period of mobilization and wartime, in accordance with Art. 23 of the Law of Ukraine “On Mobilization Preparation and Mobilization.” Such employees are not subject to conscription and are registered on a special military list.

Current regulations, particularly the Rules for Crossing the State Border by Citizens of Ukraine, provide for the possibility of reserved employees traveling abroad only for official business trips. The issue of traveling abroad during a vacation is not legally regulated. Currently, the procedure for such a trip is determined at the discretion of the border guard service during inspection, which creates a high level of uncertainty and risks for both the employer and the employee.

To cross the border, you must have:
● A foreign passport;
● A military registration document or an electronic record in the “Rezerv+” application with a note of reservation;
● An extract or a copy of the vacation order (specifying the country, duration, and position);
● Additional documents confirming the purpose of the trip.

However, practice shows that reserved employees are often denied crossing the state border based on a vacation order. Most successful cases of traveling abroad are related to оформленням business trips, not vacations. The Ministry of Justice of Ukraine emphasizes the need to clarify the requirements with the State Border Guard Service in advance (by calling 1598 or through official communication channels).

The employee should verify the absence of any travel restrictions and ensure compliance with military registration rules. In case of refusal to cross the border, the consequences can be both reputational and disciplinary.

Clarification from the Ministry of Justice on reserved employees traveling abroad for vacation.

Can an Employee’s Salary Be Transferred to Another Individual’s Account?

Ukrainian legislation allows an employee to freely manage their salary. According to Part 1 of Article 25 of the Law of Ukraine “On Labor Remuneration,” any restriction on an employee’s right to receive and use their salary is prohibited. This means that the employee has the right to independently determine the method of receiving their payments.

In accordance with Part 5 of Article 24 of the Law of Ukraine “On Labor Remuneration,” salary payments can be made through banks or non-bank payment service providers authorized to open and service accounts, or by postal money order to an address specified by the employee. The main condition is a written request from the employee stating the details for the transfer.

The employee has the right to submit a free-form request addressed to the head of the company, specifying the particular account of another individual to which they wish to receive their salary. The request must clearly state the recipient’s full name, bank details or postal address, and, if applicable, the recipient’s taxpayer identification number.

It is important to emphasize that the employer does not have the right to refuse such a request and cannot impose a specific method or account for receiving the salary. It is also forbidden to charge the employee any commission or other costs associated with transferring the salary to the specified account. Payment for the services of banks or postal operators in such cases is the responsibility of the employer.

For the company’s accounting and HR departments, the procedure is as follows:

  • Obtain a written request from the employee with the recipient’s full details.
  • Register the request in the company’s internal documentation.
  • Issue a corresponding order based on the request.
  • Make the transfer within the legally established timeframe.

Thus, transferring an employee’s salary to another individual’s account is entirely lawful, provided that the requirement for written consent is met.

Can a Salary Be Calculated in Foreign Currency: Legislative Aspects and Practical Nuances in Ukraine

According to Article 1 of the Law of Ukraine “On Remuneration,” a salary is compensation, typically calculated in monetary terms, that an employer pays to an employee for work performed under an employment contract. The legislation clearly states that salaries in Ukraine must be paid exclusively in the national currency—the hryvnia (UAH) (Part 1, Article 23 of this Law). The hryvnia is the sole legal tender in the territory of Ukraine.

At the same time, Article 192 of the Civil Code of Ukraine allows for monetary obligations to be defined in the equivalent of a foreign currency. This means that an employment contract can specify the salary amount in hryvnias while also indicating its equivalent in a foreign currency. However, the actual payment must be made exclusively in hryvnias.

To avoid disputes, it is advisable to clearly define the mechanism for converting the foreign currency into hryvnias. Specifically, the contract can specify the National Bank of Ukraine (NBU) exchange rate as of a certain date and fix it as a minimum. If the official exchange rate increases by a certain date of the reporting month, the calculation is made at the new, higher rate, but not below the established minimum level. This ensures payment stability and protects the employee from currency fluctuations.

It is also important to regulate the salary calculation procedure in the company’s internal documents: the collective agreement, the salary policy, and the staffing table. The staffing table should specify the position’s salary in hryvnias with a note indicating the foreign currency equivalent and the exchange rate to be used for the conversion.

Formalizing such terms requires amending the employment contract (including through a supplementary agreement), issuing a corresponding order on the change in remuneration, and verifying that the new terms comply with the company’s salary policy.

Key points to consider:

  • Salary payments are made exclusively in hryvnias (UAH).
  • The option to specify an equivalent in a foreign currency must be clearly regulated by the contract.
  • It is recommended to establish a minimum exchange rate to protect the employee.
  • All of the company’s internal regulations must be updated accordingly.

Thus, defining a salary in the equivalent of a foreign currency is a legal practice, provided that all legislative requirements are met and the process is properly documented.

Interesting Facts
THE FASTEST RECRUITMENT PROJECT

Just 3 calls, 2 candidates — and an agreed start of work in 30 minutes.

30

Minutes

THE LARGEST OUTPLACEMENT PROJECT

120 specialists received support after being laid off.

120

Specialists

THE LARGEST OUTSTAFFING PROJECT

3,700 specialists in Ukraine worked on the solar power plants project.

3,700

Specialists

THE LONGEST CUSTOMER COOPERATION

The contract has been in place for 21 year and is still active.

21

Year

RECRUITMENT TEAM BEFORE THE CRISIS

25 recruiters were closing up to 600 applications per year.

600

Applications/year

WOMEN'S TEAM

95% of the Ukrainian team are female.

95%

Women

CUSTOMER RETURNS

Customers who chose cheaper competitors return in 1–2 years.

1–2

Years

NO CUSTOMER LOSS DUE TO POOR QUALITY

In 25 years, not a single customer has been lost due to non-fulfillment of obligations.

0

Customer Losses

OUTSTAFFING MARKET CONCENTRATION

14 companies serve 95% of the market, two of them serve half.

14

Main players

ON-GOING PROMOTION PROJECTS

150+ active outstaffing/outsourcing projects in Ukraine.

150+

Projects

RECRUITMENT CONTRACTS

More than 100 active contracts for recruitment services.

100+

Current contracts

HIGHEST DAILY RATE

An offshore drilling rig safety engineer earned the highest daily wage.

1,200,00

Pounds/day