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Remote’s guide to employing in

Ukraine
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Make employment in Ukraine easy. Let us handle payroll, benefits, taxes, compliance, and even stock options for your team in Ukraine, all in one easy-to-use platform.

  • Capital City

    Kyiv

  • Currency

    Ukrainian hryvnia (₴, UAH)

  • Languages

    Ukrainian

  • Population size

    44,390,000

Services available in this country:
Employer of Record ProductContractor Management
Ukraine

Facts & Stats

Ukraine Map Illustration
  • Capital City

    Kyiv

  • Currency

    Ukrainian hryvnia (₴, UAH)

  • Languages

    Ukrainian

  • Population size

    44,390,000

  • Ease of doing business

    Easy

  • Cost of living index

    $ (121 of 139 nations)

  • Payroll frequency

    Bi-monthly

  • VAT - standard rate

    20% (with some exceptions)

  • GDP - real growth rate

    4.4% (2020)

Ukraine is both Europe’s second-largest country by area and one of its most populous, famous for its rich historical heritage and biological diversity.

Prior to the pandemic, Ukraine had experienced prolonged GDP growth and strong industrial prowess in agriculture, IT, and mining. The southeastern European nation also boasts a burgeoning tech sector with a large skilled labor force in IT services, software development, ecommerce, and customer support.

Grow your team in Ukraine with Remote

Looking to employ workers in Ukraine? Companies hiring in Ukraine must either own a legal entity in the country or work with a global employment solutions provider, usually one that provides employer of record services.

Remote can employ your team in Ukraine on your behalf through our local legal entity in the country and handle payroll, benefits, taxes, and compliance for your Ukraine team. You can also pay contractors now in Ukraine with Remote.

Risks of misclassification

Ukraine, like many other countries, treats self-employed individuals or contractors and full-time employees differently. Misclassification of contractors in Ukraine may lead to fines and penalties for the offending company.

Employing in Ukraine

The Ukrainian constitution and the Labour Code are the principal governing statutes that define employee protections and workers’ rights applicable to Ukraine’s workforce of 19.5 million. Employees in Ukraine enjoy protections against discrimination based on age, religion, sexual orientation, gender expression, and race.

Common questions that could come up during the hiring process include the minimum wage, overtime rates, and guaranteed paid time off. Remote can help you offer a complete, competitive, and compliant benefits package to your employees in Ukraine.

Minimum Wage

The Ukrainian government has set the minimum wage for 2023 at UAH 7,100 from 1 January 2024 and UAH 8,000 from 1 April 2024. Hourly wages are set at UAH 42,6 from 1 January 2024 and UAH 48 from 1 April 2024.

Payroll Cycle

For customers of Remote, all employee payments will be made in equal bi-monthly installments, payable in arrears. Employees are paid twice a month, on the 15th and on the last working day of the month.

Onboarding Time

We can help you get a new employee started in Ukraine fast. The minimum onboarding time we need is only 20 working days.

Our team ensures your employees are onboarded and paid as quickly as possible while keeping your business compliant with all local employment legislation. The minimum onboarding time begins after the employee submits all required information onto the Remote platform. The onboarding timeline is also dependent upon registration with local authorities.

For all non-nationals of the country of employment, the Right to Work assessment (if applicable) will add three extra days to the total time to onboard. There may be extra time required if we need to follow-up on the right to work assessment.

Please note, payroll cut-off dates can impact the actual first day of employment. Remote has a payroll cut-off date of the 10th of the month unless otherwise specified.

13 Public holidays

Jan
Monday, January 1, 20241New Year's Day (День нового року)
Mar
Friday, March 8, 20242International Women's Day (Міжнародний жіночий день)
May
Wednesday, May 1, 20243International Workers' Day (Міжнародний день працівників)
Sunday, May 5, 20244Orthodox Easter (Православний Великдень)
Monday, May 6, 20245Orthodox Easter Monday (Православний Великодній понеділок)
Wednesday, May 8, 20246Victory Day over Nazism in World War II (День Перемоги над нацизмом у Другій світовій війні)
Jun
Sunday, June 23, 20247Orthodox Pentecost (Православна П'ятидесятниця)
Monday, June 24, 20248Orthodox Pentecost Monday (Православна П'ятидесятниця понеділок)
Friday, June 28, 20249Constitution Day (День Конституції)
Jul
Monday, July 15, 202410Ukrainian Statehood Day (День Української Державності)
Aug
Saturday, August 24, 202411Independence Day (День Незалежності)
Oct
Tuesday, October 1, 202412Defender of Ukraine Day (День захисника України)
Dec
Wednesday, December 25, 202413Christmas Day (Різдво)

Want to see and manage all holidays? Sign up for our free HRIS!

Effortless HR in Ukraine: Take the Tour

Seamlessly Manage Your Workforce, from First Hire to Final Paycheck

Competitive benefits package in Ukraine

At Remote, we’re obsessed with helping you craft the best possible employee experience for your team. We are leading the way in practicing “fair equity,” which means making sure employees everywhere have access to both the required and supplemental benefits they need to thrive (and that will allow you to attract the best local talent).

Our benefits packages in Ukraine are tailored to fulfill the local needs of your employees. Typically, our packages contain some or all of the following benefits:

  • Health Insurance

  • Dental Insurance

  • Vision Insurance

  • Mental Health Support

  • Pension or 401(K)

  • Life and Disability Insurance

Taxes in Ukraine

Learn how employment taxes and statutory fees affect your payroll and your employees’ paychecks in Ukraine.

  • 22%

    social security contribution

Types of leave

Employees are entitled to at least 24 calendar days of paid leave, depending on their health and workload.

  • 31 days: employees under the age of 18

  • 26 – 30 days: employees with different types of disability; more severe disability will warrant more days off & vice versa

An employer must accept an employee's request for unpaid leave for a specified duration in certain cases (a honeymoon is one example). Apart from the mandatory provision of unpaid leave, an employer can (but has no obligation to) provide unpaid leave to an employee for family reasons or any based on any other request. Any unpaid leave will not exceed 15 calendar days a year.

Employment termination

Termination process

Ukrainian labor law mandates that employee contracts can only be terminated if just cause is established, from reasons ranging from redundancy, dishonesty, fraud, incapability to dispense work duties, etc.

Pregnant women, mothers with children below the age of three, single mothers with children under the age of 14, and mothers of children with disabilities are protected from termination on an employer’s initiative, except for the latter’s liquidation.

Notice period

The acceptable notice period for termination depends on the terms agreed upon by both parties, as well as circumstances surrounding the termination.

At the bare minimum, employers can only terminate employers with advance notice of:

  • 2 months: for organizational reasons, i.e. bankruptcy, liquidation, etc.

  • 3 days: unsatisfactory probatory performance

For other unspecified situations, both parties can default to whatever agreement specified in the employment contract.

The employee and the company are both required to give the following periods of written notice (these are a minimum standard, but companies can choose to increase these periods if desired):

  • For employees of up to 4 years service - at least one month notice

  • For employees from 5 to 11 years of service - not less than one week notice for every completed year of continuous employment

  • For employees with more than 12 years of services - not less than three months notice

Severance pay

If an employment contract is deemed to be terminated because of the employer’s violation, the employee will be entitled to a severance package equal to three months’ pay, or six months’ wages, if the employee is a corporate officer.

Otherwise, if an employee is deemed redundant or unsuited for tasks required, the employee will be entitled to one month’s pay.

Probation periods

Probationary periods are limited to one month for blue-collar employees and three months for other employees.

Fair Pricing in Ukraine

Employer of Record

Hire and pay your global team

Starting at $599/month

Top features

  • Satisfaction guaranteed

  • No deposits or hidden fees

  • Zero onboarding or offboarding fees

  • Compliant equity incentives support including withholding and reporting

  • Built-in security and compliance

  • Fast onboarding (average 2-3 days)

  • Flexible, localized benefits

Contractor Management

Compliantly onboard and pay contractors

$29

per contractor/month

Start free trial

Top features

  • Only pay for contractors you actively work with

  • Work with contractors in 200+ countries

  • Create, edit, and sign tailored, localized contracts

  • Approve contractor invoices with one click or auto-pay

  • Transparent payments with complete visibility

Global Payroll

Consolidate your multi-country payroll

$50

per employee/month

Top features

  • Reduce costs by centralizing payroll management

  • Ensure local compliance for every country

  • Direct support from in-house local payroll experts

  • Accurate, on-time, compliant payroll to level-up your employee experience

  • Tax and labor authority reporting handled for you

HRIS

Manage all of your employees in one place

Free
Sign up

Top features

  • Guided onboarding and offboarding

  • Employee profile and document management

  • Time and attendance (time off and tracking)

  • Expense management and reimbursement

  • Employee self-serve on the platform and mobile app