Learn about the legal processes for employee termination and severance in Ukraine
In Ukraine, the Labor Code stipulates the notice periods required for terminating employment contracts. These periods vary depending on who initiates the termination and the reason for it.
The duration of the notice period an employer must provide an employee depends on the circumstances:
There are certain exceptions where the employer is not required to provide notice:
The notice period required from employees is shorter than that required from employers:
In Ukraine, the Labor Code mandates severance pay, providing financial support to employees during a period of job transition.
Employees in Ukraine are entitled to severance pay under various circumstances outlined in the Labor Code. These include termination by the employer due to redundancy, company closure, or other reasons beyond the employee's control, excluding gross misconduct. Severance pay is also applicable if both the employer and employee mutually agree to terminate the contract, or if the employee resigns due to the employer's violation of labor laws or the employment contract.
The severance pay an employee receives depends on the reason for termination and the employee's length of service. The minimum severance pay is one average monthly salary. For termination due to redundancy or company closure, the severance pay increases to an average monthly salary for each two months of service, capped at a maximum of six months' salary. The average monthly salary is calculated based on the employee's salary and other payments received in the two months preceding termination.
Employment contracts or collective bargaining agreements may stipulate higher severance pay amounts than the minimums mandated by law. Severance pay must be paid to the employee on their last working day.
The termination of employment contracts in Ukraine is governed by specific procedures outlined in the Labor Code. It's important for both employers and employees to understand these guidelines to ensure a smooth and legal termination process.
Termination can be initiated by either the employer or the employee. Here's a breakdown of the legal considerations for each party:
According to Article 36 of the Labor Code, the employer must:
As per Article 38 of the Labor Code, the employee must:
Proper procedure is vital during termination. This includes:
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