Labor law reform: what awaits business?

08/ 04/ 2021

Listen to online Stop   At the beginning of the February, the Verkhovna Rada of Ukraine adopted a number of Law Projects aimed at the systematic implementation of labor law reform. The main principles of the proposed reform are the liberalization of labor legislation, the creation of equal rules of the game and the balance of interests of employees and employers, providing incentives for business development, simplifying entry/exit from employment combined with effective mechanisms to protect against sudden job loss and unemployment rate reduce. So on April 7, 2021, during the EBA Odesa HR Hub meeting, together with Natalia Vusyk, Head of the EBA Odesa HR Hub, Head of the Human Resources Department of Ukratlantik LLC and specialists from the law firm Crowe Mikhailenko, we tried to understand the basic concepts and labor bills novels and also paid attention to the current features of IT companies with entrepreneurs. In particular, together with Anna Urusova, a lawyer, head of the general legal department of Crowe Mikhailenko, considered the main risks and consequences of retraining relations with entrepreneurs in labor, learned what are the ways to reduce these risks. Thus, in order to minimize these risks, Ms. Anna recommended periodic clarifications for entrepreneurs in two areas: on their status in the company as sole proprietors and on the need to notify the company in case of requests to sole proprietors from regulatory authorities. In addition, the speaker spoke about 7 signs of labor relations and their impact on business and gave a comparative description of the bills that regulate them. The issue of simplification of personnel documentation for small businesses in such procedures as employment, remuneration, leave and dismissal, etc. was not left out. In turn, Lyudmila Zvereva, lawyer, advisor to the practice of tax disputes, labor law Crowe Mikhailenko, touched on the concept of deregulation of labor relations, which follows from the new draft Law of Ukraine On Amendments to Certain Legislative Acts to Simplify Regulation of Labor Relations in Small and Medium entrepreneurship and reducing the administrative burden on entrepreneurial activity. Then Ms. Lyudmyla shared what the planned reform of the State Labor Service will be and how it will affect the activities of Ukrainian companies. Particular attention was paid to the interpretation of the provisions of Ukrainian legislation on specialists of Action City, the definition and main provisions of the gig contract, employment contract with fixed hours (zero hour) and more. On behalf of the EBA Southern Ukrainian Office thank you for the professional discussion!

At the beginning of the February, the Verkhovna Rada of Ukraine adopted a number of Law Projects aimed at the systematic implementation of labor law reform. The main principles of the proposed reform are the liberalization of labor legislation, the creation of equal rules of the game and the balance of interests of employees and employers, providing incentives for business development, simplifying entry/exit from employment combined with effective mechanisms to protect against sudden job loss and unemployment rate reduce.

So on April 7, 2021, during the EBA Odesa HR Hub meeting, together with Natalia Vusyk, Head of the EBA Odesa HR Hub, Head of the Human Resources Department of Ukratlantik LLC and specialists from the law firm Crowe Mikhailenko, we tried to understand the basic concepts and labor bills novels and also paid attention to the current features of IT companies with entrepreneurs.

In particular, together with Anna Urusova, a lawyer, head of the general legal department of Crowe Mikhailenko, considered the main risks and consequences of retraining relations with entrepreneurs in labor, learned what are the ways to reduce these risks. Thus, in order to minimize these risks, Ms. Anna recommended periodic clarifications for entrepreneurs in two areas: on their status in the company as sole proprietors and on the need to notify the company in case of requests to sole proprietors from regulatory authorities. In addition, the speaker spoke about 7 signs of labor relations and their impact on business and gave a comparative description of the bills that regulate them. The issue of simplification of personnel documentation for small businesses in such procedures as employment, remuneration, leave and dismissal, etc. was not left out.

In turn, Lyudmila Zvereva, lawyer, advisor to the practice of tax disputes, labor law Crowe Mikhailenko, touched on the concept of deregulation of labor relations, which follows from the new draft Law of Ukraine “On Amendments to Certain Legislative Acts to Simplify Regulation of Labor Relations in Small and Medium entrepreneurship and reducing the administrative burden on entrepreneurial activity”. Then Ms. Lyudmyla shared what the planned reform of the State Labor Service will be and how it will affect the activities of Ukrainian companies. Particular attention was paid to the interpretation of the provisions of Ukrainian legislation on specialists of Action City, the definition and main provisions of the gig contract, employment contract with fixed hours (zero hour) and more.

On behalf of the EBA Southern Ukrainian Office thank you for the professional discussion!