Foreign employment in Ukraine as of 2017.
Work permit in Ukraine is one of the most attractive ways of legalizing a stay in the country. Such a permit gives legal grounds to obtain a temporary residence permit. On May 23, 2017, the Law “On Amendments to Certain Legislative Acts of Ukraine and Removing Barriers to Attracting Foreign Investments” was passed. The law takes effect on September 27, 2017.
Main changes in accordance with the Law:
1. Salary to a foreigner must be established and paid at the level of 10 minimum wages (32 000 UAH per month), but no less than 5 minimum wages (16 000 UAH per month) to foreigners who work in public and charitable organizations or educational institutions.
Exception: the minimum wage requirements do not apply to special categories of foreign employees. Namely: highly paid professionals (foreigners whose wages are more than 50 minimum salaries), employed founders, participants or ultimate beneficiaries of the legal entity, graduates of universities determined by the Cabinet of Ministers of Ukraine, foreign creative workers, foreign IT professionals.
2. Highly paid foreign experts will be allowed to work part-time jobs (without obtaining a work permit for a combined position), if the period of work on the combined position does not exceed the term of the main labor contract.
3. A foreign employee may combine work in a position determined by work permit with a temporary absent employee without the permit, provided that the combination does not last more than 60 calendar days during a calendar year.
4. Sole proprietors now have the right to employ foreigners and obtain a work permit. Previously there was a ban, despite the fact that SPs are the same employers as legal entities.
5. The list of documents submitted for obtaining a work permit for foreigners has been changed. All medical certifications as well as a certificate of non-conviction are not required.
Now employers will submit:
● a statement in which the employer confirms that, according to Ukrainian legislation, the position of a foreigner is not related to belonging to the citizenship of Ukraine and does not require granting of admission to state secrets;
● a copy of all pages of the foreigner’s passport with personal data and their translation into Ukrainian;
● color photograph of the foreigner: 3,5х4,5 cm.
6. The requirement to provide a copy of the employment contract has been returned.
7. The work permit term has been increased up to 3 years (for special categories of foreigners, as well as for seconded foreigners).
8. Changes in the amount of payment (fee) for issuing a work permit (a permit for up to 3 years—payment in the amount of 6 subsistence minimums, a permit for a period of 6 months to 1 year—4 subsistence minimums, a permit for up to 6 months—2 subsistence minimums).
9. Payment for the extension of a work permit is established in the same amount as for the issuance (see paragraph 8).
10. The period for issuing a work permit is reduced to 7 working days. Continuation or amendment of the current permit is 3 working days.
11. Persons who have applied for refugee status or persons who need additional protection can also obtain a work permit. Once they obtain the required status, the work permit will be canceled (refugees have the right to work without a work permit).
On the one hand, we see simplification of the procedure for obtaining a work permit, as the list of documents has been simplified. But on the other hand—strengthening the requirements for remuneration of labor of foreigners is likely to facilitate the employment of Ukrainians, who can be paid at a minimum wage of 3200 UAH. Also, an increase in the authorized capital to 100,000 euros and its real formation will facilitate the arrival of real investors to Ukraine.