OUTLINE
Notice period in Ukraine
Termination of employment in Ukraine
Post-termination restraints in Ukraine
Employment waivers in Ukraine
Transfer of undertaking in Ukraine
Mitigate risk with CXC’s end-to-end employment services
End of employment in Ukraine
Navigating the end of employment in Ukraine requires a careful balance of legal compliance and thoughtful communication. Whether an employment contract ends due to resignation, dismissal, or business restructuring, employers must follow formal procedures set out in the Labour Code.
In most cases, employment may be terminated by either the employee or the employer, but notice periods, documentation requirements, and grounds for termination must be respected. For example, employees are typically required to give 14 days’ notice, while employers must provide two months’ notice in many situations, unless dismissal is with cause. Specific categories of employees, such as pregnant women, those on parental leave, or nearing retirement, are entitled to additional legal protection and cannot be dismissed under ordinary circumstances.
Termination based on mutual agreement is also a valid method for ending employment relationships, provided the terms are clearly documented. Severance pay obligations may apply, depending on the reason for termination and length of service—typically calculated at one month’s salary for every two years of employment.
Employers should also be aware that certain clauses in contracts, such as post-termination restrictions or waivers of statutory rights, may not be enforceable under Ukrainian law, unless special conditions apply—such as for Diia City residents.
Ultimately, understanding how to legally and fairly manage the end of an employment relationship is essential for businesses operating in Ukraine. Adhering to the correct procedures not only minimises legal risks but also helps maintain a positive reputation with current and former employees.
For businesses unfamiliar with Ukrainian labour law, working with local legal experts or Employer of Record providers can help ensure each employment contract ending in Ukraine is handled in full compliance with national regulations and in a way that supports business continuity.
Notice period in Ukraine
When ending an employment relationship in Ukraine, timing and process matter. Employers should ensure that they meet local legal requirements to avoid disputes or delays. The length and conditions of the notice period in Ukraine vary depending on who initiates the termination and the terms of employment.
Standard notice period in Ukraine
Ukraine’s notice period is largely determined by whether the employer or employee is initiating the end of the employment contract:
- If the employer ends the contract, a minimum of two months’ written notice is typically required under Article 49-2 of the Labour Code of Ukraine.
- If the employee decides to resign, they must provide 14 calendar days’ written notice.
- If the contract ends by mutual agreement, no minimum notice period is required unless specified in the agreement.
Notice periods may be waived or altered if agreed upon by both parties or in cases involving gross misconduct or other legal grounds.
Resignation notice period in Ukraine
Employees resigning voluntarily must notify their employer in writing at least 14 days in advance. In some circumstances—such as relocation, admission to an educational institution, or illness—employees may request early termination without serving the full notice period.
Severance pay in Ukraine
In cases of termination initiated by the employer, the employee is entitled to severance pay. The standard severance payment is one month’s salary for every two years of service, unless otherwise specified by a collective agreement or employment contract.
Probation notice period in Ukraine
During a probationary period, the rules differ slightly:
- For most non-qualified roles, the probation period is capped at one month.
- For specialists and managers, probation can last up to three months.
Both parties can terminate the contract during probation with three days’ notice.
Other details about Ukraine’s notice period
Ukrainian labour law places a strong emphasis on written documentation and mutual consent. Employers must provide a valid reason for termination and ensure proper delivery of the notice. Special protections also apply to certain categories of workers, such as pregnant employees and trade union members, who may not be dismissed without additional justification and approval from relevant authorities.
Being aware of the nuances of notice periods in Ukraine helps employers plan responsibly, comply with local laws, and foster respectful offboarding practices.
Termination of employment in Ukraine
Ending an employment relationship in Ukraine requires careful navigation of the Labour Code and related legislation. Employers must ensure that the process complies with legal requirements and respects employee rights. Ukrainian law generally favours employee protections, and termination can be difficult to enforce unilaterally without strong justification.
Grounds for termination of employment in Ukraine
The process and permitted grounds for the termination of employment in Ukraine depend on the type of contract, the employment or collective agreement, and who initiates the termination.
Ukrainian law distinguishes between termination with cause and termination without cause. Dismissal with cause requires specific, legally recognised reasons. These include:
- Repeated, unjustified failure to perform job duties.
Absence from work for over three hours in a single day without valid reason. - Appearing at work under the influence of alcohol or drugs.
- Misappropriation of company property.
- Mobbing (harassment) of colleagues.
- Breach of confidentiality rules.
- Gross violations of job responsibilities.
- Misconduct by company heads those delays or reduces salary payments.
- Conflicts of interest or direct subordination to related parties (per the Law “”On Preventing Corruption””).
- Repeated violations in licensing or administrative processes.
- Loss of employer trust due to actions affecting company assets.
- Immoral behaviour.
Some categories of employees are especially protected from dismissal, including pregnant women, parents of children under age three, and employees nearing pension age. Dismissals are also restricted during periods of annual leave or sick leave, except in limited circumstances.
Best practices when terminating employment contracts in Ukraine
Employers are advised to include a clearly defined termination clause in agreements in Ukraine to minimise disputes. Although mutual termination agreements do not require a notice period, any unilateral action must be carefully documented and justified.
When dismissal is necessary, employers should:
- Maintain thorough documentation of violations or reasons.
- Comply with notice and severance pay requirements.
- Provide written notification of termination.
- Avoid discriminatory practices.
- Consider alternative options such as reassignment, where applicable.
Legal consultation is strongly recommended before any involuntary dismissal, given the high threshold for lawful termination.
Post-termination restraints in Ukraine
When an employee leaves a company, many employers look to safeguard sensitive information and business relationships. In Ukraine, however, the enforceability of post-termination restraints is limited and largely depends on the specific legal regime the employer operates under.
Non-compete clauses in Ukraine
In general, non-compete clauses in Ukraine are not enforceable under the Labour Code. Ukrainian labour law does not provide a statutory basis for employers to restrict where or for whom a former employee may work after the employment relationship ends. This means that, outside of certain exceptions, employers cannot prevent former staff from joining competitors or starting a similar business.
One key exception applies to companies registered under the Diia City regime, a legal framework designed for IT and tech companies. Diia City residents are permitted to include non-compete clauses in contracts with employees and gig-contractors. These clauses must:
- Be in writing.
- Provide separate financial compensation for the restriction.
- Clearly define the term (up to 12 months after termination).
- Specify the territorial scope and competitive activities involved.
Outside of Diia City, certain company officers (such as directors) may be subject to restrictions while still employed, particularly where their external activities conflict with the company’s operations. A breach of these obligations can lead to termination of employment.
Non-solicit clauses in Ukraine
Non-solicit clauses that restrict a former employee from poaching clients or co-workers after leaving the business are also generally unenforceable in Ukraine. There is no statutory recognition of these restrictions under general employment law. As with non-competes, the Diia City framework may offer limited enforceability where specific agreements are made, and compensation is provided.
In all cases, to improve the chances of enforcement, employers should ensure that such clauses are reasonable, proportionate, and clearly connected to protecting a legitimate business interest.
Employment waivers in Ukraine
When navigating employee contracts in Ukraine, employers should be aware that not all types of waivers are legally valid. While certain contractual terms may be used to clarify responsibilities or obligations, any waiver that attempts to override an employee’s statutory rights is not enforceable under Ukrainian law.
Enforceable employment waivers in Ukraine
In Ukraine, waivers that seek to limit or exclude mandatory labour protections are generally invalid. This includes attempts to contractually waive rights such as minimum wage, standard working hours, annual leave, or protections against unlawful dismissal. Ukrainian labour legislation is considered protective in nature, and employees cannot waive their core statutory entitlements, even by mutual agreement.
In practice, any term in an employment agreement that contradicts guaranteed rights under Ukrainian law would be considered void. For example, a clause stating that an employee waives the right to severance or notice in the event of dismissal would not be upheld by a court. Employers should instead ensure that employment contracts align with the Labour Code and do not rely on waivers to limit risk or liability.
However, Ukrainian law does allow parties to mutually terminate employment agreements through written consent. This is not considered a waiver, but a separate legal mechanism for ending the employment relationship.
Ukraine’s visa waiver policies
Separate from employment contracts, Ukraine also maintains visa waiver arrangements for citizens of several countries. Nationals from the EU, UK, US, Canada, and certain others may enter Ukraine visa-free for short stays, generally up to 90 days within a 180-day period.
While Ukraine’s visa waiver policy can simplify business travel, it does not authorise employment. Foreign nationals intending to work in Ukraine must obtain the appropriate work permit and long-term visa, regardless of visa-free entry status.
Employers hiring international talent should not rely on visa exemptions for employment purposes and must remain compliant with local immigration and labour laws.
Transfer of undertaking in Ukraine
When a business changes hands, managing the transition for employees is a key part of the process. In Ukraine, there are clear rules for what happens to employment contracts when a company reorganises, merges, or spins off. However, the legal treatment differs depending on the nature of the transaction.
Potential situations for transfer of undertaking in Ukraine
The transfer of undertaking in Ukraine usually arises during events like mergers, acquisitions, or company reorganisations. If ownership of the business changes or if the company undergoes a structural transformation (such as a spinoff or merger), the employment relationships continue uninterrupted. In this case, employees are retained under the same terms and conditions by the successor entity.
However, in an asset deal—where only certain assets (and not the entire legal entity) are transferred—Ukrainian law does not automatically carry over employment contracts. In these situations, the current employer must terminate the employment relationships, and the new employer may then rehire the workers. This means employers involved in asset acquisitions should prepare for a new onboarding process and ensure the fair and transparent treatment of affected staff.
Best practices during transfer of undertaking in Ukraine
Ukrainian labour law places significant protections on employees during transitions. Employers should ensure that employment terms are maintained, and that the transfer is communicated clearly and in writing. Staff should be notified of any changes, ideally with adequate consultation.
It is also important to distinguish a transfer of undertaking from displacement of employees in Ukraine. Displacement generally refers to internal organisational changes—such as downsizing or restructuring—that may lead to role changes or redundancies. This is different from a transfer of undertaking, where employees typically remain employed under a new owner without interruption.
For international employers navigating these changes, partnering with local HR experts or legal counsel can help ensure compliance and a smooth employee transition.
Mitigate risk with CXC’s end-to-end employment services
Employment contracts in Ukraine can end for various reasons — from resignation to dismissal or company restructuring. Whatever the cause, following Ukrainian labour law is key to avoiding legal risks.
Our solutions help businesses manage each step of the termination process compliantly, with support for employee retention or redeployment when possible.
Speak to our team to learn how our Employer of Record (EoR) solution can simplify employee exits and protect your organisation across the full employment lifecycle in Ukraine.
Compliantly hire workers anywhere with CXC
With our EoR solution, you can engage workers anywhere in the world, without putting your business at risk. No more worrying about local labour laws, tax legislation or payroll customs — we’ve got you covered.
DISCLAIMER: The information contained on this website is provided for general informational purposes only and should not be construed as legal, tax, or other professional advice on any subject matter. While we endeavor to ensure that the content is accurate and up to date, we make no warranties or representations of any kind regarding the completeness, accuracy, reliability, suitability, or availability of the information contained herein. The content on this site is not intended to be a substitute for professional advice. Users should not act or refrain from acting based on any information on this website without seeking the appropriate legal, tax, or other professional advice tailored to their specific circumstances from qualified professionals. We expressly disclaim all liability in respect to actions taken or not taken based on any or all of the contents of this website. Use of the information on this site does not create an attorney-client, tax advisor-client, or any other professional-client relationship between the user and the website or its authors.
Australia/New Zealand Head Office
Asia Head Office
EMEA Head Office
North America Head Office
Latin America Head Office
Level 3, 99 Walker Street
North Sydney, NSW 2060 Australia
