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New rules for employment of foreigners and stateless persons in Ukraine - comments bt Natalia Nazarko

On October 15, the Law of Ukraine No. 2623-IX "On Amendments to Certain Laws of Ukraine on the Employment of Foreigners and Stateless Persons in Ukraine and the Provision of Mediation Services in Employment Abroad", which was adopted by the Parliament on 21.09.2022, came into force.
 
This Law amends the Law of Ukraine "On Employment of the Population" and the Law of Ukraine "On the Legal Status of Foreigners and Stateless Persons".
 
What will change for foreigners
The main innovation of the adopted law is that from now on it sets equal remuneration conditions for both citizens of Ukraine and foreigners and stateless persons legally staying in Ukraine. Prior to the adoption of the law, there were rules that required the payment of 5-10 minimum wages to foreigners (except for special categories of employees), which was a significant financial burden on employers and contributed to the shadowing of labor relations with foreigners. Now, there is no division into special categories of employees, such as foreign highly paid professionals, founders and/or participants of a legal entity, foreign IT professionals and others, but there are foreign employees who need to be paid one minimum wage per month.
 
The work permit will now be available to foreigners studying in higher education institutions for the period of study and after graduation, if they have received a permit 30 calendar days before graduation.
 
Fee for issuing a permit
With the adoption of the Law, employers who intend to hire foreign workers will have to pay more for the issuance of a permit. Thus, in 2022, the fee for issuing a permit is as follows:
1) for a period of up to six months inclusive - UAH 7,443;
2) for a period of six months to one year inclusive - UAH 12,405;
3) for the period from one year to two years inclusive - UAH 19,848;
4) for the period from two years to three years inclusive - UAH 24,810.
 
The fee for renewal of the permit shall be reduced by one subsistence minimum of the fee for issuance of the permit for the corresponding period.
 
Validity of the work permit
The permit for hired foreign workers can now be obtained for a period of up to two years, depending on the term of the employment agreement (contract). Previously, the term of the work permit should not exceed one year, and for special categories of workers the permit could be obtained for three years.
 
Accordingly, a temporary residence permit is issued for the period of validity of the work permit for foreigners and stateless persons.
 
Issuance and prolongation of work permits for citizens of the Russian Federation, the Republic of Belarus, as well as other states recognized as threatening state sovereignty, territorial integrity and democratic constitutional order and other national interests of Ukraine are carried out in coordination with the regional bodies of the Security Service of Ukraine.
 
Damage or loss of the permit
The amendments stipulate that in case of damage or loss of a work permit, a duplicate can be obtained. To do this, the employer must submit an application in any form and, if available, attach the damaged permit. There is no fee for amending the permit or for issuing a duplicate permit.
 
Cancellation of permit
The Law of Ukraine "On Employment of the Population" is amended with a provision according to which the employer will be monitored for payment of the unified social security tax. In case of non-payment of the unified social contribution within two months from the date of conclusion of the employment agreement (contract) with a foreigner, the work permit will be canceled.