Employer of Record in Ukraine
Ukraine is known for its stringent labor laws that come with many complexities, causing much confusion for foreign employers. When considering Ukraine as part of your future growth plans, consider hiring an Employer of Record in Ukraine.
Skuad's Ukraine EOR solutions are tailor-made for your expansion needs. Skuad takes care of all the administrative, payroll, hiring, onboarding, and other employment procedures so that you can kick start your business goals as planned and achieve them without any delays. To know more about Skuad solutions, talk to us today!
Ukraine at a Glance
Estimated Population: 44.39 million (2019)
Currency: Ukrainian Hryvnia (UAH)
Languages used: Ukrainian and Russian
GDP: 153.8 billion USD (2019)
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Employment in Ukraine
Process delays may hinder your expansion journey into Ukraine until you choose to work with a dynamic EOR Ukraine solution. Skuad is just what you need. It lives up to your expectations and goes the extra mile to make your expansion journey swift and smooth.
What You Must Know Before Employing in Ukraine
As per the Ukrainian employment laws, every Ukrainian employee needs to possess a labor book, a synopsis of the employee's employment history. The first Employer issues the book, and new employers need to update the same mandatorily. The book consists of heads like the start of employment, termination, professional development, workplace changes, and more.
For all workers in Ukraine, including local and foreign employees, the Ukraine labor laws govern the terms of employment, and all disputes are subject to Ukrainian jurisdiction. The Ukrainian law is the same for both national and foreign workforce, unless:
- The applicable law is subject to international treaties.
- Foreign employers had assigned them to work in Ukraine.
- The employees work at a foreign diplomatic mission or Embassy.
Contractors Vs. Full-time Employees
In Ukraine, there are two types of acceptable employments:
Contractors are defined as solo or private entrepreneurs who work on a schedule and are responsible for their taxation and accounting. On the other hand, employees are employed by a company through an employment contract in Ukraine or an employment agreement in Ukraine.
The Employer handles the taxes and the accounting-related aspects in the case of employees and the social security contributions. Employees and their employment terms fall under the purview of employment laws in Ukraine. In case of worker misclassification, employers are liable to be fined and penalized as per the employment contract law in Ukraine.
As per the laws in Ukraine, the two forms of employment include:
- Either a labor agreement or a labor contract
- A civil contract for contractors.
Understanding the entire landscape of employment terms and contractual terms in Ukraine can be complex. With the help of Skuad's dynamic EOR services, you can circumvent all of that and get started with your business in Ukraine. Talk to a Skuad expert to know more details.
Hiring in Ukraine
Foreign companies can hire international personnel and local workforce with the help of a Ukrainian subsidiary or their representative office in Ukraine. Since similar labor laws apply to foreigners and locals, both types of employees enjoy the benefits and protections.
Some of the resources you can use to employ local employees in Ukraine include work.ua, glassdoor.com, jooble.com.ua, jobs.ua, rabota.ria.ua, Career Jet, and Learn 4 Good.
To hire employees in Ukraine, you need to begin the hiring process by creating job descriptions and then using the potential of leading hiring companies in Ukraine to shortlist candidates. The shortlisted candidates can be emailed, virtual interviews held, and the final candidates get selected for the job. The onboarding process needs to start with the offer of the employment contract or agreement and the terms of employment negotiated with the candidate.
By working with an Employer of Record in Ukraine like Skuad, you can be assured that the EOR completes every last aspect of hiring and onboarding employees. From searching for suitable talent to drawing the labor contracts and working out employee health benefits in Ukraine, our robust solution helps your expansion plans comprehensively. To know more about Skuad’s features and value-added services, get in touch with us today.
Probation and Termination
Employer of Record in Ukraine is a solution that entails minimum stress and hassle from your end. Skuad is a crucial player in the Employer of Record EOR niche in Ukraine.
One of the biggest Skuad as an EOR solution provider is the cost-effective solution that keeps the business costs low and empowers your business with a unique competitive advantage.
Skuad is one of the prominent employers of record companies in Ukraine. It handholds the business/firm to hire the best local talent in Ukraine, take care of the HR admin jobs at the backend, onboard the employees, and ensure compliance with the Ukrainian Labor Laws. On a month-on-month basis, it takes care of the employee payroll and salaries, taxes, and benefits, all using one centralized solution.
Skuad's efficient employer of record services specializes in understanding client requirements and offering custom-made EOR solutions that suit business objections and expansion goals.
Our self-service platform can become your stepping stone to success in no time by ensuring top-notch services that include data compliance, 24x7 support, industry-best hire-to-retire services, and more. Keen to know more? Speak to us today.
Types Of Visas In Ukraine
Besides understanding the different types of work permits in Ukraine, it’s essential to understand that the Employer has to apply for a work permit. The other challenge is that there is no online filing system for Ukrainian work permits for foreigners – it means that a company’s representative needs to physically visit the State Employment Service of Ukraine and submit the work permit application and the documents.
The work permit is issued for the term mentioned in the employment contract and can be renewed multiple times. It usually takes seven days for the application to get processed. Once approved, the bank details are sent to you for payment of the work permit fee. Your employee needs to carry a certified copy of the work permit when traveling to Ukraine. Remember, it is not possible to apply for a Ukraine work permit without a job offer.
Speak to Skuad experts to understand better about work visas and permits in Ukraine.
Payroll & Taxes in Ukraine
- The Ukraine Employer payroll taxes include contributions up to 22% of the employee's salary to the Unified Social Tax. This segment covers different benefits and social security extended to the employee. The employee needs to pay about 0.6% as an unemployment benefit.
Ukraine Payroll Tax Rate
The tax reporting year is the same as the financial year. The corporate tax returns need to be submitted every quarter.
By choosing to go ahead with an EOR, payroll outsourcing in Ukraine is handled by experts at Skuad, helping you to remain focused on your expansion plans. To know more, speak to our experts today.
In Ukraine, both contractual and discretionary bonuses are frequent.
Setting up a business in Ukraine can be challenging because of bureaucratic problems and frequent changes in labor-related legislation. That is why it is good to use the services of well-versed local regulations and resources to enable easy workflow in Ukraine.
Since it is a growing economy, there are a lot of business opportunities in Ukraine. One way to expand your business is by incorporating a holding company in Ukraine. The limited liability company or TOV model is the most common model used to establish a company in Ukraine.
Connect with Skuad experts to learn more about incorporation in Ukraine.
Professional Employer Organization (PEO)
PEOs and EORs have similar profiles, and it is pretty easy to confuse one from the other. However, there are quite a few differences between the two entities and how they operate.
A professional employer organization in Ukraine works as a co-employer with you in control of the entire hiring, onboarding, and termination process. It means that you need to have trained people with the know-how of local regulations to oversee the functioning of PEOs.
EORs work independently – they understand your requirements and hire people on their payroll to work for your organization. A single-point billing with the EOR takes care of your responsibilities – the rest, including paying salaries to employees, taxation and returns, social benefit contributions, etc., is the responsibility of the Employer of Record in Ukraine.
Skuad's proven excellence as a Professional Employer Organization (PEO) and EOR help support your organizational growth.
Hiring a remote team in Ukraine can meaningfully contribute to the success of your business. Hence, you need to make the decisions that help strengthen your company and its expansion plans. Managing the expansion, on the one hand, and the local workforce and ensuring compliance with Ukrainian labor laws, on the other, can be cumbersome and time-consuming. That's where Skuad's EOR and PEO solutions can play an active role in supporting your business growth, through and through.
To learn more about Skuad's solutions, please get in touch with us today.