Legislative Review

April 28 – May 02, 2025. Law on Information Exchange and Suspension of Employment Contracts has been adopted

The Cabinet of Ministers of Ukraine adopted Resolution No. 422 of April 11, 2025 "On Amendments to Certain Resolutions of the Cabinet of Ministers of Ukraine Regarding the Provision of Subsidies for Payment of the Cost or Part of the Cost of Lease (Rent) of Residential Premises (Parts of Residential Premises) and Compensation of Part of the Personal Income Tax or Single Tax and Military Fee", which improved the mechanism for providing subsidies for renting housing for internally displaced persons (IDPs).

This type of state support was introduced on January 29, 2025. It provides financial assistance to cover the costs of renting housing for those internally displaced persons who were forced to leave their homes.

The approved changes significantly expand the conditions for participation in the program. From now on, a larger number of internally displaced persons can take advantage of the housing rental subsidy.

The period of receiving the subsidy has been extended. If the IDP family retains the right to a housing subsidy, the payment is automatically extended every six months without the need to reapply. All necessary checks will be carried out by the Pension Fund of Ukraine according to state registers.

The formula for calculating the mandatory payment has been improved. It has been determined that IDP families whose rental expenses (within the established social norms) exceed 20% of the average monthly total family income are eligible for the subsidy.

The cost of renting housing in the region has been updated when calculating the subsidy. The housing rental subsidy will be calculated based on the updated average cost of housing rental, determined by the State Statistics Service of Ukraine for January 2025. This will allow taking into account the level of market prices and ensuring a larger subsidy.

The list of properties that can be rented has been expanded. It is possible to conclude a lease agreement not only for the entire residential premises (apartment, house), but also for part of the housing (for example, a separate room) with the corresponding right to receive a subsidy.

There are options for choosing the form of the lease contract. It is now permitted to use both your own lease agreement and the Model Agreement approved by the regulations. This ensures a balance of interests between the tenant and the landlord.

The possibility of renting housing from legal entities has been added. IDPs can enter into a lease agreement not only with individuals or individual entrepreneurs, but also with legal entities, which expands the accessibility of participation in the program.

The homeowner is given the right to refuse compensation. A mechanism has been introduced under which the homeowner has the right to voluntarily refuse to grant tax compensation or a portion thereof related to the provision of housing for rent to IDPs by submitting a corresponding application.

The Verkhovna Rada of Ukraine adopted as a basis the draft law "On Amendments to Certain Legislative Acts of Ukraine on Expanding Patients' Access to Medicines Subject to Procurement by a Person Authorized to Make Procurements in the Healthcare Sector by Concluding Managed Access Agreements" (Registration No. 13135).

It is aimed at increasing the efficiency and effectiveness of drug procurement using the Managed Access Contract (MAC) tool.

International experience confirms that MAC is the most effective procurement and legal tool for access to original (innovative) medicines. It allows the Ministry of Health to directly enter into negotiations with manufacturers and receive innovative medicines at significantly reduced prices. Seriously ill patients, in turn, have the opportunity to receive expensive treatment free of charge.

The purpose of the draft law is to further expand access of the Ukrainian population to original (innovative) medicines, optimize the costs of such purchases by introducing the principle of mixed financing, which involves attracting not only funds from the state budget, but also funds from local budgets, and funds from state and municipal healthcare institutions.

The Verkhovna Rada of Ukraine approved in the second reading and as a whole the Law of Ukraine "On Amendments to the Law of Ukraine "On the Organization of Labor Relations under Martial Law" regarding the exchange of information and suspension of the employment contract" (Registration No. 12255-1).

The purpose of the Law is to resolve issues related to the suspension of employment contracts faced by employees and employers due to martial law.

The law aims to address legal gaps and defines:

  • at the initiative of one of the parties, the maximum period for suspension of the employment contract is no more than 90 calendar days during martial law;
  • by agreement of the parties, the period of suspension of the employment contract may be extended for a period of more than 90 calendar days, but not longer than until the day of termination or cancellation of martial law;
  • obligation of the parties to the employment contract to constantly (including during the suspension of the employment contract) ensure the possibility of communication and immediately (within a period of no more than 10 calendar days) inform the other party about changes in their contact details (postal address, e-mail address (if available), telephone numbers);
  • grounds for termination and renewal of a suspended employment contract;
  • procedure for communicating with employees, the employer, and the employer – individual who is not an entrepreneur;
  • period of 14 calendar days for the employer to notify the employee of the need to start work;
  • right of the parties to a suspended employment contract to terminate such an employment contract on grounds specified by law.

In addition, it is established that an employee whose workplace is located in the territories of active hostilities and who is absent from work is not subject to dismissal on the basis of paragraph 4 of part one of Article 40 of the Labor Code of Ukraine, i.e. for "absenteeism."

The adopted Law will contribute to the creation of appropriate legal grounds and conditions for a gradual reduction in the number of suspended employment contracts.

The Verkhovna Rada of Ukraine approved draft law No. 12177-1 “On Amendments to Certain Laws of Ukraine Concerning Meeting the Population’s Transportation Needs in Conditions of Martial Law” on humanitarian “public transport.” It allows municipal enterprises to use public transport received as humanitarian aid for passenger transportation.

The initiative includes humanitarian assistance from both Ukrainian and international donors in the form of vehicles for passenger transportation.

Municipal enterprises - carriers of road or urban electric transport - can purchase humanitarian transport.

It is important that buses not lower than the Euro-3 environmental standard, trolleybuses, trams, electric buses, and subway cars can be recognized as humanitarian aid.

The issue of transferring the received vehicles to third parties is also regulated. In addition, the draft law defines the limits of the legal use of such assistance to prevent the risks of unfounded criminal and/or administrative liability.

Approval of the draft will allow the use of already received transportation and will ensure that communities will not refuse to continue receiving transportation from benefactors.

The Cabinet of Ministers of Ukraine adopted Resolution No. 487 of April 29, 2025 “Some Issues of Conducting Integrity Audits and Monitoring the Lifestyle of Customs Officials.”

This decision was another important step towards creating a transparent customs service, aimed at reducing corruption risks.

The adopted resolution, drafted by the Ministry of Finance, defines an objective and clear mechanism for conducting integrity checks and monitoring the lifestyle of customs officials.

The resolution, in particular, approved:

  • Procedure for conducting integrity checks and monitoring lifestyle of customs officials

According to this procedure, all customs officials are subject to integrity checks once every three years, as well as immediately upon receipt of information about possible factors of corruption offenses from state/local authorities, including law enforcement agencies.

The inspection is carried out by the authorized unit for the prevention and detection of corruption of the customs authorities.

In case of detection of signs of dishonesty, the relevant materials are sent to the special authorized body in the field of combating corruption to take the necessary measures within the scope of competence. The information contained in the specified materials is a mandatory basis for opening disciplinary proceedings against the customs official;

  • Procedure for submitting a declaration of integrity for customs officials

The procedure provides for the annual submission of such a declaration to the authorized unit for the prevention and detection of corruption of the customs authorities by April 1 of the current year or within 10 working days after appointment to the position. The document also contains a declaration form.

The adoption of the Government resolution will contribute to improving the efficiency of the State Customs Service and its territorial bodies.

The President of Ukraine signed Law of Ukraine No. 4339-IX of March 27, 2025 "On Amendments to the Labor Code of Ukraine to Improve Legal Regulation of Certain Issues of Work form Home and Remote Work."

The law provides legal certainty in the event of an employer's need to send employees who work from home or remotely on a business trip, if such a possibility is provided for in the employment contract for employees who work from home or remotely; creating favorable working conditions for parents whose children study remotely in secondary education institutions.

The Labor Code of Ukraine has been supplemented with provisions regarding the following cases:

  • sending emplloyees who work from home and remotely on business trips, if this is provided for by the employment contract;
  • transferring an employee to work from home or remotely, in connection with the distance learning of a child under 14 years of age, upon agreement with the employer.

The adopted law will contribute to the restoration of violated rights of those who work from home and remotely if it is necessary to send them on business trips; legal certainty for employers if it is necessary to such employees on business trips; creation of appropriate conditions for the work of parents, in the case of a child's distance education in secondary education institutions.

The Ministry of Digital Transformation of Ukraine has approved the Procedure for registration and reflection in accounting of business transactions related to the creation (modernization, modification, development), administration and ensuring the functioning of intangible assets by the Ministry of Digital Transformation of Ukraine and enterprises, institutions, and organizations falling under its management.

This Procedure determines the mechanism for documenting and reflecting in accounting business transactions related to the creation (modernization, modification, development), administration and ensuring the functioning of individual copyright objects as part of intangible assets, namely:

  • computer programs,
  • databases,
  • audiovisual works,
  • websites and other software products, their free transfer between the Ministry of Digital Transformation and enterprises, institutions, and organizations falling under its jurisdiction.

This Procedure applies to the Ministry of Digital Transformation and enterprises, institutions, and organizations that fall under its management and applies to intangible assets whose owner (holder) is the state represented by the Ministry of Digital Transformation, and whose technical administrator (administrator) is the enterprise.

This order also approved:

  1. Correspondence of accounting sub-accounts for the Ministry of Digital Transformation to reflect transactions related to the development, administration, and operation of intangible assets, as well as the free transfer of intangible assets between the Ministry of Digital Transformation and the enterprise;
  2. Correspondence of accounting sub-accounts for the enterprise to reflect transactions related to the development, administration and operation of intangible assets, as well as the free transfer of intangible assets between the Ministry of Digital Transformation and the enterprise;
  3. Report on the execution of the order (task) for the development of an intellectual property right object.
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