The government has amended the rules for employee deferrals and the criteria for critically important enterprises, introducing new conditions for businesses.
Employee deferrals / © TSN
In Ukraine, approaches to deferring conscripts and defining critically important enterprises have been altered. The deferral system will be maintained, and the updates are intended to make it clearer, more transparent, and better protected against abuse.
This is stated in a message from the Ministry of Economy of Ukraine.
Following the decision, businesses have raised several questions regarding the continued validity of already processed deferrals, the necessity of reconfirming criticality, and the application of new salary level requirements. The government has issued clarifications on the key provisions of the updated procedure.
Salary Becomes a Key Criterion
One of the most notable changes is the introduction of an updated salary criterion. Henceforth, enterprises seeking critically important status, as well as employees intended for deferral, must meet defined requirements regarding remuneration levels.
For most enterprises, the minimum threshold has been set at three minimum wages. Currently, this amounts to 25,941 UAH. For businesses operating in frontline territories, separate conditions are provided. In such cases, it is sufficient to ensure a salary level not below 2.5 minimum wages, which is 21,618 UAH.
At the same time, the employee’s accrued average salary will be considered. In other words, it refers to the amount before deductions for taxes and other mandatory payments. However, the new requirements do not apply to state and municipal enterprises. For them, the procedure for assessing criticality concerning average salary remains unchanged.
Concurrent Employees Will No Longer Increase Deferral Quotas
Another significant change concerns individuals employed by multiple enterprises. Previously, employers could include such employees in their calculations when determining the number of conscripts to be deferred. This led to the same person effectively influencing the formation of deferral quotas in several companies simultaneously.
This mechanism is now changing. An employee with multiple workplaces or who already benefits from deferral on other legal grounds can only be accounted for once. This means that one individual cannot simultaneously increase the quota for multiple employers.
However, the legislation does not mandate that deferral must be exclusively based on the primary place of employment. If an enterprise includes an employee in its deferral quota, it has the right to process deferral for them even if they are employed concurrently.
The main condition remains unchanged – a conscript can only be accounted for by one employer.
Enterprises Will Need to Reconfirm Criticality
The updates also affect the mechanism for identifying critically important enterprises. After the government’s decision takes effect, ministries, central executive bodies, and regional military administrations must review their own criticality criteria. New approaches must be agreed upon with the Ministry of Defense and the Ministry of Economy.
Only after this process is completed will enterprises be able to undergo reconfirmation of their status.
Essentially, businesses will have to re-demonstrate compliance with the established requirements. This will involve submitting a defined set of documents and obtaining a decision from the relevant state body under the updated rules.
Transitional Period: What Happens to Existing Deferrals
The government emphasizes that the changes will not be instantaneous. A special transitional period is provided for enterprises to adapt.
All decisions recognizing enterprises as critically important that remained valid as of June 2, 2026, will continue to be effective until the end of their established term. However, the maximum duration of such validity is limited to September 1, 2026.
A similar approach applies to already processed deferrals. Employees with valid deferrals do not automatically lose them due to the rule changes. Thus, until the end of the transitional period, both the status of critically important enterprises and the deferrals of conscripted employees processed earlier will be maintained.
How Long Will Document Review Take
One of the most sensitive issues for businesses remains the speed of decision-making by state bodies. The Cabinet of Ministers assures that the procedure for reviewing applications should be completed within specified timelines. Upon receiving the documents, the relevant authority must make a decision no later than ten working days.
At the same time, officials draw attention to the need to submit a complete set of documents and accurate information. Incomplete or improperly completed materials can cause delays in the review process.
The government has also announced coordination between state structures to avoid overload due to mass applications from enterprises during the reconfirmation of criticality status.
What Employees Need to Know
For employees of critically important enterprises, the new rules do not require them to independently contact state bodies or submit additional documents.
However, employees are advised to keep their military registration data up-to-date and to promptly clarify their status with their employer.
It is also advisable to inquire in advance whether the enterprise plans to undergo the criticality reconfirmation procedure and whether their deferral will be maintained after the transitional period ends.
Steps Employers Must Take
Enterprises aiming to retain critically important status are advised not to postpone preparations for the updated requirements.
First and foremost, it is necessary to verify compliance with future criteria, analyze the staff, review the list of employees eligible for deferral, and separately assess the situation with concurrent employees.
Furthermore, employers should conduct an audit of the average salary level within the enterprise and ensure that employees intended for deferral meet the established financial indicators.
After the updated criteria are approved by the relevant authorities, enterprises will need to prepare and submit documents for criticality reconfirmation.
A video can be viewed on the TSN YouTube channel at this link: THE CABINET OF MINISTERS HAS CHANGED EVERYTHING: new DEFERRAL rules that shock businesses
Where to Find New Criteria
The final requirements for enterprises will be formulated at the level of sectoral ministries, central executive bodies, and regional military administrations.
These bodies, after coordinating with the Ministry of Defense and the Ministry of Economy, will publish the updated criteria for relevant sectors and regions.
Therefore, businesses are advised to monitor official announcements from the authorities responsible for determining criticality in their specific field of activity.
What Changes for Sole Proprietors
For individual entrepreneurs (FOPs), the new regulations do not introduce any changes. Current legislation, particularly the Law of Ukraine “On Mobilization Training and Mobilization,” does not provide a mechanism for deferring FOPs.
Consequently, after the government’s decision, the procedure for this category of business entities remains the same as before.
Mobilization in Ukraine – Latest News
In Ukraine, the Cabinet of Ministers has updated the rules for deferring conscripts and the criteria for identifying critically important enterprises. The main change is the tightening of requirements for businesses and the introduction of a link between deferral and official salary: an employee can be deferred if their income is not less than three minimum wages (or less for frontline regions).
Additionally, enterprises applying in July for obtaining or confirming critically important status for personnel deferral must, based on June results, pay employees an average salary of at least three minimum wages, i.e., 25,941 UAH.
Furthermore, enterprises that already have critically important status will retain it until its expiry, but no later than September 1. In parallel, the state is reviewing the criteria for such companies: they must be updated by June 10, after which businesses can apply for confirmation or new status. New deferral decisions are planned to be made by August. If a company loses its status due to rule changes, it can reapply under the new requirements.
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Source: tsn.ua