Employee transfer, promotion, incentives, and work book entries: what the employer needs to know

The issue of employee transfer today cannot be viewed solely through the lens of a paper work book. Records of labor activity in Ukraine are maintained in electronic form in the Register of Insured Persons. The paper work book has not disappeared completely, but the employer makes entries in it at the employee's request if the book is kept by the employee. For those being hired for the first time, a paper work book is issued only at the employee's request and no later than five days after hiring. Information for creating electronic work books is submitted via the web portal of electronic services of the Pension Fund of Ukraine. (Law of Ukraine)

For the employer, this means two things. First, personnel documents — applications, medical reports, submissions, orders, employee notifications — remain mandatory, as they confirm the legality of the transfer, changes in working conditions, or incentives. Second, the paper work book is no longer the only place where labor history is recorded, but if an employee requests an entry, the employer is obliged to do so according to the current rules for maintaining work books. After submitting the missing information to the electronic register, existing paper work books must be returned to employees against a signature; if an employee is dismissed before this procedure is completed, they must be issued a properly formatted work book on the day of dismissal. (Law of Ukraine)

When it is a Transfer, and When it is Not

Not every personnel change is a transfer. Transfer to another job at the same enterprise, transfer to another enterprise, or to another locality along with the enterprise is permitted only with the employee's consent. Conversely, moving to another workplace, to another structural unit in the same locality, or assignment to work on a different mechanism or equipment is not considered a transfer and does not require the employee's consent — but only within the same specialty, qualification, or position defined by the employment contract. The employer does not have the right to move an employee to a job that is contraindicated for them due to their state of health. (Law of Ukraine)

A separate situation is a change in essential working conditions. If an employee continues to work in the same specialty, qualification, or position, but the system or amount of remuneration, benefits, work schedule, part-time work, combination of professions, grades, job titles, or other essential conditions change, this is not a transfer to another job. Under general rules, the employee must be notified of such changes no later than two months in advance. During the period of martial law, this rule regarding two-month notice does not apply. If the former essential working conditions cannot be maintained and the employee does not agree to continue working, the employment contract may be terminated under paragraph 6 of Article 36 of the Labor Code. (Law of Ukraine)

When an Entry in the Paper Work Book is Necessary

For the paper work book, the key rule is as follows: information regarding work, transfer to another permanent job, and dismissal is entered into it. The word "permanent" is fundamental here. This means that temporary transfers themselves are not the types of changes that need to be recorded in the paper work book as a regular work entry. (Law of Ukraine)

Therefore, if an employee is transferred to a higher position on a permanent basis, if their labor function is changed permanently, or if they are transferred to another permanent lower-paid or equivalent job, such an entry is made in the paper work book at the employee's request. However, if it concerns only the temporary performance of other work, temporary transfer during downtime, or temporary replacement of an absent employee, there are no grounds for an entry regarding a permanent transfer. (Law of Ukraine)

How to Properly Formalize a Permanent Transfer or Promotion

A permanent transfer or promotion is formalized not by an entry in the work book, but primarily by a personnel decision. A legal basis is required: an employee's application, written consent to the employer's proposal, a medical report, a decision on transfer by agreement between employers, or another document provided by law. After this, an order (instruction) from the employer is issued. Only after the issuance of the order is it permissible to make an entry in the paper work book, and this entry must exactly correspond to the text of the order. (Law of Ukraine)

The entry in the work book cannot be arbitrary. Instruction No. 58 requires it to be entered after the issuance of the order, within a week's time, and in the case of dismissal — on the day of dismissal. In column 3 of the "Work Details" section, the full name of the enterprise is indicated as a header, followed by the sequence number of the entry, the date, the essence of the personnel action, and the details of the order. Abbreviations and wordings not present in the order should be avoided. (Law of Ukraine)

An employee's promotion is not a separate "privileged" procedure. If the position changes, it is a transfer to another permanent job; therefore, the employee's consent and proper documentation are required. In the paper work book, at the employee's request, the entry is made as a transfer to the corresponding position. (Law of Ukraine)

Special Cases of Transfer

Temporary transfer to another job not stipulated by the employment contract

As a general rule, temporary transfer to another job not stipulated by the employment contract is permitted only with the employee's consent. The exception is a period of up to one month without the employee's consent if the work is not contraindicated by their state of health and is necessary to prevent or eliminate the consequences of natural disasters, epidemics, epizootics, industrial accidents, or other circumstances that threaten or may threaten the life or normal living conditions of people. In such cases, remuneration must not be lower than the average earnings from the previous job. At the same time, pregnant women, women who have a child with a disability or a child under the age of six, as well as persons under 18, cannot be transferred without their consent in such cases. (Law of Ukraine)

Temporary transfer in case of downtime

Downtime is a suspension of work due to the lack of organizational or technical conditions, force majeure, or other circumstances. In the event of downtime, an employee can be transferred to another job only with their consent, taking into account their specialty and qualifications: at the same enterprise — for the entire duration of the downtime; to another enterprise in the same locality — for a period of up to one month. This is also not a case where an entry regarding a permanent transfer is made in the paper work book. (Law of Ukraine)

Transfer to lighter work for health reasons

If an employee requires lighter work due to their state of health, the employer must transfer them with the employee's consent in accordance with a medical report — temporarily or without a time limit. If such lighter work is lower-paid, the employee's previous average earnings are maintained for two weeks from the day of transfer, and in cases provided by law — for the entire duration of the lower-paid work, or material support is provided under mandatory state social insurance. If it concerns a permanent transfer to lighter work, an entry is made in the paper work book at the employee's request as a transfer to another permanent job. (Law of Ukraine)

Pregnant women and women with children under the age of three

Pregnant women, based on a medical report, have their production or service quotas reduced, or they are transferred to lighter work that excludes the influence of unfavorable production factors, while maintaining their average earnings from the previous job. If such work cannot be provided immediately, the pregnant woman is released from work with maintenance of average earnings for all missed working days at the employer's expense. Women with children under the age of three, if they cannot perform their previous work, are transferred to another job with maintenance of average earnings until the child reaches the age of three. (Law of Ukraine)

Transfer to another enterprise

The transfer of an employee to another enterprise with their consent is a ground for terminating the employment contract under paragraph 5 of Article 36 of the Labor Code. In this case, a person invited to work by way of transfer from another enterprise by agreement between the managers cannot be refused the conclusion of an employment contract. For business, this means that the transfer between two employers must be coordinated and documented by both parties. (Law of Ukraine)

What to do with Remuneration during Transfer

If an employee is transferred to another permanent lower-paid job, their previous average earnings are maintained for two weeks from the day of transfer. If it is not a transfer but a movement within the scope of Article 32 of the Labor Code, and the earnings decrease due to such movement for reasons beyond the employee's control, a top-up to the previous average earnings is provided to the employee for two months. (Law of Ukraine)

Incentives and Awards: What is entered into the Work Book

The Labor Code stipulates that incentives for employees are announced by order or instruction. If the paper work book is kept by the employee, then at their request, such information is entered into it. This rule is equally important for both incentives and awards if they meet the requirements of Instruction No. 58. (Law of Ukraine)

Instruction No. 58 distinguishes between two sections: "Information on Awards" and "Information on Incentives." The "Information on Awards" section includes details about being awarded state awards of Ukraine and distinctions of Ukraine. Entries on incentives include information about incentives for success in work and other incentives in accordance with the current legislation of Ukraine. Bonuses provided for by the wage system or those of a regular nature are not entered into the work book. (Law of Ukraine)

In practice, this means the following. A one-time commendation, a certificate of honor, a one-time distinction, a state award, or another individual act of incentive can be entered into the paper work book at the employee's request. Monthly, quarterly, or other regular bonuses paid according to the remuneration system are not recorded in the work book. Any entry regarding an incentive or award is also made on the basis of an employer's order or another document that serves as the legal basis for making the entry. (Law of Ukraine)

What Employers Should Pay Special Attention To

The most common mistake is confusing transfer, movement, and changes in essential working conditions. If an employer changes the labor function, nature of work, or functional duties of an employee, they are effectively moving beyond a simple "movement." In such a situation, it is safer to formalize the changes as a transfer with the employee's consent rather than trying to present it as an internal movement. (Law of Ukraine)

The second typical mistake is entering everything into the paper work book. The law does not require this. Only the entries provided for by law and its maintenance rules are made: hiring, transfer to another permanent job, dismissal, appropriate incentives, and awards. Temporary transfers, regular bonuses, and disciplinary sanctions are not the types of entries that should be recorded as a standard labor history. (Law of Ukraine)

The third mistake is perceiving the electronic format as a reason not to formalize paper and internal personnel documents. Electronic labor activity tracking does not cancel the need for a properly formatted order, employee consent, notification of changes in essential working conditions, medical reports, or documents on incentives. It is these documents that protect the employer in the event of a dispute, audit, or court hearing. (Law of Ukraine)

Liability for Violation of Rules

The head of the enterprise is responsible for the organization of maintenance, accounting, storage, and issuance of work books. Cabinet of Ministers Resolution No. 301 explicitly provides that for violation of the established procedure for maintaining, accounting, storing, and issuing work books, officials bear disciplinary, and in cases provided by law, other liability. (Law of Ukraine)

In addition, violations of labor law requirements may lead to financial sanctions under Article 265 of the Labor Code. For "other violations of labor legislation requirements," which may include violations of personnel documentation, a fine of one minimum wage is provided for each violation, and for a repeated violation within a year — twice the amount of the minimum wage. Simultaneously, Article 41 of the Code of Administrative Offenses provides for an administrative fine for officials of enterprises and individual entrepreneurs for other violations of labor law requirements — from thirty to one hundred non-taxable minimum incomes of citizens. State supervision and control over compliance with labor legislation are carried out by the central executive body that implements state policy on these issues and its territorial bodies. (Law of Ukraine)

Separately, a special rule of martial law should be considered: during the period of martial law, if the employer fully and within the established timeframe complies with the instruction to eliminate violations detected during an unscheduled state supervision event, fines under Article 265 of the Labor Code are not applied. This does not cancel the obligation to eliminate the violation but affects the financial consequences of the audit. (Law of Ukraine)

Case Law Example

A digest of Supreme Court practice in labor disputes includes a conclusion that a change in labor function, the nature of work, and the functional duties of an employee constitutes a transfer, not a movement. For the employer, this is a practical guide: if not just the workplace but the work performed by the employee changes, it is risky to formalize such actions as "movement" without the employee's consent. In the event of a dispute, a court may recognize this as an illegal transfer. (Supreme Court of Ukraine)

Official Sources

Labor Code of Ukraine, № 322-VIII: Articles 24, 32–34, 36, 48, 114, 144, 170, 178, 259, 265. (Law of Ukraine)

Law of Ukraine dated 05.02.2021 № 1217-IX "On Amendments to Certain Legislative Acts of Ukraine Regarding the Accounting of Employee Labor Activity in Electronic Form": provisions on electronic labor activity accounting, issuance of paper work books at the employee's request, making entries in paper books at request, the five-year transition, and returning paper books to employees. (Law of Ukraine)

Instruction on the procedure for maintaining work books of employees, approved by the order of the Ministry of Labor, Ministry of Justice, and Ministry of Social Protection dated 29.07.1993 № 58: paragraphs on making entries regarding transfer to another permanent job, deadlines for making entries, formatting sections on incentives and awards, and non-entry of regular bonuses. (Law of Ukraine)

Resolution of the Cabinet of Ministers of Ukraine dated 27.04.1993 № 301 "On work books of employees": rules regarding work books and liability for violation of the procedure for their maintenance, accounting, storage, and issuance. (Law of Ukraine)

Resolution of the Pension Fund of Ukraine dated 01.06.2022 № 8-3 "On the procedure and sequence of submitting information for creating electronic work books": the procedure for submitting information via the PFU electronic services web portal. (Law of Ukraine)

Code of Ukraine on Administrative Offenses, № 8073-X: Article 41 regarding administrative liability for violation of labor law requirements. (Law of Ukraine)

Publication of the Supreme Court "OVERVIEW of the case law of the Civil Cassation Court within the Supreme Court" regarding labor disputes: conclusion that a change in labor function, nature of work, and functional duties of an employee is a transfer, not a movement. (Supreme Court of Ukraine)