Salary payments during martial law in Ukraine and the military draft

Until recently, the employer had to retain the workplace, position and average salary for mobilized workers and territorial defenders during martial law and until the end of the special period or the dismissal of the employee from military service. However, Law № 2352 from 01.07.2022 now came into force, which amended the labor law.
Law №2352 came into force on July 19, 2022, and amended Art. 119 part 3 of the Labor Code of Ukraine. The requirement to retain the average salary for mobilized workers has been removed from the Labor Code of Ukraine. This means, that from July 19, 2022, the employer must retain only the workplace and position for the employee, not the salary.
To calculate the average earnings of a mobilized worker for July, only the days before July 19 should be taken into account. These are the days from July 1 to July 19.
If the amount of average salary for July is less than the minimum wage, it is necessary to make additional payment of the single social fee into the minimum insurance contribution.
The amount of minimum wage in 2022 is 6500 UAH, and the minimum amount of the single social fee is 1430 UAH (6500*22%).

We would also remind you that according to the Final provisions of the Law of Ukraine «On collection and accounting of the single fee for obligatory state social insurance», dated 08.07.2010, during the martial law, employers, single tax payers, including a special 2% rate, have the right not to pay the single social fee for employees mobilized into the Armed Forces of Ukraine. However, if you decide not to pay the unified social contribution, you must still calculate the amount of the unified social contribution in the Unified Report.
Starting from August 2022, it is not necessary to pay unified social contribution for the mobilized employees and report it in the Unified Report, as there will be no basis for accrual.

The employee must independently notify the employer about the change of the territorial defender contract to the contract service in the army of Ukraine. From the moment of signing a contract with the Armed Forces of Ukraine, the average salary of the employee does not need to be accrued.
At the time of this article, deputies are proposing to resume paying average salaries to mobilized workers. So if there will be any further changes, we'll let you know.