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Publication date: 17.05.2024
PARLIAMENT IMPROVED THE LEGAL PROTECTION OF EMPLOYEES IN THE EVENT OF A CHANGE OF THE COMPANY OWNER
The Verkhovna Rada of Ukraine adopted the Law of Ukraine "On Amendments to the Code of Labor Laws of Ukraine regarding labor relations upon transfer of a business entity" (draft law No. 8244). This was reported by the press service of the Apparatus of the Verkhovna Rada of Ukraine.
This European integration law brought the national labor legislation into line with the provisions of Council Directive No. 2001/23/EC dated 12.03.2001 on the approximation of the laws of the member states concerning the protection of the rights of employees in the event of the transfer of enterprises, business structures or parts of enterprises or business structures regarding the establishment of obligations the employer's obligation to inform employees about the change in the owner of the enterprise.
Ukraine informed the Council of Europe
on partial withdrawal from obligations
according to the Convention on the Protection of Human Rights
and fundamental freedoms in communication
with the introduction of martial law
By its decision, the Verkhovna Rada of Ukraine established that the rights and obligations under existing employment contracts between employees and the employer are preserved during the transfer of the business to another owner. At the same time, the status and functions of the electoral body of the primary trade union organization (employee representative) will also be preserved.Moreover, the alienator and the acquirer of the business are obliged to inform the elected body of the primary trade union organization (trade union representative), representative of employees or employees in writing or by means of technical means of electronic communications no later than 10 working days before the transfer of the business entity:
the date or estimated date of transfer of the business entity;
the reasons for the transfer of the business entity;
legal, economic and social consequences of the transfer of the business entity for employees;
any measures provided for employees.
Within five working days from the date of receipt of the above information, the trade union or employee representatives will be able to initiate consultations with the alienator and/or acquirer of the enterprise regarding:
the reasons for making the decision to transfer the business entity;
legal, economic and social consequences for employees;
as well as measures that are planned to be implemented to avoid or mitigate the relevant consequences.
Such consultations can be held within five working days from the day of their initiation. Based on the results of their implementation, a protocol or other document is drawn up as agreed by the parties.You may be interested in the following articles: lawyer consultation, lawyer consultation, analysis of documents, legal analysis of the situation, written consultation, verification of documents by a lawyer, lawyers, documents, lawyer's assistance online, lawyer online, legal opinion, legal opinion of a lawyer, lawyer online
Adoption of the Law of Ukraine "On Amending the Code of Labor Laws of Ukraine" (draft law No. 8244) is an important step in the implementation of European standards in national legislation. This law resolves the issue of labor relations during the transfer of a business entity and brings Ukrainian legislation closer to the provisions of the EU Council Directive. In particular, it establishes the employer's obligation to inform employees about the change in the owner of the enterprise and the preservation of rights and obligations under employment contracts.
This law also ensures transparency and a democratic approach in relations between employers and employees. It provides for mandatory consultations between the alienator and the acquirer of the enterprise with representatives of employees regarding the reasons for the transfer of the business entity and its consequences for employees. These consultations will help avoid negative consequences for employees and promote constructive dialogue between all parties.
In general, the adoption of this law is an important step in ensuring the protection of workers' rights and the implementation of European standards in the Ukrainian labor system. This will contribute to the improvement of working conditions and contribute to the stability of the labor market in Ukraine.
