Publication date: 04.06.2024
lawyer, 23 years of experience in enforcement.
Labor changes 2024: the latest innovations of the Labor Code.
Today, the country is going through difficult moments in its history. Despite the country's full-scale aggression by Russia, new laws are still being implemented and the country continues to reform. On May 15, the Law of Ukraine "On Amendments to the Code of Labor Laws of Ukraine on Legal Succession in Labor Relations" entered into force. I intend to discuss the main points of this regulatory act.
A final concept of "transfer of business entity" was added, which was specifically intended as a part of the Commercial Code that specifically addresses the change of ownership of an organization, institution, or individual. It is also considered a form of economic activity, the commercial code specifically refers to the transfer of ownership to an organization, institution or individual. As a result, a simple change of the physical or legal person who manages the enterprise does not affect the labor relations. However, this has happened before. However, the reorganization and the "organized collective of resources" are already intriguing novels. Essentially, if the company is transferred to a new legal entity that is separate from the current one, or if the production facilities of the company are transferred to someone else, the relationship between the employees and the company must be preserved.
Many of the issues here are debatable, and the future of law enforcement will likely depend on how they are developed, but the novel is intriguing.
This legislation arose out of a growing concern for the protection of workers in companies, as well as maintaining a constant relationship with owners. When we talk about safety, we mean the creation of stable and reliable working conditions when the ownership of the company is transferred to another party. In addition, the law also attempts to protect company employees through direct and collective communication with the union.
Thus, among the main norms of the recently adopted Law, the following should be noted:
- new terms such as "transferor", "acquirer" and "transfer of business ownership" have been included in the dictionary, as well as definitions of these terms.
- Another area of attention is the creation and regulation of the official succession procedure in labor relations.
- During the transfer of the enterprise to the new owner (acquirer), all aspects of labor relations between the employees and the previous owner (alienator) are transferred.
- After the transfer of the enterprise to the new owner, all the necessary conditions for cooperation and the main trade union function of the body are preserved. As a result, the buyer is obliged to follow the same rules that existed before the transfer of the business.
- In addition, within 10 days from the moment of the transfer of the enterprise to the new owner, the alienator and the acquirer are obliged to inform the elected body of the primary trade union organization about the date of the transfer, the reasons for such a decision, and the legal consequences. process regarding the company's employees, as well as any action that will be taken against the employees.
- After the transfer of the enterprise to the new owner, any changes in the working conditions of the employees must be reported within the next two months.
- If the employee was dismissed due to a change in the terms of the contract, then all responsibility for terminating the contract with this employee rests with the employer.
On April 25, the Verkhovna Rada of Ukraine adopted draft law No. 7731 amending the Labor Code of Ukraine. These changes are aimed at providing employers with additional grounds for terminating an employment contract.
According to the regulatory act, which will enter into force three months after its publication, an employment contract with an employee can be terminated on the following grounds:
- Improper behavior or non-fulfillment of duties assigned to the company. These provisions are set out in part two of Article 142 of the Criminal Code.
In cases where the guilt of committing a crime against the foundations of the national security of Ukraine has been proven in court, exemption from serving a sentence with probation may be granted.
The new legislative act will also amend the second part of Article 142 of the Criminal Code. These amendments relate to guidelines for internal conduct within a company or enterprise. In other words, the Law establishes formal rules for communication with employees, which include the following conditions:
- In cases where the organization has confidential information, in particular data that has significant value from the point of view of national defense, economic security or protection of critical infrastructure, employees must sign a non-disclosure agreement.
- It is mandatory for employees to disclose any ties or connections with persons who permanently reside in the territory of the aggressor state or the temporarily occupied region of Ukraine.
Draft Law No. 7731 was developed with the aim of establishing guidelines for the behavior of enterprises that are of significant importance for the national or economic security of Ukraine, as defined by the legislator. In particular, a particular emphasis was placed on critical infrastructure facilities and operators, with increased attention paid to the well-being and actions of their employees.
Summarizing, it is obvious that the changes to the Code of Labor Laws of Ukraine solve modern problems. Considering the conflict that has been going on in our country for more than two years, the importance of preserving labor relations at vital enterprises needs no further explanation. Hence, changing circumstances call for these changes, even if some may argue that they are somewhat overdue.
The topic of communication between employees and new owners during business transfers has been widely discussed in the past. Recent changes to the Labor Code of Ukraine aim to simplify this process and make it easier for both employees and new owners. It is very important that employees have transparent and reliable working conditions, as this is essential for the success and efficiency of the new enterprise.
The proposed modifications seem attractive, although only time will show their true effectiveness. It is important to recognize the significant changes in labor relations within the framework of military legislation, but this topic requires its own comprehensive analysis and is currently in the stage of clarification.
Legal service "Consultant" will provide professional legal services for business. Lawyers and lawyers will provide qualified legal support to the business, and will help prepare the legal entity for incorporation, as well as provide assistance in contract preparation or contract for incorporation, preparation of a claim to a debtor, counterparty verification, conduct a counterparty check, etc.
