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INTRODUCTION OF ELECTRONIC EMPLOYMENT RECORD BOOKS

On February 15, 2021 the Verkhovna Rada of Ukraine submitted to the President for signature the Law of Ukraine “On Amendments to Certain Legislative Acts of Ukraine Concerning the Accounting of Employee's Labor Activity in Electronic Form” (Bill 3623), which provides for the introduction of employment record books in electronic form.

The main innovations are as follows:

- introduction of the labor experience accounting in electronic form (register of insured persons, which will be kept by the Pension Fund of Ukraine);

- retirement pension will be assigned automatically on the basis of information in the electronic employment record book (register);

- the possibility for the insured person or employer to add documents missing in the register through a personal electronic account on the web portal of electronic services of the Pension Fund of Ukraine. In particular, it can be a scanned copy of a paper employment record book;

- there is a 5-year transition period to form a register and fill it with the necessary information, after which paper employment record books will be handed over to employees personally against signature, regardless of further employment with the employer;

- paper employment record books remain valid. The employer will continue to make appropriate entries in it at the request of the employee. When calculating labor experience these data will be taken into account;

- the main source of data on insurance period will be the information in the electronic register, and a paper employment record book will be used for the labor experience prior to implementation of electronic register and introduction of personalized accounting;

- upon dismissal, the employer at the request of the dismissed employee will make the necessary entries in the paper employment record book even after the end of the transition period.

At the present time it is already possible to download a scanned copy of a paper electronic book through a personal electronic account on the web portal of electronic services of the Pension Fund of Ukraine, as well as an "Electronic Pension Calculator" is available. Identification requires a qualified electronic signature, which can be generated, in particular, through Internet banking systems.

The Law enters into force three months after its promulgation, approximately in late May or early June 2021.

Kyrylo Kazak

Partner

KPD Consulting

 

 

 

Should you have any questions with respect to above or require any additional information, please do not hesitate to contact Mr. Kyrylo Kazak (k.kazak@kpdconsulting.com.ua). We will be pleased to assist You. The information contained in this overview is not intended to provide legal advice and should not be relied on or treated as a substitute for specific advice concerning individual situations.

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