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In brief

On 27 September 2024, the Law of Ukraine “On Amendments to the Labor Code of Ukraine on Establishing Additional Grounds for Termination of Employment Agreements at the Initiative of the Employer and Certain Other Issues” No. 3768-IX dated 4 June 2024 (“Law“) (with certain exceptions) will come into force. The Law, among other things, details the rules applicable to internal labor regulations (“Employee Handbook“) and establishes new termination grounds.


Key changes

  • The Employee Handbook may include, among other things, rules on (a) employees’ nondisclosure obligations and (b) the terms of work with confidential information (“Information Rules“).
  • The Information Rules are obligatory for companies of strategic importance for the economy and security of the state and/or objects or operators of critical infrastructure.
  • A new termination ground at the employer’s initiative due to the employee’s failure to comply with the Information Rules has been introduced.

Recommendations

We recommend that employers in Ukraine take the abovementioned legislative changes into account in their business activities and supplement the Employee Handbook with the Information Rules to protect the company’s confidential information and to be able to rely on the new termination ground.

We want to thank Anna Stepanowa, Associate at BakerMcKenzie, for her collaboration with this alert.

Click here to read the Ukranian version.

Author

Lina Nemchenko is partner in Baker McKenzie's Real Estate Practice Group in Kyiv and she is head of the Employment & Migration practice. Lina was named "Best in Real Estate" by European Women in Business Law Awards, and she is the only Ukrainian lawyer to ever receive this accolade.

Author

Mariana Marchuk has about 20 years of practical experience in the areas of labor and migration, compliance and anti-corruption, commercial and international trade law, M&A and pharmaceutical regulation. Ms. Marchuk joined Baker McKenzie’s Kyiv office in 1997 as an associate. From 1999 to 2004 she worked in Moscow, as an associate for a major Wall Street law firm and subsequently for Baker McKenzie. In 2004, she returned to the Firm’s Kyiv office and in 2010 she became a counsel.