Law of Ukraine “On Collective Bargaining Agreements and Contracts” is signed

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Law of Ukraine “On Collective Bargaining Agreements and Contracts” is signed

On 11 April 2023, the President of Ukraine signed Law of Ukraine “On Collective Bargaining Agreements and Contracts” No. 2937-IX, dated 23 February 2023 (“Law”).

The Law aims to fulfil Ukraine’s commitments towards European integration.

Most provisions of the Law will come into force six months after the martial law is lifted.

In particular, the Law:

  • provides for the possibility of suspending certain provisions of a collective bargaining agreement (“CBA”), and specifies the conditions and procedure for the suspension and a list of force majeure circumstances that may serve as grounds for such suspension;
  • determines that at companies with several trade unions a joint representative body responsible for negotiating a CBA should be formed by concluding an agreement between such trade unions. The joint representative body should notify the employer of the same in writing;
  • expands the list of possible provisions of a CBA. From now on, among other things, a CBA may contain provisions on:
    • professional training, requalification, and advanced professional training of employees;
    • prevention of mass layoffs;
    • reasonable adjustment of working conditions for employees in need (including persons with disabilities);
    • occupational health and safety;
    • working conditions, insurance, and medical care for employees; and
    • measures to prevent and combat discrimination at work; prevention and counteraction to mobbing (bullying);
  • requires that from now on amendments to a CBA be subject to registration by local executive authorities or local self-government bodies; and
  • determines that parties to a CBA must report on its implementation at least once a year.

We will be monitoring further updates to the legislation in this regard.

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