Recent developments  

On 11 February 2015, Resolutionof the Cabinet of Ministers of Ukraine On certain business deregulation mattersNo. 42 dated 28 January 2015 (the “Resolution”), came into effect. TheResolution has simplified the procedure to issue and renew work permits forforeigners and stateless persons (the “Work Permit”) by (1) providing anextended list of grounds for when recruiting foreign labor is consideredappropriate and justifiable; (2) changing time limits for renewal filings ofthe Work Permit, and reducing the maximum amount of time allowed to issue, orto renew a Work Permit; and (3) establishing that a Work Permit can beprolonged an unlimited number of times.

Foreign labor recruitmentjustification

The Resolution provides thatrecruiting foreign labor is considered appropriate and justifiable if a foreignnational or stateless person holds a degree from any of the top 100universities named in any one of the following world rankings: 1) Times HigherEducation; 2) Academic Ranking of World Universities by the Center for World-ClassUniversities at Shanghai Jiao Tong University; 3) QS World University Rankingsby Faculty; or 4) Webometrics Ranking of World Universities. Also, it will beconsidered appropriate and justified to employ a company shareholder for amanagerial position, a manager or employee with occupation code 2131.2, 2132.2or 3121 (such codes include database administrator, software developmentengineer, or technician programmer) if a company operates in the softwareindustry, or to recruit a foreign national for a job where his/her major rolewill be to create copyrighted work.

Changes to time limits

The Resolution requires that theapplication for renewal of the Work Permit be filed at least 20 days (comparedto 30 days) in advance of the Work Permit's expiration date. Also, now theemployment center is required to take a decision on whether or not toissue/renew the Work Permit within 7 business days (compared to 15 businessdays prior requirement), and to convey its decision, including by email, to theemployer within 2 business days. The employers, in turn, shall submit a copy ofthe employment agreement or contract with the respective foreign national tothe employment center within 7 business days (compared to 3 business days) fromthe execution date of such agreement or contract.

Work Permit renewal is notlimited

From now on the employers havethe opportunity to renew Work Permits an unlimited number of times. If afixed-term employment agreement or contract is executed, the Work Permit willbe issued for the term of such agreement or contract but, in any case, notlonger than for one year. If the employment agreement or contract is concludedfor an indefinite term, the Work Permit will be issued for one year only.

Additional notes

ThisLEGAL ALERT is issued to inform Baker & McKenzie clients and otherinterested parties of legal developments that may affect or otherwise be ofinterest to them. The comments above do not constitute legal or other adviceand should not be regarded as a substitute for specific advice in individualcases.