EMPLOYMENT AGREEMENT AND CONTRACT
An employment agreement records the work, remuneration, working arrangements and the employee's main rights as they actually apply in the enterprise. During martial law, the parties may agree the form of the employment agreement in accordance with Law No. 2136-IX.
For the owner, a written text remains a convenient working document: the employee understands the position and remuneration, the director sees the duties and authority, and the accountant has a basis for payroll.
Position, Term and Work Format
The Labour Code provides for indefinite agreements, fixed-term agreements and agreements for the duration of specified work. An indefinite arrangement is normally used for a permanent position. A fixed-term form is selected according to the nature of the work, the conditions of its performance or another lawful basis. A contract is used in the cases provided for by Ukrainian law.
The agreement states the position, employment function, place of work, start date, working arrangements and main remuneration terms. Detailed day-to-day duties can be set out in a job description. For remote or home-based work, the parties agree communication, working time, equipment, delivery of results and HR documents.
During martial law, Law No. 2136-IX allows the parties to agree the form of the employment agreement. For a business, a written document is especially useful where an employee receives property, access to a client database, authority to work with a bank, commercial data or expensive equipment. All key arrangements are then contained in one HR document set.
Where probation is permitted by law for the specific position, it should be linked to the actual work. The manager defines the expected result for that period: number of processed orders, quality of documents, fulfilment of a production plan, work with clients or another position-specific indicator. From the first day the employee sees the criteria, and the director has a clear basis for an HR decision after the agreed period ends.
Remuneration, Authority and Enterprise Property
Remuneration is stated so that the accountant can calculate salary from the agreement, staffing schedule and internal documents. If the enterprise uses bonuses, supplements or incentive payments, the grounds for payment are recorded separately. From the first day, the employee understands the fixed part of income and the conditions for additional payments.
The director determines which property is issued to the employee: laptop, telephone, keys, vehicle, goods, work email or corporate account. The transfer is recorded in the relevant document. After a change in employment, the property is returned and corporate access is closed on the date of the HR change.
Authority is documented separately for a management position. The right to sign agreements, approve expenses, work with a bank or represent the enterprise may arise from the charter, a resolution, order or power of attorney. The employment agreement describes the work itself, while corporate documents define the legal limits of representation before third parties.
Confidential data, client contacts and commercial materials should be linked to the position and the employee's actual access. The agreement or a separate document can establish rules for working with corporate email, files, the client database and internal documents. After handover to a new employee, the company keeps all business information in corporate accounts, while the former employee returns property and work media.
Employment Formalities through HR Documents and Obrii
Before work starts, the employment relationship is formalised and information about hiring the employee is submitted under the established procedure. Cabinet of Ministers Resolution No. 41 of 7 January 2026 introduced a two-year voluntary experiment for electronic employment through the Obrii system and the Diia Portal. An electronic employment agreement in this system is considered concluded after it is signed by the candidate.
When employment is processed through Obrii, the system provides an electronic personnel file and automatic transmission of the relevant information through an API. Participation by the employer and employee is voluntary. Standard HR formalities continue under the current rules, while the digital format gives the enterprise another hiring channel.
The order, employment agreement, job description, time sheet and payroll documents must describe the same work. After employment ends, the accountant makes the final settlement, the responsible employee receives the property back and corporate access is closed. UBC can prepare an employment agreement and related HR package for the specific position, remuneration, work format and authority.
For the owner, this provides one HR package from hiring the person through to the end of employment.
A good employment agreement protects the parties' arrangements and makes the daily work of the director, employee and accountant easier. UBC will help document the conditions for the actual position, remuneration and work format. We will be pleased to answer additional questions. We wish you success in business!
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Frequently Asked Questions
How Does an Employment Agreement Differ from a Contract?
The director determines the basis and date of the change, prepares the HR document, and the accountant applies the new amount from the agreed date.
Can the Agreement Be Signed Electronically?
The method depends on the applicable rules and agreed document exchange; the parties must keep evidence of signing and the relevant text version.
Is It Necessary to Duplicate the Job Description?
The agreement records the key function, while detailed duties are conveniently set out in an agreed job description without contradictions between the documents.
How Should Salary Be Changed?
First determine the basis, agree the date and complete any required notification, then update the HR and payroll documents.
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