Fines for violation of labor laws in 2025: how to prepare for inspections
11 December 2024 14:25
Vyacheslav Trunov – Honored Lawyer of Ukraine, expert advisor on business protection at AMBER Law Firm
Ukrainian business will face major changes in 2025. One of the main innovations is a significant increase in fines for violation of labor laws. Here’s why it’s important and how entrepreneurs can avoid problems.
New fines in 2025: what do you need to know?
Starting in January, fines will increase significantly:
- Failure to allow a State Labor Service inspector to conduct an inspection – up to UAH 128,000.
- Unregistered employees – up to UAH 80,000 for each.
- Violation of labor laws (for example, errors in recording working hours) – up to UAH 8,000.
The amount of fines is tied to the minimum wage, which in 2025 will be UAH 8,000.
Why is this important?
Since the beginning of the war, inspections by the State Labor Service have been canceled, but complaints from employees have been accumulating en masse. In particular, citizens complained about:
– illegal dismissals;
– Forcing them to take unpaid vacations;
– delays in salaries.
The resumption of inspections in 2022 was only the first stage. Now, in 2025, businesses will face tougher sanctions.
How to prepare for inspections by the State Labor Service?
To avoid fines, it is important to follow the rules. Here are a few steps to help you prepare:
1. Check your HR documentation.
Are your employment contracts properly executed? Is there a record of working hours?
2. Train your employees.
Conduct a briefing on how to behave during the inspection.
3. Engage a lawyer.
His support during the inspection will reduce risks and help to avoid unlawful actions on the part of inspectors.
4. Use available resources.
Did you know that even in Poland there are step-by-step instructions for Ukrainian entrepreneurs? For example, https://www.pip.gov.pl/ua/yak-pidhotuvatysia-do-kontroliu
And what about Ukrainian instructions? There are none. Why?
Unfortunately, our regulatory authorities are still working under the Soviet punitive approach.
Are changes possible?
It is clear that control is needed, because compliance with labor laws is important for everyone. But before increasing fines, it is necessary to reform the inspection system itself in line with European standards:
- A risk-based approach. Inspections only where there are real violations.
- Transparency and standardization. Clear rules for everyone.
- Business support. Inspectors should advise, not just fine.
This system already works in Europe and has proven its effectiveness. Why can’t we do the same?
Fines are not a solution if the control system remains outdated. The European approach to inspections allows us to create conditions in which business and the state cooperate rather than conflict.
But in my opinion, the new strict requirements for entrepreneurs alone do not correspond to the idea of an “internal victory plan” that the President has previously mentioned. The real Victory is about development, support and honest cooperation between business and the state.