Retroactive Law: How Ukraine Will Pay Pension Contributions for Those Who Were Held Captive
6 January 19:05
РОЗБІР ВІД 
Effective January 1, 2026, the state undertakes to pay the single contribution for compulsory state social insurance (SSI) on behalf of civilians who were deprived of their personal liberty as a result of armed aggression against Ukraine. Essentially, this applies to those who have returned from captivity in the Russian Federation.
The provisions of the Law of Ukraine No. 4280-IX of February 27, 2025, apply to citizens whose information is entered in the Unified Register of Persons for whom the fact of deprivation of personal liberty has been established. The Pension Fund of Ukraine has been designated as the payer of the Unified Social Tax (UST) for such individuals, meaning that funding will be provided from the state budget. The UST will be paid in an amount not less than the minimum insurance contribution, which will allow periods of captivity to be counted toward insurance seniority—a crucial factor for the subsequent determination and calculation of pensions.
The state will pay the ESF:
- for the entire period of the person’s captivity;
- for six months following their release.
Importantly, the law has retroactive effect: social insurance will also cover periods of captivity that occurred before the law came into force—that is, up to 2026.
There aren’t that many civilian captives
However, according to Dmytro Lubinets, the Verkhovna Rada Commissioner for Human Rights, Russia is holding more than 16,000 Ukrainian civilians captive. The problem is that international humanitarian law and the Geneva Conventions do not provide for the exchange of civilian prisoners for prisoners of war. However, overall, since the start of the full-scale invasion, Ukraine has managed to secure the release of civilians from captivity:
- 2022 – 35 exchanges, 1,596 people;
- 2023 – 13 exchanges, 1,002 people;
- 2024 – 11 exchanges, 1,352 people.
As of November 2025, a total of 6,235 captives had been released, including 323 men and 49 women civilians.
June 2025 (exchange): 120 civilians returned.
July 2025: 294 civilian hostages returned as part of a total of 5,757 released Ukrainians.
August 2025 (exchange): 51 Ukrainian citizens returned, some of whom had been held since 2014.
October 2025 (exchange): 20 civilians returned.
A drop in the bucket
Considering that approximately 5,000 people have returned from captivity during this period, the burden on the budget will amount to roughly 0.43 billion UAH. It all depends on how long each person spent in captivity. Minimum monthly social security contribution: 4,742 UAH (based on the minimum wage of 8,000 UAH × 22% social security rate).
“If we take the average duration of captivity—12 months—plus a guaranteed six months after release, the total amount per person over approximately 1.5 years would be: 56,904 + 28,452 = 85,356 UAH. The total amount for 5,000 people will be 426,780,000 UAH. The main benefit is direct social support for the most vulnerable citizens, the restoration of their pension rights and work history. A guarantee from the state that ‘time spent in captivity is not erased from their lives.’ Moreover, the financial burden on the budget is minimal,” economic analyst Vladislava Korzh calculated for "Komersant Ukrainian".
Half a billion hryvnias is an acceptable price to restore justice for the 5,000 who survived captivity. The only question is which budget line item will cover the cost.
Author: Alla Dunina
