Vacation Payments During War — What Are the Rules and Penalties in 2025.

Ukrainian legislation clearly defines the rules for vacation payments to employees during martial law: funds must be provided to employees no later than the start of their vacation. This information is contained in Article 21 of the vacation law and Article 115 of the Labor Code (CLC). Except in cases of force majeure, vacation payments can be made before the vacation, but not on the first day or later.

Unusual Aspects of Vacation Payments During War

There is a possibility of paying vacation funds before the vacation actually starts. Additionally, according to Law No. 2136, during martial law, enterprises can cancel the norms of collective agreements.

Penalties for Late Payment of Vacation Funds

Late payments are subject to fines and administrative liability. For instance, delays in vacation payments can incur fines ranging from one to three minimum wages at the Time of the violation. The State Labor Inspection can issue protocols for administrative offenses. There are no provisions for reducing fines during martial law. It is important to note that not all employees are entitled to monetary compensation for unused vacation in 2025, according to labor legislation. The calculation of payments in the event of dismissal also has its peculiarities, taking into account the salary for worked days, compensation for unused vacation, and severance pay.

Ukrainian legislation clearly regulates the procedure for vacation payments during martial law, providing for fines and other penalties for violations of these rules. Currently, there are certain restrictions on receiving compensation for unused vacations, and a number of factors are considered in the calculation of payments upon employee dismissal.