Ukraine

Cabinet of Ministers initiates re-examination of critical enterprises for staff reservation

The Cabinet of Ministers of Ukraine has made changes to the procedure for determining critical enterprises, institutions and organizations that have the right to reserve employees. These changes include additional checks on compliance with the criteria applicable to such organizations. The innovation was introduced by adding Clause 6-1, which obliges the bodies that determine enterprises of critical importance for the economy and the life of the population in a special period, to conduct an inspection of their compliance during the entire period of their activity after being recognized as such.

The main criteria for determining critical enterprises are fixed in clause 2 of the relevant order, which contains requirements for the level of tax payment, profitability and general importance for the economy and the population. However, some categories, such as executors of grant projects ordered by international partners, do not fall under these requirements and do not have the obligation to prove their “criticality”.

According to the new resolution, based on the results of the inspection, the body that carried out control must make one of two decisions:

  • About non-compliance of the enterprise with the criteria and cancellation of its status of critical importance.
  • About the enterprise’s compliance with the criteria and confirmation of its critically important status.

Copies of such decisions are sent to the Ministry of Economy, the Ministry of Defense, the SBU, the Foreign Intelligence Service and the Ministry of Digital within one day after their adoption.

These changes were approved by Cabinet of Ministers Resolution No. 1204 of October 22, 2024, which amends the Criteria for identifying enterprises that are critically important for the functioning of the economy and ensuring the livelihood of the population, as well as important for meeting the needs of the Armed Forces of Ukraine during mobilization.

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