From July 1, 2025, the Pension Fund of Ukraine (PFU), which is the largest state body by the number of employees, will receive additional powers. According to the draft resolution of the Cabinet of Ministers, made public on the website of the Federation of Trade Unions of Ukraine, the fund will take over part of the functions that were previously performed by the social protection bodies of the population.
In particular, the PFU will be responsible for paying state social assistance to those who do not have the right to a pension, as well as to persons with disabilities and children with disabilities. Continuation of aid payments in martial law conditions with the use of recipient identification mechanisms is also foreseen.
A separate item of the document concerns assistance to low-income families: if a family member stays outside of Ukraine for more than 90 days in a row, the procedure for providing benefits will be changed.
These innovations are part of a large-scale reform of the social security system, aimed at improving the efficiency of state structures. The draft resolution was developed within the framework of the law on the reform of medical and social expertise and the introduction of assessment of the daily functioning of citizens.
As of February 2024, PFU employed 20,900 people, which is more than the State Tax Service (19,800). The main function of the fund remains pension provision, but in recent years its sphere of responsibility has expanded significantly.
We will remind that in 2023, the PFU began to administer payments of subsidies, hospital, maternity and insurance benefits. In the future, it will also be given the function of administering the single social contribution, which is currently performed by the State Tax Service. The budget of the Pension Fund for 2024 was 856 billion hryvnias.
