Law #3275: remote work, general meetings, disclosure of information and more
On April 02, 2020, President Zelenskyi signed the Law of Ukraine No. 540-IX [1] introducing additional social and economic guarantees due to the COVID-19 pandemic.
Changes in labor and corporate law
LABOR

Remote work and flexible work schedule – no obligation to conclude a written employment contract on remote work

Employees' idle time is subject to compensation – at least 2/3 of the remuneration rate during the quarantine period

Partial unemployment benefits for staff in small and middle-size companies during the quarantine period – to be paid by the state at the rate of 2/3 of employee`s remuneration for each reduced hour

Unemployed status – granted to individuals starting from the first day of their registration at employment exchange center
CORPORATE MATTERS

By introducing amendments to certain laws, the Law presents changes to handling corporate matters:

► Annual general meeting (the "Meeting")

  • Joint-Stock Companies
  • Joint Investment Institutions
  • Limited and Additional Liability Companies
  • Credit Associations

The Meetings of the above-mentioned legal entities may be held not as indicated in the ordinary statutory terms – delays won't be considered a breach. The Law also allows to postpone the Meeting for up to 3 months after the end of the quarantine period.

If it is impossible to hold the Meeting in a regular way, it can be arranged remotely, under the temporary special regulation of the National Commission for Securities and Stock Market.

If the term of office for members of the supervisory boards of Joint-Stock Companies expires in 2020, the powers of such members are fully extended until the date of the Meeting.

Annual disclosure of information

The terms for the annual disclosure of information by the legal entities have been prolonged. The annual information about a Joint-Stock Company and a Limited or Additional Liability Company has to be disclosed 5 business days after the Meeting.

For joint investment institutions, the disclosure of information has to be made within 5 business days after either the Meeting or adoption by the authorized body of the asset management company of the mutual fund of a decision to approve the annual report of the fund in the manner specified by the legislation and regulations of such a fund.
[1] "On Amendments to Certain Legislative Acts with Purpose to Provide Additional Social and Economic Guarantees Due to the Widespread of Coronavirus Disease (COVID-2019) (the "Law")
If you have questions regarding labor or corporate law matters, please contact us.

Contacts:
Illya Tkachuk, Partner
+38 044 391 38 53, Illya.Tkachuk@integrites.com
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