An unscrupulous employer is liable for delays in payment and payment of incomplete wages to an employee in accordance with applicable law.
According to Article 265 of the Labor Code of Ukraine for violation of the deadlines for payment of wages to the employee for more than one month or payment not in full, unscrupulous employer shall be liable to a fine of three times the minimum wage established by law at the time of violation (from 01.01.2021, the minimum wage is set at UAH 6 000, the amount of the fine is UAH 18 000).
In addition, in accordance with Article 41 of the Code of Administrative Offenses of Ukraine, violation by the employer of the deadlines for payment of wages, its payment not in full - entails the imposition of fines from 30 to 100 tax-free minimum incomes (from 510 UAH to 1700 UAH) on officials of enterprises, institutions and organizations regardless of ownership and citizens – subjects of business activities. Repeated violation committed within a year by the employer or the commission of such a violation against a minor, pregnant woman, single parent, mother or a person replacing them and raising a child under 14 years of age or a child with a disability - entails a fine from 100 to 300 NMDG (from 1700 UAH to 5100 UAH) on company officials, institutions and organizations, regardless of ownership and citizens - business entities.
Unjustified non-payment of wages to an employee (more than one month) threatens an unscrupulous employer with criminal liability in the form of a fine, corrective labor or imprisonment. However, the employer is released from criminal liability, if he has paid wages before being prosecuted.
Thus, to prevent negative consequences for the employer, we recommend timely paying of wages to their employees.
Elizabeth Lipka, the lawyer of “Dynasty Law & Investment”.