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Draft law on economic booking registered in Rada

The authors of the draft law note that its purpose is to retain critical specialists for the economy.

Draft law on economic booking registered in Rada
Photo: rada.gov.ua

The Verkhovna Rada has registered a draft law on economic reservation (Draft Law 11331 On Industrial Policy and Predictability of the Real Sector of the Economy). This was announced by Dmytro Natalukha, MP, Chairman of the Verkhovna Rada Committee on Economic Development, who is one of the authors of the draft law.

"In the law, we have introduced the concept of economic reservation, which will allow the economy to retain hard-to-replace specialists," said Natalukha.

According to him, the concept should work as follows:

  • Every business entity that pays the increased military fee of UAH 20,000 per month per employee has the option of booking it.
  • The increased fee is paid not by the employee, but by the business itself. It determines who is most critical to it and confirms this with the relevant taxes.
  • The reservation applies to every business entity, which eliminates the problem of, for example, the impossibility of booking for representative offices of international companies or individual entrepreneurs. The latter can make a reservation if they can prove that they have actually been operating for the past year.
  • The percentage limit for reservations and the procedure will be determined by the Cabinet of Ministers. The mechanics of paying the increased military fee are outlined in the related draft law No. 11332 "On the peculiarities of paying the military fee for reservations for persons liable for military service."

Natalukha notes that these draft laws are the results of six months of work by a huge team of people who have been consulting 24/7, modelling various scenarios and conducting a dialogue with both government officials and business.

He also said that MPs will soon submit two alternative bills that will include

  • a model with a reservation for salaries above UAH 35,000, 
  • and a mixed model - UAH 35,000 salary for an employee and UAH 20,000 military fee for a sole proprietor.
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