Payment of sick leave in case of dismissal: what changes from 2025

Even during times of martial law, Ukrainians have the right to obtain a sick leave certificate and receive corresponding assistance in the event of temporary disability. However, issues related to the financing of such payments when an employee is dismissed remain relevant. The Main Department of the Pension Fund of Ukraine in Vinnytsia region explains whether sick leave payments are made in cases of dismissal and what nuances should be considered. According to Ukrainian legislation, employers are obliged to ensure that employees subject to social insurance receive social payments and services in case of insurance events. This is established by the Law of Ukraine dated September 23, 1999, No. 1105-XIV “On Mandatory State Social Insurance.” Under this law, employees have the right to receive insurance benefits during periods when they are temporarily unable to perform their duties due to illness or injury. Payments, according to Article 15 of this law, begin on the 6th day of illness and are made until recovery or the establishment of disability group by the medico-social expert commission. The law clearly stipulates that these payments are independent of the employee’s status after dismissal if the incapacity for work arose during employment. This means that in cases of illness or injury that occurred before or during dismissal, assistance will still be provided if the insurance event started during the period of employment. Such cases include illnesses and injuries not related to work-related accidents, or rehabilitation related to an illness. Similarly, during quarantine or isolation measures aimed at combating particularly dangerous infectious diseases, sick leave benefits are also provided regardless of dismissal status, if the relevant insurance event occurred during the period of such restrictions. This is confirmed by provisions of the law regulating payments for cases of self-isolation, observation, or treatment in medical institutions. However, it is important to note that sick leave benefits covered by an insurance event that started after dismissal will not be paid. In other words, if an employee was dismissed and at the time of dismissal, the insurance event was not properly documented or had not yet begun, then no payments are envisaged. Starting April 4, 2025, important changes in the procedure of sick leave payments will come into effect in Ukraine. These are established by the Law of Ukraine dated December 18, 2024, No. 4158-IX “On Amendments to Certain Legislative Acts of Ukraine Regarding Mandatory State Social Insurance.” The new norms provide for a series of amendments aimed at improving the social insurance system and increasing its transparency. According to the new rules, sick leave payments will remain funded from state sources; however, details regarding cases of dismissal will be clarified in legislation. This means that currently, regardless of the dismissal situation, insured persons should know that benefits for temporary incapacity for work, which began before dismissal and were documented within the insurance case, will be paid according to general rules. In cases where the illness occurred after dismissal, such payments are not provided. Overall, the legislative reforms with a perspective toward 2025 are aimed at increasing social protection for citizens during difficult life moments. However, regarding specific cases of dismissal and sick leave payments during the reform process, many nuances remain that require explanation and consultation. Citizens must be informed about their rights and obligations to make the most effective use of the opportunities offered by the state social protection system in such situations.