Ukraine's PM announces new approach to reserving individuals liable for military service

Ukraine's Cabinet of Ministers is developing more balanced approaches to reserving individuals liable for military service based on salaries, tax burden and economic impact.

Source: Ukraine’s Prime Minister Denys Shmyhal at a press conference

Details: "The average salary, the salary level, the level of taxes paid by both an individual and a company – [these indicators] are being considered comprehensively at the moment, as well as the impact of a firm or industry on the economy. [Everything aforementioned will comprise] the framework of the future reservation system we are working on," the prime minister said during a press conference in Kyiv on Monday.

About 700,000 people in Ukraine have conscription reservations as of March 2024.

The prime minister stressed that, as estimated by the Cabinet of Ministers, the ratio of employees to soldiers to support the latter should be eight to one, and based on these parameters, the government is developing fair reservation criteria.

"The companies that are critical to the economy will retain priority in reservations, however, additional opportunities will be given to firms that generate revenue for the state treasury... For example, if their tax burden is higher than the industry average. There is no such official indicator at present, but the Tax Service can provide it," Shmyhal explained the future approach.

The government plans to improve this mechanism, making it more practical and fair.

In particular, the Cabinet of Ministers believes that the companies involved in the reservation mechanism should also include those firms that contribute to the state treasury and, accordingly, fund the defence and security forces to the full extent.

"We are considering and working on how to introduce these things into the legislative framework. In other words, tax payments and official salaries should be average or above the industry average," the prime minister explained.

Background:

• Olena Shuliak, Head of the Servant of the People party faction, said the government would consider the suggestions from business representatives on the issue of reservations in the new law on mobilisation.
• In January, reports emerged that the Ukrainian parliament was preparing a draft law that would envisage a new approach to reservations for individuals liable for military service. In particular, it is proposed to introduce a monthly payment that will allow different categories of employees to postpone their conscription to the Armed Forces.
• Earlier, it was reported that the Ukrainian President's Office, the Cabinet of Ministers and lawmakers were considering updating the mobilisation mechanism, which would involve reserving individuals liable for military service based on the amount of taxes they pay.

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