Cabinet to reduce almost 20,000 full-time positions in state bodies from April

The Cabinet of Ministers decided to reduce 19,300 vacant full-time positions in the system of state bodies from April.

This is stated in the notification of the Ministry of Finance, Ukrainian News Agency reports.

In particular, it is reported that on March 15, Deputy Ministers of Finance Roman Yermolychev and Svitlana Vorobei met with the diplomat for economic affairs of the US Embassy, Sarah Longbrake, to discuss the issues of new pay conditions in the civil service, financing of pensions and social benefits, as well as the implementation of the National Income Strategy.

"Roman Yermolychev emphasized that the Government has decided to reduce vacant full-time positions in the system of state bodies by 19,300 positions from April 1," the report says.

Yermolychev noted that the vacant positions under the wage system, which was in effect until 2024, had an important role for the ministries, because when there were a significant number of vacancies in the ministries, and the wage fund was calculated according to the maximum number, this created the prerequisites for its savings and led to payment of higher wages. The government decided to correct this situation.

Yermolychev also noted that the government implemented a wage reform in 2024, introducing a new graded system of salaries in state authorities.

As Ukrainian News Agency earlier reported, Prime Minister Denys Shmyhal announced in December that the Cabinet of Ministers approved a new salary system for civil servants based on the qualifications of positions and grades, and now none of the managers will be able to charge exorbitant bonuses, allowances and surcharges at their own will. In particular, it was established that 70% of a civil servant's salary will be a salary, and only 30% will be a bonus.

At the same time, Shmyhal announced that simultaneously from January 1, the government will reduce the number of civil service vacancies by almost 20,000, and this is only the first stage. The Prime Minister noted that, according to the Ministry of Finance's estimates, the new wage system and reduction of vacancies will save about UAH 8 billion of budget funds and direct them to security and defense needs in 2024.

According to the Ministry of Finance, during 2023, the actual number of employees in 108 state authorities decreased by 6,800 people and as of January 1, 2024 actually amounted to 169,000 people.

To request a correction, please send an email.