Ukraine

Old Age, Disability, Death

First law: 1922.
Current law: 1992.
Type of program: Social insurance system.
Exchange rate: U.S.$1.00 equals 3.5 hryvnias (H).

Coverage

All employees.
Special provisions for victims of Chernobyl catastrophe.

Source of Funds

Insured person: 1% of earnings up to H150; 2% of earnings H150 or more.
Employer: 37% of payroll.
Government: None.
Above contributions also finance benefits for cash sickness, maternity, work-injury, and employee family allowances.

Qualifying Conditions

Old-age pension: Age 60 and 25 years of covered employment (men), or age 55 and 20 years of work (women); requirements reduced by 5 or more years for arduous or hazardous work, mothers of 5 or more children or of disabled children, disabled veterans, and other specified conditions. Covered employment includes years spent in higher education, in serving armed services, in care of disabled persons or children under age 3; and in unemployment while seeking a job.
Early pension payable to unemployed older workers (men aged 58-1/2 to 60 and women 53-1/2 to 55 who meet the requirements for covered employment) in case of enterprise liquidation or reorganization of enterprise.
Disability pension: Insured has a minimum of 1 to 15 years of covered employment, depending on age of onset of disability.
Total disability (incapacity for any work): Group I disability, requiring constant attendance; Group II disability, not requiring constant attendance. Partial disability (incapacity for usual work): Group III disability.
Survivor pension: Insured had up to 15 years of work, payable to surviving children whether or not dependents of the insured; and to nonworking dependents (including spouse; either parent, if disabled or not yet of pensionable age; grandparents, if no other support available).
Social pension: Citizens not eligible for old-age, disability, or survivor pension who are not working and:

  1. aged 60 for men or 55 for women; and
  2. disabled if disability began in childhood.

Old-Age Benefits

Old-age pension: 55% of wage base if 25 years of work (men, or 20 year for women) of work, plus 1% of wage for each year in excess of 25 years (men, or 20 for women). Payable monthly.
Maximum: 75% of wage base (85% for particularly hazardous working conditions); minimum pension: 200% of minimum wage (minimum wage: H90.7 per month as of January 1997).
Wage base equals gross average earnings in last 2 years or best 5 consecutive years during the worker's career.
Partial pension (if insufficient years of covered employment): Monthly benefit reduced in proportion to number of years below required years of coverage; minimum, 50% of old-age pension.
Supplementary benefits payable to non-working pensioners with disabled dependents, and to pensioners aged 80 or older.
Social pension: 50% of minimum old-age pension.
Adjustment: Periodic benefit adjustments according to cost of living changes.
Carer's allowance: Payable monthly to carer of aged over 80 years old; carer not otherwise employed, and may receive unemployment benefit.

Permanent Disability Benefits

Disability pension: Total disability pension: Group I, 70% of earnings; Group II, 60% of earnings. Partial pension for total disability (if insufficient years of covered employment): Same as under old-age pension.
Partial disability (Group III): 40% of earnings. Payable monthly.
Social pension:30%-200% of minimum old-age pension depending on degree of disability.
Carer's allowance: Payable monthly to carer of Group I disabled child under age 16; carer not otherwise employed, and may receive unemployment benefit.
Adjustment: Periodic benefit adjustments according to cost of living changes.

Survivor Benefits

Survivor pension: Payable monthly at 30% of wage base of the insured for each dependent; 40% of earnings for widow if spouse died in war. Minimum: 100% of minimum old-age pension per month.
Partial pension (if insufficient period of covered unemployment): Monthly benefit reduced in proportion to number of years below the required years of coverage.
Funeral grant: 10 times minimum wage if employee, student, or unemployed; 2 months of pension benefits (or 10 times minimum wage, whichever is higher) if pensioner.
Adjustment: Periodic benefit adjustments according to cost of living changes.

Administrative Organization

Ministry of Labor and Social Policy, general coordination.
Regional and local social protection departments, administration of program.

Sickness and Maternity

First law: 1912.
Current law: 1972 and 1993.
Type of program: Dual social insurance (cash benefits) and universal (medical care) systems.

Coverage

Cash benefits: Employed persons, on leave to pursue education and training, unemployed as result of enterprise liquidation, registered unemployed, or military personnel. Medical care: All residents.
Special provisions for victims of Chernobyl catastrophe.

Source of Funds

Insured person: Cash benefits: see pension contribution above; medical care: none, except for voluntary medical insurance policies.
Employer: Cash benefits: see pension contribution above; medical care: None.
Government: Whole cost of medical care and cost of universal maternity cash benefits by central and local government budgets.

Qualifying Conditions

Cash and medical benefits: No minimum qualifying period.

Sickness and Maternity Benefits

Sickness benefit: 60% of earnings, if less than 5 years' service; 80% if 5-8 years' service; 100% if 8 years or more.
Payable until determination of permanent disability or recovery, not to exceed 4 months consecutively, or a total of 5 month per year.
Benefits payable also for working parent caring for a sick family member, up to 14 days per case: 100% of earnings.
Maternity benefit: Employed women: 100% of earnings payable for 70 calendar days before and 56 days (70 days in case of complicated birth or multiple births) after confinement; women on leave for education and training: 100% of stipend; unemployed due to enterprise liquidation: 100% of earnings received at last place of work; registered unemployed for at least 10 months: 100% of minimum wage. Members of armed forces: payable to spouse: 100% of earnings plus in-kind benefits.
Monthly benefits equal to 100% of minimum wage paid for child care leave until child is 3 years old to employed women, and women on leave for education and training; 50% of minimum wage to eligible unemployed women until child is 2 years old, or until child is 3 years old if family income meets requirement of income-test.

Workers' Medical Benefits

Medical benefits: Medical services provided directly to patients by governmental health providers. (Mandatory social insurance for medical care not yet implemented.)
Preventive care, general and specialist curative care, hospitalization, laboratory services, dental care, maternity care, and transportation.
Patient ordinarily pays part of cost of appliances.
Medicines, if provided with hospitalization, are free. Also free for disabled children under age 16; children under age 1; and pensioners receiving minimum pension.
Care in sanatoria and rest homes, preference being given to workers who may pay part of cost.

Dependents' Medical Benefits

Medical benefits for dependents: Same as for head of household.

Administrative Organization

Cash benefits: Ukrainian Ministry of Labor and Social Policy, Ministry of Finance, and Social Insurance Fund; general oversight of the program; Ministry of Labor and Social Policy and social protection departments of local governments, administration of benefits.
Medical care: Ministry of Health, and health departments of local governments, general supervision and coordination; provision of medical services through clinics, hospitals, maternity homes, and other facilities administered by the Health Ministry and local health departments.

Work Injury

First law: 1912.
Current laws: 1990 (pensions) and 1992 (lump-sum cash benefits).
Type of program: Dual social insurance (cash benefits) and universal (medical care) system.

Coverage

Cash benefits: All employees.
Medical care: All residents.
Special provisions for victims of Chernobyl catastrophe.

Source of Funds

Insured person: Cash benefits: see pension contributions above; medical care: same as under general medical care.
Employer: Same as above.
Government: Same as above.

Qualifying Conditions

Work-injury benefits: No minimum qualifying period.

Temporary Disability Benefits

Temporary disability benefit: 100% of earnings. Payable from first day of incapacity, until recovery or award of disability pension.

Permanent Disability Benefits

Permanent disability pension: Same as general disability pensions above.

Workers' Medical Benefits

Medical benefits: Same as under general medical care, plus full cost of appliances and medicines.

Survivor Benefits

Survivor pension: Same as general survivor pensions above.

Administrative Organization

Temporary disability benefits: General supervision by Ukrainian Social Insurance Funds; enterprises and employers pay benefits to own employees.
Pensions: Same as under old-age, disability and survivor pensions above.
Medical care: Same as under general medical care above.

Unemployment

First law: 1921.
Current law: 1992.
Type of program: Social insurance system.

Coverage

Working age citizens.
Special provisions for victims of Chernobyl catastrophe.

Source of Funds

Insured person: None.
Employer: 1.5% of payroll.
Government: Subsidies as needed from central and local governments.

Qualifying Conditions

Unemployment benefit: Registered at employment office; ability and willingness to work, and does not have any other income exceeding the minimum wage.
Benefits may be reduced, suspended, or terminated if worker is discharged for violating work discipline; leaving employment without good cause; violating conditions for job placement or vocational training; or filing fraudulent claims.

Unemployment Benefits

Unemployment benefit: Unemployment due to reorganization, enterprise liquidation: Benefits payable: 100% of average wage in previous job for 60 days, and 75% for 90 days and 50% for next 210 days. Maximum: Average wage in the region in the last month.
Minimum: minimum wage.
Unemployment assistance (payable to unemployed persons who have exhausted the 310 days' unemployment benefits, and monthly average income for each family member does not exceed the taxable minimum wage): up to 75% of minimum wage for additional 180 days.
Dependent supplements payable to unemployed person who have exhausted entitlement to 360 days' unemployment benefits and 180 days' unemployment assistance): lump-sum benefit equal to 50% of minimum wage.
Funeral grant (payable to dependents, family members or person undertaking funeral arrangements): amount determined by law.

Administrative Organization

Ministry of Labor and Social Policy, general policy coordination.
Employment Service and its local offices, administration of program.

Family Allowances

First law: 1944.
Current law: 1993.
Type of program: Dual social insurance and social assistance system.

Coverage

Families with children.
Special provisions for victims of Chernobyl catastrophe.

Source of Funds

Insured person: See pension contribution above.
Employer: See contributions for pensions and for cash maternity benefits.
Government: Central and local budget subsidies for allowances for children of unemployed families and of non-working mothers.

Qualifying Conditions

Family allowances: Large families (3 or more children), single mothers with 1 or more children, and families with 1 or more disabled children.

Family Allowance Benefits

Family allowances: Children under age 16 (18 if student)
(income-tested): 50% of minimum wage per child. Families with 3 or more children under age 16 (income-tested): monthly benefit equal to 100% of minimum wage; families with 4 or more children: 200% of minimum wage. Single mothers (including widows and widowers not receiving survivor pension or social pension) and children whose father evade child support (income-tested): 50% of minimum wage for each child under 16 (18 if student). Guardians of children under age 16 (income-tested): 200% of minimum wage.
Carers for disabled children under age 16: 100% of minimum wage.
Delivery grant: lump-sum equal to 4 times the minimum wage; additional 200% of minimum wage payable to mothers undergo prescribed prenatal care regime.

Administrative Organization

Ukrainian Ministry of Labor and Social Policy, and local departments of social protection, administration of program for unemployed families and non-working mothers.
Employers: payments to employees.