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Suspension of an employment contract, idle time and unpaid leave during martial law: a case and an algorithm for the employer

Suspension of employment, idle time or unpaid leave

During martial law the employer chooses between three mechanisms: suspension of the employment contract, idle time and unpaid leave. Each tool has its own conditions of use and documentation requirements — we break it down on a real case.

The starting facts of the case

An international company servicing equipment in oil and gas production could not continue part of its work: sites in temporarily occupied territories and near combat zones, with real threats to the safety of people and equipment. Some employees had no tasks for a long time, while others were engaged periodically depending on the security situation. The employer’s goal was to retain its staff and competencies.

The logic of choosing the tool

Three diagnostic questions: (1) are both parties unable to fulfil their obligations because of the armed aggression — then suspension of the employment contract (under the 2025–2026 rules, up to 90 calendar days, with stricter notification requirements); (2) is the employee ready to work but the employer temporarily cannot provide it — then idle time, paid at no less than two-thirds of the tariff rate; (3) is it the employee’s own initiative — then unpaid leave on application. You cannot substitute idle time with “forced” leave applications.

The decision in the case

  • Group 1 (no work for over a month) — suspension of the employment contract
  • Group 2 (periodic engagement) — idle time with mandatory two-thirds pay and correct timesheet entries
  • On the employees’ own initiative — unpaid leave with an explanation of the consequences

Documentation and timesheets

The minimum set of documents:

  • Suspension orders: grounds, term, communication channels, responsible persons
  • Idle-time orders: period, conditions, payment procedure
  • Employees’ applications and orders for unpaid leave
  • Communication rules and proof of notifications and receipt

Typical employer mistakes

  • Substituting idle time with suspension without a genuine mutual impossibility
  • No orders and no proof of notifying employees
  • Ignoring the idle-time pay guarantee (two-thirds)
  • Timesheet entries that do not match the actual organisation of work

The role of HR outsourcing

We prepare templates of orders and internal rules, organise and check timesheets, document communication with employees, audit HR risks regarding the correctness of the chosen tools, and support HR administration as legislation changes. The result in this case: the employer retained its staff and competencies and gained time to roll out alternative projects.

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We will suggest a cooperation format and come back with a specific proposal.

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