Servicewoman Won a Lawsuit Against the National Guard: Monetary Allowance Will Be Recalculated for 2020–2023

The Kirovohrad District Administrative Court heard administrative case No. 340/5446/25, concerning a claim brought by a servicewoman against a unit of the National Guard of Ukraine. The servicewoman sought to have the unit’s actions, related to the calculation and payment of her monetary allowance, declared unlawful and to compel a recalculation. The court partially upheld the claim, ruling that the military unit’s method of calculating the monetary allowance, which failed to apply the correct base for determining official and rank salaries, was unlawful. Consequently, the court ordered a recalculation of specific components of the monetary allowance for the period between 29 January 2020 and 19 May 2023.

Essence of the Case

The plaintiff, a contract servicewoman in a National Guard of Ukraine unit, lodged a claim asserting that her military unit had incorrectly determined her official and rank salaries between 29 January 2020 and 31 May 2023. This alleged miscalculation resulted in her receiving a lower monetary allowance than legally mandated.

The plaintiff’s argument was that the defendant, in determining her official and rank salaries, continued to use the subsistence minimum for able-bodied persons as established on 1 January 2018. She contended that following the repeal of the relevant provisions of Cabinet of Ministers of Ukraine Resolution No. 103, there was no longer a legal basis for this approach. According to the plaintiff, salaries should have been calculated by multiplying the subsistence minimum, as established by law on 1 January of each calendar year, by the corresponding tariff coefficients defined in Cabinet of Ministers Resolution No. 704.

Therefore, the plaintiff requested the court to declare the military unit’s inaction regarding the non-calculation of monetary allowance, using the proper calculation base, as unlawful. She sought an order for the recalculation of all components of her monetary allowance for 2020, 2021, 2022, and for the period from 1 January to 31 May 2023, along with the payment of the difference between the amounts actually paid and those legally due. She specified the exact subsistence minimum amounts for able-bodied persons, as established by the laws on the State Budget of Ukraine: UAH 2,102 as of 1 January 2020; UAH 2,270 as of 1 January 2021; UAH 2,481 as of 1 January 2022; and UAH 2,684 as of 1 January 2023.

The defendant did not submit a response to the claim.

During its review, the court established that the plaintiff had been serving in the military since 2008 and in the National Guard of Ukraine since 2014. During the disputed period, she received an official salary, rank salary, seniority allowance, qualification allowance, special service allowance, bonus, health improvement assistance, and material assistance for social and household issues. The court also found that the military unit determined the official and rank salaries by multiplying the subsistence minimum for able-bodied persons, established as of 1 January 2018 at UAH 1,762, by the respective tariff coefficients, as stipulated by paragraph 4 of Cabinet of Ministers Resolution No. 704, in the version of Cabinet of Ministers Resolution No. 103.

Court’s Position

The court noted that the legal framework governing monetary allowance for servicemen is defined by the Law of Ukraine "On Social and Legal Protection of Servicemen and Their Families," the Law of Ukraine "On the National Guard of Ukraine," Cabinet of Ministers Resolution No. 704 dated 30 August 2017, and the Instruction approved by Ministry of Internal Affairs Order No. 200. These normative acts specify that monetary allowance comprises official salary, rank salary, monthly and one-time additional types of monetary allowance, with the amounts of official salaries determined by the Cabinet of Ministers of Ukraine.

The court highlighted that by a ruling of the Sixth Administrative Court of Appeal dated 29 January 2020 in case No. 826/6453/18, paragraph 6 of Cabinet of Ministers Resolution No. 103, which altered the procedure for determining official salaries, was declared unlawful and subsequently cancelled. With the entry into force of this decision, the original wording of paragraph 4 of Resolution No. 704 was reinstated. This original wording mandated that official and rank salaries be determined by multiplying the subsistence minimum for able-bodied persons, as established by law on 1 January of the respective calendar year, by the corresponding tariff coefficient.

Furthermore, the court noted that this approach aligns with the legal positions of the Supreme Court, as set out in rulings dated 19 October 2022 in case No. 400/6214/21, 25 April 2024 in case No. 240/16735/21, and 5 June 2024 in case No. 420/18318/23.

The court established that from 29 January 2020, and subsequently from 1 January 2021, 1 January 2022, and 1 January 2023, the subsistence minimum for able-bodied persons, which should have been applied to determine official salaries, increased in accordance with the laws on the State Budget of Ukraine. However, the military unit continued to use the calculation base of UAH 1,762. Therefore, the court concluded that the calculation of monetary allowance without applying the proper calculation base for the period from 29 January 2020 to 19 May 2023 was unlawful.

According to the court, the official salary, rank salary, seniority allowance, qualification allowance, and health improvement assistance are subject to recalculation, as their amounts directly depend on the official salary and are defined by normative acts of the Cabinet of Ministers of Ukraine.

However, the court denied the claims regarding the recalculation of the special service allowance, bonus, and material assistance for social and household issues. The court noted that these payments do not have a fixed guaranteed amount, are determined within budget appropriations, depend on the approved monetary allowance fund, decisions of the command, and other factors. Therefore, a revision of official salaries alone does not provide a basis for their recalculation.

Separately, the court observed that following the entry into force of Cabinet of Ministers Resolution No. 481 on 20 May 2023, the procedure for determining official salaries was changed, and the calculation base became a fixed amount of UAH 1,762. Consequently, the court found no grounds for recalculating monetary allowance for the period from 20 May to 31 May 2023.

Court Conclusions

The Kirovohrad District Administrative Court partially upheld the administrative claim. The court declared the actions of the National Guard unit, regarding the calculation and payment of monetary allowance without applying the subsistence minimum for able-bodied persons established by law on 1 January of the respective calendar year for the period from 29 January 2020 to 19 May 2023, as unlawful.

The court ordered the military unit to recalculate the official salary, rank salary, seniority allowance, qualification allowance, and health improvement assistance for 2020, 2021, 2022, and for the period from 1 January to 19 May 2023, using the subsistence minimum established by the laws on the State Budget of Ukraine for the respective years, and to pay any debt arising from such recalculation. The court denied the remaining claims.

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