Salaries Not Increased – Employers Started Receiving Letters Regarding "Frozen" Payments
The Labor and Employment Inspection of the Dnipro City Council reported that employers have begun receiving letters concerning employees whose number of insured persons and amounts of accrued wages have not changed for a year. The basis for such inquiries was the reporting data received from the Main Department of the Pension Fund of Ukraine in the Dnipropetrovsk region.
The letters state that for some insurers, during a certain period, particularly for January 2026, the number of insured employees and the total amount of accrued wages did not change. This became the reason for the local government body to request information regarding compliance with labor legislation and to consider the issue of raising employees' salaries.
The Inspection emphasizes that the letters contain references to the Constitution of Ukraine, the laws "On Local Self-Government in Ukraine," "On the Organization of Labor Relations under Martial Law," "On the Indexation of Monetary Incomes of the Population," and the Labor Code of Ukraine.
Employers are specifically reminded about wage indexation as a legally prescribed mechanism to compensate for the rising cost of goods and services. Despite the peculiarities of calculating the consumer price index in 2026, the obligation to ensure state guarantees in wage payment remains in force.
At the same time, the Inspection notes that the letter itself is neither an order nor a decision about a fine or inspection. However, the local government body has the right to initiate unscheduled state supervision measures to ensure compliance with labor legislation, including the formalization of labor relations, detection of undeclared employees, legality of termination of labor contracts, and observance of wage guarantees.
In fact, this concerns analytical monitoring of employers based on Pension Fund data.
After receiving such letters, employers are advised to check personnel documentation, including labor contracts, orders, notifications of employee hiring, and time sheets. It is also recommended to analyze the wage system, verify indexation implementation, compliance with minimum state guarantees, and absence of prolonged "freezing" of salaries without justification.
Additionally, enterprises are advised to assess potential risks if the wage fund has not changed for a long time, employees are largely registered at minimum wage, or there are signs of hidden employment.
The Inspection also requests employers to provide a scanned response signed by the head to the specified email addresses.
The notice emphasizes that the analysis of digital reporting by the Tax Service, Pension Fund, and local governments forms a risk-oriented monitoring system, within which even stable salary indicators may become grounds for additional attention from controlling authorities.
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