GlobalLogic transfers specialists in Ukraine to gig contracts

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GlobalLogic transfers specialists in Ukraine to gig contracts

The company plans to transfer most of its current specialists in Ukraine to gig contracts in accordance with the rules of Diia.City. The transition will be gradual and will take two years. New specialists are hired immediately on a gig contract. Since the beginning of July, 50 gig contractors have joined GlobalLogic.

In 2022, GlobalLogic joined the special legal regime Diia.City. The regime provides attractive conditions for doing IT business in Ukraine, guaranteed by the state for 25 years. This support is especially important during the war, when the growth of the IT sector has been halted.

One of the features of the Diia.City regime is the cooperation of companies with specialists on the basis of a gig contract.

A gig contract is an agreement between a company and an individual. It is not burdened by the norms of outdated legislation, so it is more flexible than an employment contract.

To cooperate under a gig contract, a specialist does not need to have a registered individual entrepreneur, report on activities, or pay taxes on their own. This is done for the contractor by the company that hires them.

Specialists who cooperate with Diia.City residents pay 5% income tax and an additional 1.5% military fee.

Other fundamental terms of cooperation between specialists and the company remain unchanged. However, the new form of cooperation will be more convenient and efficient for both specialists and the company.

“In difficult times, we are looking for additional sources of business sustainability,” says Anna Shcherbakova, Vice President and COO of GlobalLogic Ukraine, “We have studied the terms of Diia.City and are convinced that this legal regime will help us better develop our business and support our people. We are confident that gig contracts will become a new standard for the IT industry in Ukraine in the future.”

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