Month: October 2025
Taxes in IT Companies in Belarus and Russia 2025
With the active growth of the IT market, taxation remains one of the key factors in hiring, motivation, and company cost planning. For recruiters, HR managers, and IT team owners, understanding which taxes and contributions are paid by the employer and which are withheld from the employee in both Belarus and Russia helps to correctly calculate the “total cost” of a position, form competitive offers, and avoid unpleasant surprises when entering the job market.
In this article, we’ll compare the main types of expenses and withholdings from a practical standpoint: how much an employee really costs the employer, how much is deducted from the employee’s “net” salary, and which tax benefits are especially relevant for IT companies.
In short, the key differences are as follows: in Belarus, most individuals are subject to a relatively low 13% personal income tax rate, while the employer’s total burden includes significant social contributions that substantially increase payroll costs. In Russia, a flat personal income tax has traditionally been applied to residents, but in recent years progressive rates have been introduced for high earners. At the same time, employers pay considerable social insurance contributions that vary depending on the salary base and occupational risk category.
These basic proportions “low PIT + high employer contributions” vs “flat/partially progressive PIT + substantial employer contributions” define the overall direction of the differences we’ll explore in more detail below.
It is also important to understand the tax privileges and special regimes that affect IT companies. In Belarus, the Hi-Tech Park (HTP) residency status still provides a package of benefits and simplifications that can significantly reduce a company’s tax burden and change the “employee cost” calculation one way or another. Therefore, when comparing, it’s important to know whether a company operates within the extraterritorial HTP regime or under the general tax system.
From an HR perspective, this means that when evaluating an offer, it’s not enough to look at the “net” salary; it’s also worth clarifying whether the employer benefits from any special tax regime.
From this article, you’ll get clear calculations (employer’s tax burden vs take-home pay) and practical information you can use in preparing vacancies and salary benchmarks.
Tax Burden in IT Companies in Belarus
Let’s look at the main types of taxes and contributions, and determine the overall tax burden for a Belarusian employer hiring IT specialists.
Main Types of Taxes and Contributions
The tax system in Belarus for IT employees revolves around three main elements:
- Personal Income Tax (PIT)
- Contributions to the Social Protection Fund (SPF)
- Mandatory insurance payments
These components determine how much an employee takes home and how much their employment really costs the company.
Personal Income Tax (PIT)
The base personal income tax rate for IT employees in Belarus is 13% (the same as for most other employees). The employer withholds this tax from the employee’s gross salary and transfers it to the state budget.
Thus, when a gross salary is quoted, the employee actually receives 87% of that amount after tax.
For most IT specialists employed under a labor contract, the standard rate applies, without reductions or preferential coefficients.
The tax base includes all income received in monetary or in-kind form, such as bonuses, performance awards, and material assistance (unless specifically exempted).
Belarus currently has no progressive income tax scale, which makes the system predictable and convenient for compensation planning, particularly for international companies.
Starting from 2025, however, a 25% PIT rate will apply to annual income exceeding 220,000 BYN.
Contributions to the Social Protection Fund (SPF)
The Social Protection Fund (ФСЗН) is the main source of social payments such as pensions, sick leave benefits, maternity benefits, and unemployment payments. These contributions are paid by the employer, not by the employee, and they significantly increase the real cost of employment.
As of 2025, the contribution rate is 34% of the payroll fund, including:
- About 28% for pension insurance
- The remainder for social insurance (e.g., temporary disability benefits)
These amounts are invisible to the employee, they receive the agreed net salary,but for the company, the actual cost of employment is roughly one-third higher than the gross salary.
For example, if a developer earns 3,000 BYN gross, the employer’s total cost, including SPF contributions, will be around 4,000 BYN.
Such a high level of social contributions is one of the key reasons companies seek tax benefits, optimize payment structures, or consider alternative collaboration models (for example, through individual entrepreneurs or EOR arrangements).
Additional Fees and Withholdings
In addition to PIT and SPF contributions, employers also make mandatory insurance payments to Belgosstrakh for workplace accident and occupational disease coverage.
The rate varies between 0.1% and 0.6% of the payroll fund, depending on the occupational risk category. For IT companies considered low-risk, the minimum rate applies.
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Distribution of Tax Burden Between Employee and Employer – IT Companies
Overall, the tax burden for IT companies in Belarus is as follows:
- Employees pay a 13% personal income tax.
- Employers additionally contribute approximately 34% to the Social Protection Fund (FSZN) and up to 0.6% to Belgosstrakh.
Thus, when planning hiring budgets, it is important to consider not only the “net” salary but also the hidden costs that determine the full cost of an employee for the company. This is why understanding the tax burden is a key factor when comparing hiring in Belarus with other countries in the region.
Features for HTP Residents
Being a resident of the High-Tech Park (HTP) is a key tool for tax optimization for IT companies in Belarus. It does not directly affect the employee’s income tax rate but significantly reduces the employer’s burden by allowing lower social contributions and exemptions from certain corporate taxes. For IT businesses, this often becomes a decisive factor when choosing between registering a company in HTP or operating under the general regime.
Benefits and Tax Rates
The personal income tax rate in Belarus is fixed at 13% for all employees, regardless of whether the company operates within HTP or outside it. This tax is withheld by the employer from the employee’s salary, so HTP residency does not affect it.
The main advantages of the HTP regime are seen at the company level. Residents are exempt from corporate profit tax and some other taxes, allowing more funds to be allocated to salaries and HR development. A more tangible benefit is the ability to calculate social contributions based on a reduced base. While the standard contribution rate to the Social Protection Fund (FSZN) is 34% of gross salary for all employers, HTP residency allows for a lower base.
How HTP Residency Affects the “Cost” of Hiring an IT Specialist
For HTP residents, social contributions are calculated differently: the company can pay them not on the full salary, but on the national average wage set by Belstat.
In practice, if a developer’s salary is 5,000 BYN and the national average wage is 2,000 BYN, an HTP resident company pays FSZN contributions only on 2,000 BYN instead of 5,000 BYN. At a 34% rate, this results in contributions of 680 BYN instead of 1,700 BYN.
This model significantly reduces the actual cost of hiring mid- and senior-level specialists. For businesses, it allows retaining talent without excessive costs, and for candidates, it is an incentive to choose HTP resident companies where more funds can be allocated to net salary and bonuses.
Why Non-HTP Companies Pay More Taxes – and How Much
Companies operating under the general regime cannot use the reduced base mechanism. They must pay 34% FSZN contributions on the actual payroll, regardless of salary levels.
Comparing two identical companies, one HTP resident and one non-resident, the difference in hiring a high-salary developer (e.g., 5,000–6,000 BYN) can reach 15–20%. For non-residents, the total cost per specialist is higher due to social contributions.
Thus, HTP participation not only reduces fiscal burden but also increases a company’s competitiveness in the labor market: it can offer the same net income at lower costs. This explains why most medium and large IT companies in Belarus prefer HTP residency.
Tax Burden in Russian IT Companies
Let’s examine the features of the tax burden on employers in Russian IT companies.
Main Taxes and Social Contributions
The Russian tax system for IT companies is largely similar in structure to Belarus but differs in rates and calculation principles. Like in Belarus, employers withhold personal income tax from salaries and independently pay social contributions to off-budget funds. For companies without special benefits, the total burden remains significant and directly affects the cost of hiring an IT specialist.
Personal Income Tax (PIT / NDFL)
In Russia, the personal income tax (NDFL) is the main tax withheld from salaries.
- For Russian tax residents (those staying in the country for at least 183 days per year), the rate is 13% on annual income up to 5 million RUB and 15% on amounts exceeding this threshold.
- For non-residents, the rate is higher — 30%, except for certain categories such as highly qualified specialists, who may apply the 13% rate.
As in Belarus, the tax is withheld by the employer and remitted to the budget with each payroll. For employees, this means that “take-home” salary figures in offers already account for PIT.
Progressive taxation is particularly noticeable for senior developers and top management with annual incomes above 5 million RUB, reducing their net salary compared to Belarus.
Employer Contributions: Pension, Medical, and Social Insurance
In addition to NDFL, Russian employers pay insurance contributions to off-budget funds. These contributions are fully borne by the company and are not deducted from the employee’s salary.
For 2025, basic rates for companies under the general regime are:
- Pension insurance — 22%
- Medical insurance (OMS) — 5.1%
- Social insurance (FSS) — 2.9%
Total: 30% of the payroll.
Additionally, a contribution for work-related accidents may apply — on average 0.2–0.6%, depending on the risk class. IT companies usually use the minimal rate.
Impact on Total Company Costs
The overall employer burden in Russia is about 30–31% of the payroll for companies without special status. For example, with a developer salary of 200,000 RUB, the company effectively spends around 260,000 RUB monthly, including mandatory contributions.
This tax structure creates a substantial difference between the employee’s net salary and the total cost of the position for the employer. Higher incomes make this difference more significant, especially due to progressive NDFL.
For businesses, this necessitates careful compensation planning, accounting for both salaries and mandatory contributions, which occupy a significant share of total personnel expenses.
This is why Russian IT companies actively use special tax regimes and benefits (e.g., for accredited IT organizations), which help reduce the burden and make hiring more predictable. These benefits are discussed in the next section.
Tax Incentives for the IT Sector
Government support for the IT industry in Russia includes a range of tax incentives that significantly reduce the fiscal burden on employers. The most important of these is the preferential treatment for accredited IT companies, which allows them to pay reduced social insurance contributions and access additional benefits. These measures aim to stimulate the development of the domestic IT sector, increase its competitiveness, and retain qualified specialists within the country.
Exemption and Reduction of Social Insurance Rates
For IT companies with state accreditation, preferential social insurance rates apply. Instead of the standard 30% (22% for pension insurance, 5.1% for medical insurance, 2.9% for social insurance), these companies pay:
- Pension insurance — 6%
- Medical insurance — 0.1%
- Social insurance — 0%
As a result, the total rate drops to 6.1% compared to the standard 30%. This nearly fivefold difference dramatically changes the economics of payroll. For example, for a salary of 200,000 rubles, instead of paying 60,000 rubles in contributions, the company pays only about 12,000 rubles.
Such reductions significantly lower personnel costs, allowing companies to allocate the savings toward higher salaries, employee training, product development, or marketing.
Requirements for Accredited IT Company Status
To benefit from these incentives, an organization must obtain state accreditation as an IT company from the Russian Ministry of Digital Development. The company must meet several criteria:
- The main activity must involve the development, implementation, support, or testing of software and IT products.
- Revenue from IT-related activities must constitute at least 70% of the company’s total income.
- The company must be registered in Russia and employ at least seven staff members (more in some cases, depending on the type of activity).
- Activities unrelated to IT, such as trading, brokerage, or leasing, should not be conducted at a significant scale.
Once accredited, the company automatically gains the right to apply reduced social insurance rates and access various additional support measures, such as participation in government programs, subsidies, grants, and tax holidays.
Practical Impact on Taxes and Competitiveness
In practice, these tax incentives make accredited IT companies among the most advantageous employers in Russia. With the same salary levels, payroll costs are roughly 20–25% lower than for non-accredited companies.
This allows them to offer more attractive compensation packages without increasing the overall budget, for example, by raising employees’ net income, providing bonuses, or improving working conditions. Additionally, these companies enjoy flexibility in HR strategy and can scale their workforce more easily without a sharp increase in tax burden.
In a competitive IT labor market with rising salaries, preferential tax treatment becomes a crucial tool for retaining specialists and planning expenses.
Comparative Analysis: Belarus vs. Russia
Let’s compare the overall tax burden structure and how it is distributed between employers and employees in Russia and Belarus.
Overall Tax Structure
When comparing the tax systems of Belarus and Russia, it is important to consider not only the rates but also how the tax burden is distributed between employers and employees. In both countries, the employer acts as a tax agent, withholding personal income tax from salaries and paying social contributions. However, the structure of these payments and their impact on total hiring costs differ significantly.
Who Pays More — Employer or Employee?
In Belarus, the main burden falls on the employer. Although the personal income tax rate is relatively low at 13%, social contributions to the Social Protection Fund (FSZN) can reach 34% of the gross salary. This means the “cost” of an employee to the company is roughly one-third higher than their pre-tax salary.
In Russia, the distribution is more balanced but still slightly favors the employer. Employees pay personal income tax at 13% or 15% (for annual incomes above 5 million rubles), while employers contribute about 30% of the payroll fund in social insurance. The ratio between personal and corporate burden is similar to Belarus, though the total contributions in Russia are slightly lower.
If we consider only the base rates, employers in Belarus generally pay more, especially if the company is not a resident of the High-Tech Park (HTP). In such cases, the total burden (taxes + social contributions) is higher than that of a non-accredited Russian IT company.
How the Tax Burden is Distributed
Structurally, both systems are similar:
- Employees are responsible for personal income tax, withheld by the employer.
- Employers fully cover social insurance contributions, which fund pensions, medical care, and social protection.
However, differences in the calculation of contributions produce different effects:
- In Belarus, FSZN contributions are fixed, and non-HTP companies must pay on the full salary amount without base limits, making hiring highly paid specialists particularly costly.
- In Russia, contributions are paid at 30%, but the base is capped: for 2025, once annual salary exceeds ~2.2 million rubles, the pension contribution rate decreases from 22% to 10%. Thus, the burden gradually decreases for high incomes.
For accredited IT companies in Russia, the preferential rate of 6.1% makes their tax model significantly lighter than in Belarus, even considering HTP status. As a result, in Russia, the share of taxes in the total cost of an employee for preferential employers may be less than 20%, whereas for Belarusian non-HTP companies it is around 45%.
Summary of Burden Distribution:
- In both countries, personal income tax is 13% and withheld from the employee.
- The main difference lies in the size and calculation rules of employer social contributions.
- Without incentives, the overall IT business burden is higher in Belarus than in Russia.
- With special regimes (HTP in Belarus and IT company accreditation in Russia), the Russian model remains lighter, while the Belarusian model still offers benefits compared to the general regime.
In summary, at the base level, Belarus places a heavier burden on employers, while in Russia, especially for accredited IT companies, the system is more balanced and favorable for hiring highly paid specialists.
Conclusion
Comparing the tax burden in IT companies in Belarus and Russia shows that while the systems are structurally similar, they differ in approach and real impact on business. In Belarus, the main burden falls on employers due to high FSZN contributions, though HTP residency can significantly reduce payroll costs. In Russia, base social contribution rates are lower, and accredited IT companies benefit from record-low preferential conditions, making hiring specialists economically more advantageous.
For companies operating internationally, these differences are important when planning budgets, choosing office locations, or hiring through EOR models. Correct calculation of the total cost of an employee helps to create competitive offers and retain talented specialists without exceeding budget limits.
Our team at Recruitment.by helps IT companies recruit qualified employees anywhere in Belarus, Russia, and other countries, taking into account tax, legal, and organizational factors. We can build an efficient team, optimize costs, and establish a hiring process that supports the growth of your business rather than hindering it.
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Appealing an IT Dismissal
Even in the high-tech sector, where professionalism and flexibility are valued, labor disputes are not uncommon. Developers, testers, project managers, and other IT company specialists may find themselves in a situation where they feel they have been dismissed without cause or in violation of labor law. Conflicts arise particularly often in the event of staff reductions, termination of a contract ‘by mutual agreement’ or dismissal ‘at the initiative of the employer’.
Unlike many other industries, IT work frequently involves non-standard arrangements such as flexible schedules, remote formats, project-based employment, or service agreements through contractors or sole proprietorships. Because of this, many specialists are not fully aware of their rights when a labor contract is terminated—or whether it can be challenged.
In practice, it is not uncommon for IT specialists to be dismissed without sufficient grounds, not paid compensation, have their settlement delayed, or have their documents incorrectly drawn up. However, it is important to know that in most such situations, the dismissal can be appealed.
In this article, we will examine in which cases dismissal can be considered unlawful, what steps need to be taken to appeal it, and how to proceed if your employer has violated your rights. This material will be useful for both specialists and HR managers of IT companies who strive to build transparent and lawful employment relationships.
When Can Dismissal be Considered Unlawful?
Not every dismissal, even if it is documented, is legal. This is especially true in the IT sector: companies often use flexible forms of employment, and the wording in employment contracts often allows for different interpretations. Let’s look at the main situations in which dismissal can be challenged.
1. Violation of the dismissal procedure
Even if there are legal grounds, the employer is obliged to follow the established procedure. The following employer errors are common:
- The employee was not notified of the upcoming dismissal within the established time frame.
- No other position was offered during downsizing.
- The employee’s work record book or copies of documents were not issued on the day of dismissal.
- The dismissal order was drawn up with violations.
Any of these violations may be grounds for declaring the dismissal unlawful and reinstating the employee.
2. Dismissal without legal grounds
An employer cannot terminate an employment contract at their discretion—the grounds must be provided for by law and confirmed by documentation. For example, dismissal ‘for violation of labor discipline’ requires an official act, an explanatory note, and evidence of misconduct.
In the IT sector, there are situations where an employee is dismissed on the grounds of ‘low efficiency’ or ‘inadequacy for the position’ without conducting an appraisal or assessment. In such cases, the dismissal can be appealed if the employer has not proven the existence of objective reasons.
3. Coercion to resign ‘of one’s own accord’ or ‘by mutual agreement’
It is not uncommon for employees to be effectively forced to resign voluntarily: pressure is exerted, access to projects is restricted, salaries are delayed, or an ‘alternative’ is offered in the form of dismissal by mutual agreement.
If the decision to resign was made under pressure, the employee has the right to challenge it. The court may declare the resignation invalid if it proves that it was written under the influence of threats or deception.
4. Features of dismissal for remote or project-based work
For remote IT specialists and employees working on temporary projects, it is especially important that the grounds for dismissal are clearly stated in the contract. The employer cannot terminate the relationship without warning or without taking into account the terms of the contract.
For example, if an employee is working on a fixed-term project, early termination of cooperation is only possible on grounds provided for by labor law or the contract. Otherwise, it is illegal dismissal.
Thus, even if the dismissal order has already been signed, this does not always mean that the employer has acted lawfully. It is important to carefully analyze the documents, the reasons for dismissal, and the procedure for its formalization — these details determine whether there are grounds for appeal.
Employee Rights Upon Dismissal
Even if the dismissal is formalized correctly, the employer is obliged to respect the employee’s rights as provided for by labor law. Regardless of the reason for termination of the contract, IT specialists have a number of guarantees that the company cannot ignore.
1. Payments due upon dismissal
On the day of dismissal, the employee is paid:
- Salary — for all days worked, including partial months.
- Compensation for unused vacation time — calculated in proportion to the time worked.
- Severance pay — due in cases of liquidation of the organization, staff reduction, or conscription into the army, or in other cases provided for in the employment contract.
In the IT sector, where flexible forms of employment and contract work are often practiced, the amount of severance pay may be specified in the contract itself—for example, in the form of ‘severance pay’ or compensation for early termination of the contract.
Important: if the company delays payment, the employee has the right to demand compensation for each day of delay.
2. Right to receive copies of documents and certificates
On the day of dismissal, the employee must be given:
- a copy of the dismissal order.
- A certificate of income for the last year.
- A copy of the employment contract (upon request).
- Information about insurance contributions paid.
These documents may be needed when going to court or when applying for a job with a new employer. If the employer refuses to provide them, you can submit a written request or contact the labor inspectorate.
3. Terms and procedure for calculation
All payments and issuance of documents take place on the last working day. If the employee was absent on that day (for example, on sick leave or vacation), the calculation is made no later than the next day after their request.
The employer is also obliged to provide a calculation sheet showing all amounts accrued and withheld upon dismissal.
Thus, when dismissing an employee, it is important not only to verify the legality of the grounds for dismissal, but also to ensure that all guarantees are complied with: money is paid, documents are drawn up, and deadlines are met. This will help avoid disputes with the employer and simplify any possible appeal against the dismissal.
How to Appeal a Dismissal
If an employee believes that their dismissal was unlawful, they have the right to appeal it. In the IT sector, such cases are not uncommon, especially when the dismissal is formalized with violations or occurs under pressure. It is important to act quickly and competently to protect your rights and restore justice.
Where to go
Depending on the situation, you can choose one of the following options:
Labor Inspectorate — helps in cases of violation of employee rights (e.g., refusal to issue documents, delayed payments, coercion to resign). The Inspectorate can conduct an investigation and issue an order to the employer.
Court — the main and most effective means of protection if you need to have your dismissal declared unlawful, be reinstated at work, or receive compensation. The court considers labor disputes independently of the employer’s position and may overturn the dismissal order.
Deadlines for Filing a Complaint or Lawsuit
The deadlines are limited:
1 month — to file a lawsuit from the date of receipt of a copy of the dismissal order or employment record book.
3 months — if the dispute concerns other labor violations (e.g., non-payment of wages).
Failure to meet these deadlines may result in the case being dismissed, so it is important not to delay filing a complaint.
What Documents and Evidence are Needed
To appeal a dismissal, the employee should prepare:
- a copy of the employment contract.
- The dismissal order and employment record book.
- Evidence of illegal actions by the employer — correspondence, internal notifications, witness statements.
- Calculation documents confirming debt or non-compliance with the payment procedure.
If the dismissal was accompanied by pressure from management (for example, a suggestion to ‘resign voluntarily’), screenshots of correspondence, recordings of conversations (if made legally), or letters in corporate email will be useful.
Possible outcomes of the case
If the dismissal is found to be unlawful, the court may:
- Reinstate the employee.
- Recover average earnings for the period of forced absence from work.
- Order compensation for moral damage.
- Change the wording of the reason for dismissal (for example, replace ‘under the article’ with ‘by agreement of the parties’).
In addition, the court may also oblige the employer to make corrections to the employee’s work record book and personnel documents so that the employee does not encounter problems with employment in the future.
Thus, appealing a dismissal is a real and effective way to protect your rights. The main thing is not to be afraid to defend your position, to competently gather evidence, and, if necessary, to hire a lawyer who will help you prepare documents and build a defense strategy.
Features of disputes with IT companies
Labor disputes in the IT sector have their own specifics related to the peculiarities of employment, flexible work formats, and international practice. It is important to consider the status of the person who worked with the company—whether they were a full-time employee, contractor, individual entrepreneur, or specialist hired through an EOR/outsourcing agency. This determines what rights and guarantees apply in the event of dismissal and how they can be protected.
1. Termination when working under a contract or subcontract
The IT sector often uses contractual relationships (fixed-term employment contracts) or civil law contracts (contracts for work, provision of services).
If an employment contract has been drawn up, all labor law provisions apply: notifications, payments, vacation, benefits. Illegal termination of such a contract can be appealed in court as a normal dismissal.
If the relationship is formalized by a contract for work, formally it is not a dismissal, but a termination of a civil law contract. However, if the work was actually carried out on the basis of an employment relationship (fixed schedule, workplace, compliance with internal rules), the court may reclassify the relationship as an employment relationship, which gives the employee the opportunity to seek protection under the provisions of the Labor Code.
What to do if you worked as a sole proprietor or through an EOR/outsourcing agency
Many IT specialists cooperate with foreign customers through EOR providers or work as individual entrepreneurs.
When working through an EOR (Employer of Record), the intermediary legal entity registers the specialist as its employee. If a conflict or dismissal arises, it is important to understand with whom the contract was concluded — with the customer or the EOR company. Claims of unlawful dismissal are filed against the person who is legally the employer.
When working as an individual entrepreneur, you are formally an independent business entity. Labor law does not apply here — relations are governed by civil law. However, if the customer has violated the terms of the contract (for example, unilaterally refused to perform without grounds), you can recover damages or penalties in a commercial court.
Dismissal due to reorganization, liquidation, or project reduction
IT companies often undergo structural changes — mergers, downsizing, office relocations, or the closure of individual divisions. In such circumstances, mass dismissals are possible.
The employer is obliged to:
- notify employees at least 2 months in advance.
- Offer alternative positions, if available.
- Pay severance pay in the established amount.
If the dismissal is carried out without complying with these requirements (for example, under the pretext of “optimization” without notice), the employee has the right to challenge the company’s actions and demand reinstatement or compensation.
Disputes with IT companies require a precise understanding of the form of cooperation and the legal framework that regulates this form of employment. Regardless of whether you worked under a contract, through an EOR, or as a sole proprietor, it is important to record violations in a timely manner, collect documents, and seek legal assistance if necessary. This will allow you to choose the right defense strategy and minimize professional and financial losses.
Practical recommendations for IT specialists
Appealing a dismissal is not only a legal procedure, but also a matter of attentiveness and timely action on the part of the specialist themselves. Mistakes made in the early stages can later make it difficult or even impossible to defend your rights. Below are practical tips to help IT specialists act competently and protect their interests.
How to respond to a dismissal notice
Do not rush to sign documents without understanding the grounds for dismissal. First of all:
- carefully study the order or notice — check whether the exact wording and references to legal norms are indicated.
- Clarify the date of dismissal and the notice period — employers often violate these requirements, especially in the case of downsizing or liquidation.
- Request a written explanation of the reasons for dismissal if they are not specified.
- If necessary, consult a lawyer to understand whether the procedure complies with legal norms.
This approach will not only help you avoid mistakes, but also prepare you for a possible appeal against the dismissal if it turns out to be unlawful.
What not to sign without consulting a lawyer
Many employers in the IT sector offer employees ‘simplified’ solutions: to sign a statement ‘of their own free will’ or ‘by mutual agreement’ in exchange for a small compensation. It is not recommended to do this without analyzing the terms and conditions.
Before signing, we recommend that you:
- read the document carefully — it may state that you have no claims against the employer, which will deprive you of the right to make further claims.
- Make sure that the compensation or severance pay is specified in writing.
- Request a copy of the agreement or statement for yourself.
- Sign documents only after consulting with a lawyer or after making sure that the dismissal has been formalized correctly in accordance with your rights.
How to record violations by your employer
If you suspect that your dismissal is unlawful, you need to gather evidence:
- take screenshots of correspondence (in messengers, email, corporate chats) where the terms of dismissal or pressure from management are discussed.
- Keep copies of notifications, orders, and settlement documents.
- For personal conversations, record the dates, participants, and content of meetings in writing (in work notes or personal files).
Such materials can become key evidence in court or when contacting the labor inspectorate.
Why it is important to keep correspondence and evidence of agreements
In IT companies, many processes take place online — via email, Slack, Jira, corporate CRM. This data often contains indirect confirmation of employment relationships, payment terms, and employer actions.
Save:
- correspondence with your manager and HR about work tasks, pay, vacation, and dismissal.
- Emails confirming the terms of the contract.
- Documents and files that confirm the performance of work (e.g., Git commits, reports, screenshots of work tools).
Even if you worked as a contractor or through an EOR, this data can prove that the relationship was in fact an employment relationship, which gives you the right to seek protection under labor law.
Conclusion
Getting fired is stressful, especially for IT pros, where non-standard forms of employment and flexible contracts are common. Even if it seems like your employer is following the law, it’s important to carefully check all the documents and procedures so you don’t lose out on legal payments and your reputation as a reliable professional.
If you have doubts about the legality of your dismissal, are facing pressure from management, or do not know how to properly protect your rights, do not try to deal with the problem on your own.
Our lawyers are ready to advise IT employees on issues related to dismissal, help assess the legality of the employer’s actions, and represent your interests in appeals, both in pre-trial proceedings and in court.
Legal support is not just a way to uphold justice, but a tool that helps you preserve your professional rights, reputation, and confidence in the future.
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If you contact us by the email we guarantee that you will receive a feedback from us within 2 (two) hours on any business day and within 6 (six) hours on any other day (holidays etc.).
Protecting the Rights of IT Employers
The IT sector in Belarus and beyond continues to grow rapidly, and with it, labor relations between employers and employees are becoming increasingly complex. High competition for qualified talent, remote work, the use of intellectual property, and flexible employment arrangements all create new challenges for companies.
IT employers often face situations where they need to protect their interests: from the unfair use of trade secrets and “poaching” of employees by competitors to unlawful actions by employees themselves, such as breaches of discipline or contractual obligations. Even a minor mistake in legally formalizing employment or civil-law relationships can result in significant financial and reputational risks for a company.
This article explores the legal tools that help IT employers protect their rights, key points to consider when formalizing relationships with employees and contractors, and preventive measures to reduce the likelihood of disputes.
Key Risks for IT Employers
IT companies operate in a highly competitive environment where human resources and unique developments are core business assets. Employers therefore face numerous risks that directly affect the stability and profitability of the company. Here are the most common threats.
Employee Turnover and Poaching of Key Specialists
The IT sector is characterized by high employee mobility: specialists often change employers in search of more interesting projects or better conditions. Losing key staff can result not only in costs associated with recruiting and onboarding new personnel but also in the risk of losing unique knowledge, methods, and client relationships. The situation is further complicated when competitors actively poach specialists, directly weakening the employer’s business.
Leakage of Code, Trade Secrets, and Know-How
Code, architectural solutions, client databases, business models, and other intangible assets often represent a company’s most valuable resources. Data leaks can occur accidentally, due to insufficient system protection, or deliberately, by a dishonest employee. The consequences can be severe, both financially and reputationally, especially if sensitive information falls into competitors’ hands.
Discipline Violations and Breach of Contractual Obligations
Even in a flexible and modern IT environment, employers face breaches of work discipline: missed deadlines, refusal to complete tasks, or violations of internal regulations. In civil-law contracts, contractors may fail to meet obligations, miss deadlines, or deliver substandard results. All of this can cause project delays, financial losses, and damage to client trust.
Abuse in Remote Work and Freelancing
Remote work, popular in IT, offers companies flexibility but also creates risks. Monitoring discipline and employee workload remotely is more challenging, and freelancers often juggle multiple projects that compete with company tasks for time. This may result in employers paying for incomplete or late work or encountering conflicts of interest.
Legal Tools for Protecting Employer Interests
Legal literacy and clearly defined terms of engagement allow employers not only to minimize risks but also to build transparent relationships with employees and contractors. Such instruments are particularly important in the IT sector, as it involves working with intellectual property, flexible work schedules, and remote work. Key mechanisms include:
Employment Contracts and Internal Policies
The employment contract remains the fundamental instrument defining the rights and obligations. In IT, it may include specific terms and conditions, such as procedures for handling confidential information, liability for violating deadlines and discipline, requirements for the use of company equipment, NDAs (non-disclosure agreements), and non-compete agreements. Internal regulations (internal rules, data protection regulations, IT policies) complement the contract and ensure a uniform standard of conduct for employees.
Civil-Law Contracts and Working with Freelancers
Employers working with freelancers or self-employed specialists use civil-law contracts. These agreements offer flexibility in defining tasks and deadlines but require precise specification of the contract’s subject, work scope, and delivery procedures. It is particularly important to clarify ownership of any created code or products to avoid legal disputes over intellectual property rights.
NDAs and Non-Compete Agreements
NDAs protect employers from leaks of confidential information, such as code, business processes, and client data. In IT, they are among the most common documents and are signed by both employees and contractors. Non-compete agreements may also be used to limit an employee’s ability to work for direct competitors or create similar products for a certain period. These clauses must be carefully drafted to ensure they are enforceable in practice.
Intellectual Property Registration
Code, databases, designs, logos, brands, and other intangible assets are key resources for any IT company. Registering intellectual property copyrights, trademarks, patents prevents unauthorized use by third parties. This provides a legal basis to protect employer interests and officially secure the company’s developments.
Preventive Measures
In IT, it is often more effective and economical to prevent risks than to waste resources on disputes and lawsuits later. A well-thought-out system of preventative measures allows for threats to be minimized even at the formalization stage of relationships with employees and contractors.
Proper Documentation from Day One
At the hiring stage, it’s important to clearly spell out the terms of employment: employment or civil law contracts, NDAs, and information protection provisions. Documents must be legally correct and tailored to the specifics of the company. This creates transparent rules of the game and protects the employer from potential conflicts.
Control and Corporate Security Systems
In an IT company, ensuring the protection of data and development results is especially important. Using access control systems, delimiting user rights, and monitoring employee activity help reduce the risk of leaks and abuse. Additionally, it’s worth implementing internal regulations: rules for the use of corporate equipment, cloud services, and password storage.
Legal Support During Hiring and Termination
Mistakes in document execution during hiring or firing can result in costly disputes. Legal consultations at these stages help avoid labor law violations, correctly formalize the terms of intellectual property transfer, and reduce the likelihood of conflicts with former employees.
Training HR and Managers on Legal Basics
HR specialists and team leaders are at the forefront of employee interactions. Understanding basic legal mechanisms such as how to draft contracts, what to include in NDAs, and what questions to ask during interviews adds an extra layer of protection. Education and regular training help minimize risks during the recruitment and onboarding stages.
Dispute Resolution
Even with preventive measures in place, conflicts between employers and employees or contractors can still arise. It is important to understand the tools available for their resolution and how to minimize losses and preserve the company’s business reputation.
Out-of-Court Conflict Resolution
Many disputes can be resolved without litigation through negotiations,internal committees, or mediation. This approach helps reduce tensions, maintain relationships with valuable employees, and avoid negative publicity. It is important to have internal procedures for handling complaints and claims, as well as appoint responsible persons to conduct dialogue with employees and contractors.
Legal Action: When and How to Proceed
If negotiations fail, employers may turn to courts. Legal action can recover damages for contract breaches, stop violations, or hold former employees accountable for disclosing trade secrets. Success depends on properly prepared documentation, including contracts and internal policies. Legal advice ensures litigation is pursued only when evidence is solid and reputational risks are assessed.
Practical Tips to Minimize Risk
- Document all agreements, including correspondence and work completion reports.
- Respond promptly to violations, without letting problems accumulate.
- Involve a lawyer early if a conflict escalates.
- Evaluate both legal and reputational implications of each step.
- Use mediation or arbitration clauses as alternatives to court.
A dispute resolution strategy should balance protecting company rights with maintaining its business reputation.
Case Study
An IT company contracted a freelancer to develop a module for an internal system. The contractor missed deadlines, and the delivered code partially included content from external repositories, risking licensing issues. The employer first attempted to resolve the conflict through negotiation, offering partial payment and further development. The freelancer refused, and the dispute moved to court.
Thanks to a well-drafted civil-law contract, specifying deadlines, responsibilities for breaches, and IP ownership transfer, the company recovered damages and officially secured the corrected module.
This example illustrates the importance of proper contractual foundations and starting dispute resolution with negotiation, leaving litigation as a last resort.
Conclusion
Protecting the rights of IT employers is a systematic process covering all stages of working with employees and contractors. Well-drafted contracts, NDAs, non-compete agreements, intellectual property registration, internal policies, and HR training help minimize risks and build trust within the team.
Preventive steps are always more advantageous than legal disputes; they save time, resources, and preserve the company’s reputation. However, if conflicts arise, it is crucial to know which mechanisms to use, from negotiations to full legal protection.
Our team knows how to structure processes so that employers do not have to “put out fires,” making legal security a natural part of business development. We are ready to help implement effective protection tools and support your company at every stage.
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