This document summarizes the results of a pay survey of 18 manufacturing companies operating in Western Ukraine. It provides data on average monthly salaries as of October 2019 for roles such as production manager, engineer, accountant, and assembler. The survey found that most companies plan to maintain headcount at current levels in 2020, though some anticipate reductions. Salaries are expected to increase by 11-14.9% on average for managers, specialists, and blue-collar workers. Common benefits provided include subsidized meals, medical insurance, and training. The document also compares salaries to 2018 levels and provides contact information for the survey organizers.

1. Lviv, 79005
Petrushevych sq 3, office 311
Phone./Fax: +380 32 297 13 90, 297 19 03
www.lvivconsult.com
info@lvivconsult.com
PAY SURVEY OF MANUFACTURING COMPANIES, WESTERN UKRAINE
OCTOBER 2019
Survey data
Participants: manufacturing companies operating in Lviv, Volyn, Ivano-Frankivsk, Ternopil
regions of Western Ukraine
• The survey was conducted in the period of October 1th
through October 21th
, 2019
• Pay data is actual as of October 1st
2019
• Employers reported salaries in UAH, gross.
• Salaries are paid and calculated on a monthly basis.
• Companies are responsible for the following taxes on labor:
▪ Corporate labor tax: 22% on gross salary
▪ Personal deductions on salaries :
▪ 18% income tax
▪ 1,5% military tax
• In the report Monthly Basic Salary as of October 1th
and Projected Annual Basic
Guaranteed Salary, 2019 and Projected Annual Basic Guaranteed Salary, 2020 are
presented as gross values (before taxes and deductions) in the form of statistical
indicators: Average, 1 and 3 Quartiles, Adjusted Minimum and Maximum.
• Pay information is collated in three sections:
– Western region of Ukraine
– Automotive
– FMCG
• Eighteen companies operational in Western Ukraine for more than 5 years
participated in the Pay Survey.
• Half of participants have head count of 500 to several thousand employees and the
rest employ from 100 to 500 employees.
• Total number of employees in the surveyed companies is above 20000.
• 72% survey participants are companies with foreign investments, other participants
are companies with Ukrainian capital.

2. Lviv, 79005
Petrushevych sq 3, office 311
Phone./Fax: +380 32 297 13 90, 297 19 03
www.lvivconsult.com
info@lvivconsult.com
Job matching
Finding: Headcount change in the last quarter of 2019 - 2020
Will increase 0
Will decrease 28 %
Will remain at the same level 72 %
• None of the participants reported the intent to expand and increase headcount.
Last year 47% of the pay survey participants planned to expand production.
• Number of companies planning to reduce personnel increased almost twofold:
from 15% to 28%, in Wood Processing, Food Processing and Automotive.
• Majority of companies in Automotive, Food Processing and Metal Working plan
to work with the existing number of employees.
• In 2019 employees turnover has slightly decreased by 3%-4,5% compared to 2018
and on average amounts to 12%.
Participants were asked to match their positions with descriptions of 45 jobs grouped into
9 job families:
Manufacturing & Engineering Manual workers
Quality Control Logistics & Purchasing
Human Resources Finance & Accounting
Sales Administration
Informational technologies

3. Lviv, 79005
Petrushevych sq 3, office 311
Phone./Fax: +380 32 297 13 90, 297 19 03
www.lvivconsult.com
info@lvivconsult.com
Findings: Merit increase: IV. 2019 – 2020
Findings: Reasons for merit increase in IV.2019 – 2020
Findings: Bonus Payment
The main reasons for merit increase are the following:
% respondents
- Official inflation rate 72 %
- Employee’s individual achievements 67 %
- Company made analysis 56 %
Despite the growing competition in the labor market only every third company takes into
account pay policies of other companies. Participants also consider minimal living standard
requirements, cost of municipal services, wages in Eastern Europe and the official minimal
wage.
• 100 % of companies pay bonuses and premium to manual workers and sales people.
• 94% of companies pay bonuses to all employees.
• The variable part of compensation (bonuses) in 2019 constitutes on average
20%-35% of total compensation for skilled and semi-skilled production workers;
18%-21% for specialists and 20%-25% for managers.
83% of companies have reviewed pay levels in 2019
89% of companies will review pay levels in 2020
- 61 % have a regular pay review once a year
- 39 % have a pay review as needed, more than twice a year
The companies that used to review pay twice a year in 2018 ( 25% of all participants in
Automotive and Wood Processing) no longer practice this approach in 2019.
Basic salaries in 2020 will continue to grow by 12% on average:
- managers 11 %
- specialists 12,6 %
- blue collars 14,9 %
Wages of skilled and non-skilled labor will increase slower compared to 2019.

4. Lviv, 79005
Petrushevych sq 3, office 311
Phone./Fax: +380 32 297 13 90, 297 19 03
www.lvivconsult.com
info@lvivconsult.com
Findings: Most popular benefits among surveyed companies
Findings: Average Monthly Gross Salary (median to average) for standard jobs
• 100 % of companies offer compensation packages to employees.
• Subsidized or free meals, medical insurance, foreign language and internal technical
trainings are available for all levels of employees.
• Top and middle management enjoy free mobile connection and additional paid
vacations. Top managers in 50% of the surveyed companies can obtain interest free
loans, have corporate cars or receive reimbursement for using their own vehicles.
• The companies bear additional annual costs for benefits: on average 43000 uah
(without cost of car) manager, 22000 uah - specialists 14000 uah per blue collar
worker
Production manager, 3 years of experience 44730 - 55014 uah $1783 - 2193
Engineer, 3+ years of experience 16794 - 20583 uah $670 - 821
Accountant, 3+ years of experience 13278 - 15413 uah $529 - 614
Mechanic, 3+ years of experience 10725 - 13748 uah $427 - 548
Assembler/ Line operator 8683 - 12840 uah $346 - 511
In comparison with 2018 average gross salary of Manager went up by 15%-20%,
Specialist - by 13%-16% and Blue collar worker - by 16%-22%.
*Official exchange rate: $1= 25,08 uah.

5. Lviv, 79005
Petrushevych sq 3, office 311
Phone./Fax: +380 32 297 13 90, 297 19 03
www.lvivconsult.com
info@lvivconsult.com
Comparison of average monthly salaries (median) (in $)
for top management in Western region of Ukraine
* Official exchange rate
In case you have questions, need additional information or are interested in the full version of the Pay
Survey 2019, please contact Oksana Abramenko.
+38 032 297 19 03 / +38 050 370 13 16
oksana.abramenko@lvivconsult.com