Cost depends on the scope of work

HR compliance and labour disputes in Uzbekistan

Audit of HR documents, lawful dismissal and redundancy, fixed-term contracts and defence of the employer in court.

  • The 2022 Labour Code is in force — the 1995 code has been repealed
  • A fixed-term contract with no statutory ground counts as open-ended
  • Notice of redundancy — in writing against signature two months in advance
In brief

What does an employer in Uzbekistan face for an unlawful dismissal?

Article 174 of the Labour Code of the Republic of Uzbekistan brings three consequences at once: the employee is reinstated in the previous job, the employer pays for the entire period of forced absence from work and pays compensation for moral damage. Most often a dismissal is held unlawful not because the ground was missing but because of the procedure: before imposing a disciplinary penalty the employer must request a written explanation from the employee and impose the penalty no later than one month from the day the misconduct was discovered. Separately, the law prohibits termination of an employment contract at the employer's initiative during periods of temporary incapacity for work, during statutory leave and during a business trip.

Where money is lost

What usually goes wrong

These are not abstract risks but the scenarios that break deals and turn decisions of state bodies against you.

Dismissed for misconduct, and the court ordered reinstatement

Reinstatement in the previous position, pay for the entire period of forced absence and compensation for moral damage — plus the employee is back on the payroll.

Typical mistake: No written explanation was requested before the penalty was imposed, or the one-month period from the day the misconduct was discovered was missed. The ground may be watertight while the procedure is already lost.

The whole team on fixed-term contracts “for flexibility”

Every non-renewal turns into an unlawful dismissal with reinstatement and forced absence pay. With a headcount of several dozen this is a systemic risk, not an isolated dispute.

Typical mistake: The fixed-term contract was concluded without a ground provided by the code. Such a contract is deemed concluded for an indefinite term; exceeding the aggregate term of fixed-term contracts gives the same result.

A department was made redundant and the claims followed

Severance pay grows with length of service and reaches two hundred per cent of the average monthly wage, and on top of that come payments for the breached notice period.

Typical mistake: No written notice against signature at least two months in advance, and no offer of a transfer to other available work. Redundancy is a procedure, not a manager's decision.

An employee on sick leave or on holiday was dismissed

The dismissal is set aside regardless of how well founded the ground was.

Typical mistake: The employee's status on the date of the order was not checked. The law expressly prohibits termination at the employer's initiative during incapacity for work, leave and business trips.

There are no HR documents, and an inspection has arrived

Any labour dispute becomes a dispute without evidence: the employer has no orders, no signed acknowledgements and no record of the procedure.

Typical mistake: HR is run “as it goes”: there is a contract and nothing else. Meanwhile the conclusion, amendment and termination of an employment contract are subject to mandatory registration in the state information system.

Working from templates written for the old code

The wording of orders and contracts refers to rules that no longer exist, and that is the first thing the employee's representative uses.

Typical mistake: It was overlooked that the Labour Code now in force was adopted in 2022 while the 1995 code was repealed. Both the grounds for termination and the procedures have changed.

Result

What you get

HR document audit

Contracts, orders, internal regulations, signed acknowledgements and state registration — what exists, what is missing and what contradicts the code.

Moving to correct contracts

We review fixed-term contracts against the statutory grounds and bring them into a shape that will survive a dispute.

Lawful dismissal

We run the procedure step by step: ground, explanation, deadlines, order and final settlement — so the decision is not reversed in court.

Redundancy

Notice against signature, offer of a transfer, calculation of severance pay and the order of selection — the whole procedure.

Defence in a labour dispute

Representing the employer and handling claims for reinstatement and forced absence pay.

Foreign personnel

Permits for foreign employees and executives, and monitoring of their validity periods.

How we work

How it works

  1. 013–5 days

    Express audit

    We review a sample of contracts and orders: the systemic error is usually visible in the first five files.

  2. 023–5 days

    Remediation plan

    We separate the breaches that can be fixed now from those that have already created dispute risk, and set priorities.

  3. 032–6 weeks

    Putting documents in order

    Contracts, internal regulations, orders, acknowledgements and registration — together with training for the HR team.

  4. 04ongoing

    Ongoing support

    We handle complex dismissals and redundancies and defend you in disputes and inspections.

Legal basis

What the law says

Every point comes with a link to the primary source so you can check it yourself.

  • The Labour Code of the Republic of Uzbekistan now in force was adopted by the Law of 28 October 2022 No. ZRU-798; the earlier law adopting the 1995 Labour Code has been repealed.

    lex.uz — ZRU-798
  • An employment contract is concluded either for an indefinite term or for a fixed term of no more than three years; if no term is stated in the contract, it is deemed concluded for an indefinite term (Article 110 of the Labour Code).

    lex.uz — Article 110 of the Labour Code
  • A fixed-term employment contract concluded in the absence of the grounds provided by the code is deemed concluded for an indefinite term (Article 111 of the Labour Code).

    lex.uz — Article 111 of the Labour Code
  • The grounds on which an employment contract may justifiably be terminated at the employer's initiative are listed in part two of Article 161 of the Labour Code and include liquidation of the organisation and a change in headcount or in the staffing schedule.

    lex.uz — Article 161 of the Labour Code
  • On liquidation or a change in headcount or in the staffing schedule, the employer must notify the employee in writing against signature at least two months in advance (Article 165 of the Labour Code).

    lex.uz — Article 165 of the Labour Code
  • The minimum amount of severance pay depends on length of service with the given employer and increases with that service (part 3 of Article 173 of the Labour Code).

    lex.uz — Article 173 of the Labour Code
  • On unlawful termination of an employment contract the employee is reinstated in the previous job, with mandatory pay for the period of forced absence and payment of compensation for moral damage (Article 174 of the Labour Code).

    lex.uz — Article 174 of the Labour Code
  • Termination of an employment contract at the employer's initiative is prohibited during periods of temporary incapacity for work, while the employee is on leave provided by law and while on a business trip (Article 163 of the Labour Code).

    lex.uz — Article 163 of the Labour Code
  • Before imposing a disciplinary penalty the employer must request a written explanation from the employee, and the penalty is imposed no later than one month from the day the misconduct was discovered (Articles 313 and 314 of the Labour Code).

    lex.uz — Articles 313, 314 of the Labour Code
  • The conclusion and termination of an employment contract, as well as the making of amendments to it, are subject to mandatory registration in the state information complex (Article 109 of the Labour Code).

    lex.uz — Article 109 of the Labour Code
Choosing an option

Fixed-term contract or open-ended

What we compareFixed-termOpen-ended
When it is permittedOnly where the code provides a groundAlways
Maximum termNo more than three years; exceeding the aggregate term turns the contract into an open-ended oneNot limited
If there is no groundDeemed concluded for an indefinite term
What it gives the employerNothing where the ground is absent: non-renewal becomes an unlawful dismissalA clear termination procedure with defined notice periods and payments

A fixed-term contract is not a flexibility tool but an exception with a closed list of grounds. Companies that put the whole team on one-year contracts “to make parting easier” get exactly the opposite: open-ended relationships and a run of lost cases.

Next step

Tell us about your case

We will go through your situation, say what can realistically be done and in what timeframe, and name the cost once we understand the scope. Without that, any figure would be invented.

Консультация по задаче — бесплатно. Стоимость работы называем после того, как поймём объём.

Questions

Frequently asked questions

Which Labour Code is currently in force in Uzbekistan?
The code adopted by the Law of 28 October 2022 No. ZRU-798. The earlier law adopting the 1995 Labour Code has been repealed, so templates for orders and contracts that cite the old rules cannot be used.
Can all employees be hired on fixed-term contracts?
No. A fixed-term contract is allowed only on the grounds provided by the code and is concluded for a term of no more than three years. A contract concluded without such a ground is deemed concluded for an indefinite term — meaning that non-renewal becomes an unlawful dismissal.
What happens if a dismissal is held unlawful?
Under Article 174 the employee is reinstated in the previous job, the employer pays for the entire period of forced absence and pays compensation for moral damage. The employee also returns to the payroll, which for a company is often harder than the payments themselves.
How should a redundancy be carried out?
As a procedure, not as a decision: written notice against signature at least two months in advance, an offer of a transfer to other available work, and calculation of severance pay, whose minimum amount depends on length of service with the given employer.
Can an employee on sick leave be dismissed?
No. Termination at the employer's initiative is prohibited during periods of temporary incapacity for work, while the employee is on leave and while on a business trip. The ground is irrelevant — the order will be set aside on a formal point.
What must be done before imposing a disciplinary penalty?
Request a written explanation from the employee and keep to the deadline: the penalty is imposed no later than one month from the day the misconduct was discovered. These two requirements are the ones most often breached, losing a case that was strong on the merits.
Does an employment contract have to be registered anywhere?
Yes. The conclusion and termination of an employment contract, as well as amendments to it, are subject to mandatory registration in the state information complex. The absence of registration weakens the employer's position both in a dispute and during an inspection.
Where to start if there are almost no HR documents?
With a sample audit: the systemic error is usually visible in the first few files, and the remaining question is only its scale. The breaches are then split into those fixable now and those that have already created dispute risk — the latter call for a separate strategy, not for backdating paperwork.
Why you can trust us with this

Verifiable facts about us

There are no testimonials or case studies here: they cannot be verified. Only what you can confirm yourself.

  • We point out that the 1995 Labour Code has been repealed — orders are still being built on templates written for it, and those orders are reversed in court.
  • We do not publish labour inspectorate fine amounts or quotas for foreign employees: we could not confirm them against the primary source.
  • Pactum is Uzbekistan's legal services platform: 5042 services in the catalogue, and a request goes to a lawyer who works in that area.
Related

Related materials and services

This material is for reference only and is not legal advice on your specific situation. Rules and tariffs change — check the current version through the links to the primary sources above. To have your case assessed, send a request.