IТ Ukraine Association Report: Relocation. The new IT landscape of Ukraine

In July 2022, the IТ Ukraine Association in collaboration with the Sayenko Kharenko law firm conducted a joint “Relocation. The new IT landscape of Ukraine” research where the team collected and analyzed data on the relocation of IT companies both within Ukraine and abroad.

  • According to the results of the research, it turned out that more than 50% of the surveyed IT companies did not relocate and switched to remote work. Some companies have already partly returned to the office work.
  • Among the IT companies that relocated, relocation within Ukraine prevails (45%). 42% of companies partially relocated abroad, including those 5% only that closed part of their offices in Ukraine.
  • None of the surveyed IT companies carried out a complete relocation abroad. Relocation is largely considered by IT companies as a forced step for the period of the War, or at least its active phase.
  • In general, taking into account the results of the survey, the relocation process will continue systematically. The vast majority of IT companies are satisfied with the relocation (93%). This shows that IT companies are successfully adapting to new business conditions and are able to respond to challenges arising from relocation. However, 53% of companies that have relocated are still looking for options for alternative further relocation abroad to minimize costs.
  • For greater stability of the IT industry and its further development, it is important for companies to:
    1. Provide an effective mechanism for the reservation of IT professionals.
    2. Resolve the issue of the policy of the National Bank of Ukraine regarding the procedure for currency settlements.
    3. Allow temporary departure of IT professionals on business trips outside of Ukraine.
    4. Liberalize tax legislation.

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