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    Uzbekistan

    Uzbekistan: Employers hiring former convicts receive subsidies

    Uzbekistan: Employers hiring former convicts receive subsidies

    On September 5,  the government of Uzbekistan approved a resolution on "Additional Measures to Support Specific Socially Vulnerable Groups and Facilitate Their Employment," as per the decision communicated by the Ministry of Justice.

    Key Highlights of the Resolution

    1. Employer Incentives

    Beginning October 1, 2023, businesses that hire individuals released from correctional facilities will receive a substantial one-time subsidy. This grant equals three times the basic calculation amount, totaling UZS 990,000 ($82,22) for each employee. To qualify for this subsidy, the employee must have completed over three months of service.

    Illustrative photo
    Source: Wise geek

    2. Exceptions Apply

    The government organizations, state enterprises, and legal entities in which the state holds a stake of 50% or more in the capital are exempt from this provision. This exception is detailed in the official announcement.

    3. Personal Income Tax Refund

    By January 1, 2025, a system will be implemented to refund personal income tax paid by entrepreneurs during their probationary period.

    4. Enhancing Employment Opportunities

    Starting October 1, 2023, two critical initiatives will be rolled out:

     a. "Ishga Marhamat" centers will offer professional and entrepreneurial skills training for individuals released from correctional facilities. (prisons)

     b. A comprehensive job placement system will be established, facilitating the integration of individuals released from correctional institutions into available and reserved positions within various organizations.

    Funding Source

    These subsidies will be funded through the State Employment Promotion Fund. To access this financial support, employers must submit written applications either to local employment and poverty reduction offices or through the Unified Portal of Interactive Government Services.

    Earlier, Daryo reported that inmates, who had not committed severe crimes, could cast their votes in the referendum on the draft Constitutional Law of Uzbekistan.

    The employment rate within the prison population has reached 62%; the figure is set to increase with the opening of new workshops. In addition, 282 convicted persons received certificates as they underwent training in a new profession. Disabled people, sick and elderly convicts are not involved in work.

    The prisoners noted that the workshops were paid for part-time work. For example, in the sewing workshop, some people were paid up to UZS 2.5-3mn for work, while most convicted prisoners received around UZS 1mn.

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    07.09.2023, 20:28   Comments (0)   1420
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