Social entrepreneurship as a tool for war veterans’ adaptation to civilian life: legal dimension and practical mechanisms

Abstract

This article provides a systematic scientific study of the legal and organizational foundations for the reintegration of war veterans into the socio-economic life of society through the development of the social entrepreneurship sector. The relevance of the research is driven by unprecedented challenges facing Ukraine: as of the spring of 2026, the number of veterans has exceeded 1.7 million, many of whom have complex injuries and disabilities. This necessitates a fundamental shift in the social protection paradigm – moving from a paternalistic model of welfare payments to a model of active engagement and economic agency. For the first time within a comprehensive legal analysis, this work integrates labor law concepts, approaches to adult vocational education, and systemic modeling of social processes. The author argues that social entrepreneurship is the most appropriate tool for adaptation, as it allows veterans to maintain the value-based identity of “serving the community” inherent in military service, while simultaneously ensuring financial independence. The study is based on a critical analysis of global models: the American “Hiring Our Heroes” and “Service-Disabled Veteran-Owned Small Business” systems, the Israeli “Talpiot” program focusing on the high-tech sector, and the British model of competitive tendering for reintegration services. Systemic legal barriers in Ukrainian legislation are identified and classified. First, the absence of a validation procedure for informal education creates a “qualification gap” between real combat command experience and a veteran’s official civilian status in the labor market. Second, there is a legal vacuum in defining the status of a “social enterprise,” which precludes targeted state support. Third, the study identifies the low efficiency of existing tax incentives for employers, who perceive hiring veterans as a risk factor rather than an investment in high-quality human capital. The scientific novelty of the article lies in the justification for introducing a special legal regime for “Veteran Social Enterprises” (VSEs). The author proposes clear criteria for identifying such entities: a minimum of 50% veterans among employees, limitations on profit distribution in favor of reinvesting in the social mission, and mandatory psychological support for personnel. Proposals are formulated for amending current legislation, including the Laws of Ukraine “On the Status of War Veterans,” “On Education,” and “On Professional Development of Employees.” Specifically, the development of a national “Correspondence Directory” (modeled after the American MOS Crosswalk) is proposed to automatically equate military duties with civilian managerial and technical qualifications. A distinct emphasis is placed on the legal framework for “trauma-informed learning.” The author argues that the state must legislatively establish requirements for educational programs for veterans that account for the specifics of cognitive adaptation after combat operations. A mechanism is proposed for creating regional inclusive business incubators operating on the principles of public-private partnership. The study concludes that the successful adaptation of veterans through social entrepreneurship will transform a potential risk group into a “locomotive” of post-war recovery. This will ensure a transition from passive consumption of budget resources to job creation and the strengthening of social cohesion within communities. The article holds practical value for legislative activities, local government bodies, and non-governmental organizations involved in veteran affairs.