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Views/ New Minimum Salary and New Branch Collective Agreements
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Jelena DanilovićAdvokat / Senior Associatejelena.danilovic@karanovicpartners.com
29/09/2016
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*Information provided in this article does not represent any legal or whatsoever advice with respect to certain matter, but is intended for general informative purpose only.

 

New Minimum Salary

New minimum salary amount has been adopted at the state level and set to RSD 130.00 net per working hour (approx. EUR 1.04 net). The new minimum amount will be in force as of 1 January 2017 until 31  December 2017.
All employers need to abide by this new amount and cannot provide employees basic salary that is below this legal minimum.
This new amount overrides  previously valid minimum salary that was in force for two last years, in the amount of net RSD 121.00 net per working hour (approx. EUR 0.9 net).

New Branch Collective Bargaining Agreements Adopted

Recently, several new branch collective bargaining agreements for different industry groups (“CBAs”) have been adopted:

  1. CBA for Agriculture, Food, Tobacco and Water Management,
  2. CBA for Construction and Construction Materials Industry, and
  3. CBA for Chemistry and Non-Metal Industry.

CBA for Agriculture, Food, Tobacco and Water Management is, for the time being, applicable only to the signatory parties i.e. only to those employers that are members of the Union of Employers of Serbia.
As for the other two CBAs, their transitory provisions note that these agreements will apply only after Government enacts a decision on extended applicability of such CBAs to all employers within the respective industry.
It still remains to be seen whether the Government will actually render such decision on any of the above CBAs or not.

If you need additional information regarding the services of our employment department, feel free to contact us at following e-mails:

Milena Jakšić Papac, Department Lead
milena.papac@karanovic-nikolic.com 
Jelena Danilović, Senior Associate
Jelena.danilovic@karanovic-nikolic.com

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