Agreement reached on increasing minimum wage

Agreement reached on increasing minimum wage

After the meeting of the Socio-Economic Council of Serbia on Tuesday, Beta reported that agreement has been reached to increase the minimum wage be by ten percent, while employers will not face any increase in the tax-based cost.

"Finance Minister Dusan Vujovic has promised that after the increase in the minimum wage employers will not have a higher cost, he explained that it is impossible to increase the minimum wage by more than ten percent because it would undermine next year's budget," said Atanackovic.

The session of the body that began this morning was not completed within the expected time, so the announced press conference, where the increase was to be revealed, was canceled.

Members of the Socio-Economic Council include representatives of the Serbian government, trade unions and the Association of Employers.

Representative trade unions have demanded that the minimum labor cost per hour be increased from 130 to 154 dinars, while the condition of the Association of Employers has been to simultaneously increase the non-taxable part of the wages, which is now about RSD 11,800.

The minimum hourly wage has since January this year increased from 121 to 130 Serbian dinars (RSD), and over the last five years by 15 dinars.

Currently, some 350,000 workers in Serbia earn the minimum monthly wage of RSD 22,880 (EUR 191).