The Government of the Federation of BiH at its last session adopted a decision according to which the minimum wage in that entity will amount to 1,000 Convertible Marks, and the decision will be applied from January 1 to December 31, 2025.
The minimum wage in the Federation of BiH will be increased by 381 Convertible Marks (BAM) from 2025, the Federal Government announced.
As explained, based on Article 6, paragraph (1) of the Regulation on the Methodology for Calculating and Adjusting the Minimum Wage, the Government of the Federation of BiH determines the minimum wage for the following calendar year.
It is important, the Government of the Federation of BiH stated, to distinguish between the concepts of wages and employee income.
The Government of the Federation of BiH determined in its decision that the minimum wage in 2025 will amount to 1,000 BAM, while the minimum income will be above 1,200 BAM. Since workers’ income is the sum of the minimum wage, hot meals, funds earmarked for workers’ transportation, as well as other non-taxable payments.
It is also very important to point out that in order to overcome potential problems for craftsmen and small businesses, the Government of the Federation of BiH has foreseen a subsidy program from the budget of the Federation of BiH, the adoption of which is expected in the next few days, the statement states.
As explained, the Government of the Federation of BiH will pay subsidies for contributions to craftsmen and small businesses, in order to preserve jobs that may be threatened due to the increase in the minimum wage and income.
“After 11 years of waiting, we have finally managed to raise the minimum wage for workers in the Federation. We are happy about this decision primarily because workers in the Federation are satisfied with it. Another important step lies ahead of us, which is the adoption of a set of fiscal laws,” said the Federal Minister of Development, Entrepreneurship and Crafts, Vojin Mijatović.
The Government of the Federation of BiH reminds that they are already in the process of adopting a set of fiscal laws, with the aim of facilitating business operations for companies in the Federation of BiH. These laws include amendments to current regulations in the area of income tax, contributions, and the Fiscalization Law itself.
It is important to point out that this issue was set as a priority for the authorities back in 2015, but has been dragging its feet between the government and parliament for years, the statement said, BHRT writes.
