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Sarajevo Times > Blog > BUSINESS > The minimum Wage in BiH is five Times lower than the consumer Basket
BUSINESS

The minimum Wage in BiH is five Times lower than the consumer Basket

Published: May 1, 2024
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The trade union consumer basket in Bosnia and Herzegovina amounts to almost 3,000 marks. The minimum wage is almost five times lower. Therefore, rightly, on the eve of Labor Day, the question arises – do the workers in Bosnia and Herzegovina have a reason to celebrate? May Day in large European countries is an occasion for a workers’ march with the aim of drawing attention to the rights and position of workers, which is far better than in our country. However, in the Federation, only two trade unions announced a protest walk. The reason – the disunity of trade union movements.

May 1st is Labor Day. In the world, this day is usually marked by mass protests of workers and the fight for better working conditions. Not in Bosnia and Herzegovina. Generally, only a few dissatisfied people take to the streets. It will be the same today, because in the Federation, only the Union of Metalworkers and the Union of Trade and Service Workers have announced they will go out on the streets.

“Our sincere desire is to see the day when May Day will be celebrated by all trade unions together, in a unique way. However, the situation in the trade union movement itself is almost identical to that in the state – an absolute non-unity and disagreement between the trade unions”, points out Mersiha Beširović, president of the Trade and Service Workers’ Union of Bosnia and Herzegovina.

Disagreement between trade unions and lack of dialogue between them usually plays into the hands of employers. Disunity is most felt in the real sector, where wages are far below average. So, according to the estimates of the Trade Union, about 260,000 workers in the Federation receive a salary lower than 1,000 marks.

“Our demands go in two directions. One is related to the Association of Employers. It is about signing a new branch collective agreement. Hourly wage increase from 4.40 to 5.68 BAM. The second part is related to the FBiH Government, where the urgent adoption of the law on the minimum wage is requested”, he said

Almir Salihović, president of the Union of Metalworkers FBiH:

“Workers who constantly complain about their position, about their income, will celebrate this holiday either outside the borders of Bosnia and Herzegovina or at one of the picnic spots in Bosnia and Herzegovina. I think that as a society we have given up the fight and the hope that we can get better. That, in my opinion, is devastating,” says Beširović.

A minimum wage of one thousand marks was promised a long time ago, but the Government of the Federation has not yet fulfilled the promise. In the RS entity, the minimum wage is 900 marks. Although employers warned that the increase in the minimum wage could have negative effects in the form of job cuts, the local unions claim that there were no major layoffs.

“In these first three months, only 175 of those workers came to the institute from employment, compared to the previous year of 2023, when there were no problems with the lowest salary,” says Danko Ružić, president of the textile, leather and footwear trade union of the RS .

And while the workers in the Federation are waiting for the adoption of a set of fiscal laws that would be a prelude to increasing the minimum wage from the current 619 to 1,000 marks, the trade union spending basket has reached almost 3,000 BAM. However, as we have heard, this is not a sufficient reason for the disenfranchised and workers whose incomes are far from half of the consumer basket to raise their voices. Because it seems that a free day is more valuable than the struggle for the right standard and a better life, Federalna writes.

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