There is no increase in the minimum wage, but employers can pay their workers two average salaries tax-free until the middle of next year. This is what the Government of the Federation of Bosnia and Herzegovina decided with the aim of such a regulation protecting workplaces and relieving employers. The regulation stipulates that the maximum payment amounts to 2520 marks. Who will get this money and what when this decision expires?
An employer in the private sector will do a lot for a good worker, because it is increasingly difficult to find a good one. Private individuals will also adapt to the new regulation. The surveyed citizens want wages to be higher for all workers, but they do not think that this decision is the right solution, because life is expensive even after June 30, until when will it last.
The Association of Employers of the Federation of Bosnia and Herzegovina welcomes the decision of the Federal Government.
SUAD EĆO, member of the Executive Board of the FBiH Employers’ Association:
“Employers should use it to the greatest extent possible, especially when it comes to the real sector. I think that we will know how to make good use of it and that we will apply it. Employers are struggling to keep employees, I think that through salary increases one of the measures is how to keep workers within the company.”
It is up to the employers to determine the method of payment, i.e. whether it will be paid in six parts or one time. It is important to emphasize that the payment is not part of the salary or compensation, but is exclusively an aid for workers.
SAMIR KURTOVIĆ, Union of Civil Servants and Employees of the FBiH:
“What our assessment is, the Government has passed primarily for the sake of the private and real sector, because they have lower incomes. We, and for civil servants, employees from municipalities, cities and cantons and the Federation, will certainly insist that this part of the regulation also applies to all authorities and all public institutions in FBiH.”
In the Elementary Education Union of Sarajevo Canton, they asked the cantonal government that this type of assistance be paid to all workers in preschool institutions and elementary schools in the area of this canton.
SAUDIN SIVRO, Union of Primary Education KS:
“This kind of help is needed in all those sectors where we have an average salary that is below 2,000 marks. We call on all employers to pay this tax-free compensation to all workers in FBiH.”
From the point of view of the profession, such moves are not promising.
AZIZ SUNJE, professor at the Faculty of Economics of UNSA:
“It is a short-term measure, the government has enough room for maneuver to reduce the levies that employers have on the net salary, these levies are 70 percent.”
The decision made by the Government of the Federation is not binding, it gives the possibility of payment of aid to workers. Although the fact is that every employer wants to retain workers, some will not be able to pay this assistance. The union believes that the long-term solution would be to reduce contributions to employers, but also to increase the minimum wage, and they hope that these issues will be resolved after the “expire” of this non-binding decision.
