Minimum Wage
General
The minimum wage is 201.22 RSD net per hour, with an average monthly minimum of 47,767.08 RSD (based on 176 working hours).
Payroll
Payroll Cycle
In Serbia, the payroll frequency is typically month. The employer must make salary payments at least once a month.
13th Salary
There is no legal requirement for 13-month payments. Employers may issue bonuses at their discretion.
Working Hours
General
The working week in Serbia is typically 40 hours, 8 hours per day and five days a week.
Overtime
All work above the standard working hours a week is to be paid as overtime and is regulated by the employment contract/collective agreements. When an employee is requested to work overtime or work on holidays, there are maximums in relation to the number of hours allowed. These maximums are 8 hours per week and 4 hours per day.
All overtime hours in excess of 40 hours a week are paid at an overtime compensation rate; this rate is typically 126.00% of the employee’s average salary rate. Overtime hours performed on a public holiday are compensated at 110.00% of an employee’s standard rate.
Working Week
Monday-Friday
Leave
Paid Time Off
Employees are entitled to paid annual leave of 20 days following completing one year of service with an employer. If the employee has not yet worked for six months within an organisation, the employee accrues annual leave at the rate of 1/12 per month
Public Holidays
There are 12 public holidays.
Sick Days
Employees are entitled to 30 days of paid sick leave compensated by the employee at 65.00% of the employee’s standard salary. If an employee has fallen ill due to a workplace injury or sickness, an employer must compensate this leave at 100.00% of the employee’s wage. If the sick leave surpasses 30 days of sick leave, the state pays the additional leave, not the employer.
Employers must submit a medical certificate for the sickness within the first three days of sickness.
Maternity Leave
Employees may receive a maternity entitlement in conjunction with childcare leave that equates to 365 days of leave which begins 28 to 45 days before the estimated date of birth.
During this time, an employee receives compensation of the average of their salary over the past 12 months and up to a maximum of five times the national average wage.
Paternity Leave
The father/partner is entitled to five days of Paternity leave after the child’s birth. The employee is only entitled to the paid entitlement in exceptional circumstances.
Parental Leave
A father can share the childcare leave that the mother is entitled to, if the mother is unable to care for the baby during this time.
Adoptive parents are entitled to eight months of leave after the adoptive child is placed in their care until the child is five years old. Adoptive parents are entitled to leave when the adoptive child is less than three months old until the child is 11 months.
Other Leave
In Serbia, in the event of the death of an immediate member, an employee is entitled to bereavement leave. For the death of a father, mother, spouse, or child, an employee is entitled to five days’ leave.
In addition, an employee is entitled to 5 days of leave in the event of their wedding and two days of leave if the employee is voluntarily donating blood.
Termination
Termination Process
The termination process varies according to the employment agreement and collective agreement in place and is based on the type of contract and reason for termination.
Employers must provide an explanation of the reasoning for the dismissal and must do so in writing at least eight days before the termination initiation. An employee must be allowed to respond to an employer’s termination notice, failure to provide this opportunity may result in a court invalidating the dismissal.
Notice Period
Employers must give an employee eight days of notice before the dismissal. An employee terminating the employment contract must provide 15 days’ notice.
In the event of layoffs, a notice period of 30 days is required.
Severance Pay
In Serbia, severance pay is only paid in the case of layoffs. The severance payment is equal to at least 1/3 of the employees’ regular salary for each year of service.
Probation Period
In Serbia, the probation periods may vary depending on the employment contract in place. However, the probation period can be no more than six months.
During the probation period, either the employer or employee can terminate the employment contract with five days’ notice.
VISA
VISA
There are several requirements for every type of Serbian visa, but the specifics vary from visa to visa. However, some of the general requirements include:
- Valid passport and photos
- Letter of invitation from a Serbia-based company
- Application forms
- Application fees
- Proof of medical insurance
- Proof of funds
Your prospective employee should liaise with the Serbian Ministry of Interior Affairs to supply any relevant documents and application forms to their local embassy/consulate to apply for a work visa. Serbia has a range of visas for foreigners and workers. However, foreign employees’ most frequently requested visas are the C visas, for stays of fewer than 90 days, and D visas, for more than 90 days.
The employer must complete work permit applications. First, the employer must correspond with the National Employment Service to demonstrate that no Serbians can fill the position in question. If no Serbians can be found, the employer can apply for a work permit. The most frequently requested work permit in Serbia is the Type D Work Permit, specifically for foreigners in Serbia temporarily. It lasts for one year and can be renewed for an additional year. It usually takes three weeks to process.
VAT
General
The standard rate of VAT in Serbia is 20.00%