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11. April 2017.
Kovac on Labour Legislation for B92
On April 11, FIC views on the labour legislation were presented and explained on B92 web portal, which is an important move to clarify proposals and overcome misunderstandings in some part of public. Proposals were explained by the HR Committee Vice President Mirko Kovac.
HR Committee Vice President tackled key issues including calculation of salary and compensation during the leave, rules on terminating work contract, and staff leasing. Mirko Kovac in particular outlined that more flexibility requested by FIC means easier employment and less bureaucratic burden. Change of the rules for severance payment, one of the past improvements, was given as an example. Before the obligation to provide severance payment for the whole career was scrapped, it was unlikely for the people aged between 40 and 50 to find new job, as the employers feared that obligation in case of the termination of contract. “This has changed, and they can more easily get employed now“, he said, adding that he witnessed several situations in which the investor decided not to invest after being told that in case of lay-off they were obliged to pay severance payment for the period spent with previous employers. Mirko Kovac also explained that proposals to annul the obligation of calculating performance in salary and providing meal allowances are meant to reduce bureaucracy and not to affect workers’ rights. “The employer can pay one dinar of meal allowance in order not to be in breach of the law, so the question is what it means to the employees, while it constitutes an obligation for the employers”, he said. As for the staff leasing, he reiterated that it is necessary to regulate it having in mind that it exists in Serbia, and that Serbia has the international obligation to do it. Rules on delivering the decision on termination of the work contract, proposal to enable pregnant women to agree on contract termination with indemnities if this is what it suits them, and regulations regarding the employees on the managerial positions are among the issues tackled in the text in Serbian that could be accessed here below.