Karanovic & Nikolic

Employment Newsletter: July 2014 — amendments to Serbia’s Labour Law

The Parliament of the Republic of Serbia adopted amendments to the Labour Law on 18 July 2014. These amendments are long awaited and have been avidly discussed for some time due to divided public opinion. The law will come into force eight days after it is published in the Official Gazette of the Republic of Serbia.

The maximum duration of definite term employment has been extended to 24 months. The law also prescribes specific circumstances by which definite term employment may exceed 24 months, as follows: work on a specific project (until completion of such project); work at a newly established employer (up to 36 months); and with unemployed individuals who have up to five years of service until retirement (until fulfilment of retirement conditions).

An employer is obliged to pay to an employee an increased salary only for the years of service at the current employer…

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