A consultative session of the Management Board of the Association of Employers in FBiH is scheduled for tomorrow, in preparation for an important and perhaps key session of the Economic and Social Council, which is expected on Wednesday. The positions and proposals of the employers are unchanged compared to the written positions and proposals they presented in public and at the session of the Economic and Social Council last week.
We remind you that the Association of Employers proposed holding a session of the Economic and Social Council, where the social partners considered it important to continue the agreement regarding the minimum and other salaries of workers for 2025, and the starting point for further agreements is the Decision of the FBiH Government on the amount of the lowest salary for 2025 1000 KM per year, with the mandatory and expected set of temporary and systemic measures to mitigate the consequences of this decision on the economy in FBiH.
Most employers, except in specific low-accumulative branches, aware of the overall situation in the economy and society, support the importance of increasing the minimum and all other wages of workers, but we remind you of the high contributions and obligations on the net wages of workers, which are still the most expensive in the environment and beyond.
In this context, the employers’ proposals go in the direction of freezing the contribution to the salary at the level found at the end of last year, that is, at the level of the minimum wage, in line with the methodology for determining the minimum wage.
Employers emphasize the importance of the solution that income tax should be included in the minimum wage of workers, which achieves the effects of reducing the tax base, and thus reducing contributions.
Considering that by increasing the minimum wage to the amount determined by the FBiH Government Decision (1000 KM), due to market and labor law reasons, there will necessarily be an adjustment, i.e. an increase in other wages in companies, we suggest approving the payment of tax-free compensation on other wages of workers, in the amount of up to 450 KM or another approximate amount agreed upon by the social partners.
Within the expected and refined solutions, it is necessary to harmonize special solutions for wages and salaries of newly employed workers, the work of interns and the like.
Employers also expect possible support measures for those business entities-crafts that realistically cannot sustain business under the newly created circumstances, through special and additional solutions and contracts, with the aim of business sustainability.
We also remind you that it is not only workers’ wages that need to be adjusted in order to increase productivity and competitiveness and, ultimately, ensure the growth of the economy, exports and improve the sluggish level of investment and development. We point out that business in the FBiH is still burdened by other issues of fiscal and parafiscal levies, expensive health care for workers and sick leave, rising electricity prices, administration, social benefits, slow and ineffective preparations for business on the European market, etc., which necessarily leads the increase in the price of goods and services on the domestic market, the decline in living standards, inflation and, ultimately, the decision on the amount of the lowest salary without the full inclusion of the listed measures, will not bring the expected effects, on the contrary.
We appeal to the decision-makers in the legislative and executive authorities, as well as to all social partners in the Economic and Social Council, to show determination, understanding and wisdom when adopting temporary and systemic solutions that will improve the business environment, relieve the economy and enable wage growth, as and requested, but also announced for many years in FBiH.
You can read the positions of chambers, organizations, associations and associations on the Decision on the amount of the lowest salary for the year 2025 on the website of the UPFBiH www.upfbih.ba, the press release states.
(Vijesti.ba)
