Minimum wages in Montenegro: lowest in former Yugoslavia

Minimum wages in Montenegro: lowest in former Yugoslavia | NoHoDamon

Data of the Montenegro’s Tax Administration showed that the minimum monthly wage of EUR 193 that workers earn in Montenegro is the lowest in the region, reported sources.

According to the Montenegro-based website cdm.me, minimum wages amount to between 43 and 53 percent of respective average wages across the Balkans countries and to 37 percent in Montenegro.

Moreover, the website reported that minimum wages are slightly higher in Bosnia-Herzegovina Serbia, and Macedonia, while average monthly salaries are lower in these countries. The minimum wage in Macedonia is EUR 196, while the average stands at EUR 378. Bosnia-Herzegovina is higher on this list (EUR 208-EUR 438), as is Serbia (EUR 213-EUR 403).

As for Croatia, these figures are EUR 366 minimum and EUR 812 average, and EUR 614 and EUR 1,151 in Slovenia.

The labor market is experiencing a severe lack of qualified labor, while the discrepancy between the requirements of businesses and the skills of workers continues to deepen.

The national minimum wage usually applies to all employees, or at least to a large majority of employees in a country. It is enforced by law, often after consultation with social partners, or directly by a national inter-sectoral agreement.

Minimum wages are generally presented as monthly wage rates for gross earnings, that is, before the deduction of income tax and social security contributions payable by the employee; these deductions vary from country to country.

In 2017, Macedonian MPs passed a budget rebalance that the government claims cuts unproductive spending to increase the minimum wage and support farmers, small businesses and workers at bankrupt companies. Sources had reported that the budget rebalance, approved by MPs, reallocated a total of 47 million euros from the 2017 budget in order to help to support these farmers, small businesses and workers at companies that have gone bankrupt.