Introduction of new rules for seasonal workers in Montenegro
The Ministry of Labour, Employment and Social Dialogue of Montenegro announced the introduction of a new mechanism for employing seasonal workers starting May 1, 2025. According to the draft law on simplified employment for seasonal and temporary jobs, the state will take on the obligation to pay taxes and contributions for permanent seasonal workers, and will also provide subsidies to employers. This step is aimed at increasing employment of the local population, combating the shadow economy, and creating a more flexible system of labor relations, especially in key sectors such as tourism, agriculture, and transport.
Main provisions of the new law
According to the draft law, which is currently under public discussion, the following key principles will be established:
- State coverage of taxes and social contributions for permanent seasonal workers.
- Provision of subsidies to employers, who employ seasonal employees for a long period.
- Electronic registration of workers to simplify employment and administration.
- Creation of a unified database to monitor labor relations in seasonal sectors.
- Flexible employment conditions for temporary and seasonal workers.
The Ministry of Labour stated that the goal of these measures is not only to support business, but also to ensure social guarantees for seasonal workers, who previously faced unstable working conditions.
Categories of workers covered by the new rules
The new law covers several types of seasonal and temporary workers:
- Seasonal workers – employed by an employer for up to 9 months within one season.
- Permanent seasonal workers – hired for a period of 6 to 9 months during the season, with an obligation to renew the contract for the next season.
- Temporary workers – may be hired for up to 90 days within a calendar year.
Categories of citizens eligible to work under this scheme:
- Unemployed persons registered with the Employment Agency.
- Pensioners.
- Students and pupils over 15 years of age.
- Foreigners with a temporary or permanent residence permit in Montenegro.
Advantages of the new law
- Reduction of informal employment: the new rules will help bring workers out of the “shadow” economy.
- Incentives for employers: financial support for businesses will reduce the costs of hiring employees.
- Simplified administrative procedure: employers will be able to register workers through an online system.
- Social protection for workers: seasonal employees will gain access to pension and medical benefits.
Implementation of the law and business support
The Ministry of Labour plans to launch a new information portal through which employers will be able to register workers. This portal will be integrated with the Tax Administration, the Ministry of Internal Affairs, and the Employment Agency for automatic data exchange. In addition, employers who violate the employment conditions will be required to return the subsidies received. In particular, if a seasonal worker is dismissed before the end of the contract, the employer will lose the right to financial support.
Conclusion
The introduction of new rules for workers in Montenegro is an important step in the development of the labor market. These measures will help create a more transparent and flexible employment system, which is especially important for the tourism industry and other sectors of the economy. State support in the form of coverage of taxes and social benefits will not only reduce the burden on business, but also increase the level of social protection for workers. The final version of the law is expected in the coming months, and the government intends to launch the reform by the start of the 2025 tourist season. Image: Pixabay