Special Collective Agreement for Construction and the Building Materials Industry of Serbia

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In the Official Gazette of the Republic of Serbia, No. 47, dated May 24, 2024, a new Special Collective Agreement for Construction and the Building Materials Industry of Serbia (hereinafter referred to as the “Special Collective Agreement“) was published, which regulates the rights, obligations, and responsibilities of employers and employees in the construction sector.

The Special Collective Agreement replaced the previously valid Special Collective Agreement, which was first published on May 20, 2023, and improved the legal status of employees while facilitating the legal status of employers in this field.

The Special Collective Agreement introduces certain novelties compared to the previously adopted Special Collective Agreement, specifically in the areas of:

  • Conditions for establishing employment: A foreigner employed or temporarily employed in the Republic of Serbia in accordance with the Law on the Employment of Foreigners has equal rights and obligations regarding work and employment, as do citizens of the Republic of Serbia, provided the conditions in accordance with the law are met.
  • Occupational safety and health: An additional obligation is imposed on employers, requiring them to ensure prescribed measures of safety and health at work during the implementation of work-based learning, in accordance with the regulations governing occupational safety and health, as well as the application of regulations governing hazardous work for children.
  • Collective insurance of employees: In the event of a declaration of a state of emergency due to high temperatures and heat waves, it is necessary to act in accordance with the provisions of the Law on Disaster Risk Reduction and Emergency Management.

With regard to the Labor Law, the Special Collective Agreement, among other things, provides for higher percentages for the calculation of increased wages in certain cases, specifically:

  • For work on a holiday that is a non-working day – at least 120% of the base wage;
  • For night work, if such work is not valued when determining the basic wage – at least 30% of the base wage.

The Special Collective Agreement is concluded for a period of one year and provides employers with a deadline of 90 days to align general acts and employment contracts with the provisions of the collective agreement, by August 21, 2024.

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