Payroll Cycle
Minumum Wage
Overtime Pay
Visa Immigration

Talent Wiki - Serbia

Your quick guide on talent and labor compliance norms in Serbia
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Capital
Belgrade
Currency
Serbian dinar (RSD)
Languages
Serbian
Payroll Frequency
monthly
GDP per Capita
$ 9,502.71 (2022)
Employer Tax
16.15%

Supplementary Guide for Employment and Expansion in Cyprus

Talent Overview

Serbia’s economy relies heavily on the service sector. It has accounted for 51.5% of the country’s GDP and has provided jobs for 57% of their workforce in 2021. Tourism is seen as the main driver for the service sector. Moreover, the IT industry in Serbia has been drastically growing and has made up 6.9% of the country’s GDP.  

Major Economic Hubs:

Belgrade, Novi Sad, Niš

Skills in Demand:

computer science and IT jobs, (Java and JavaScript developer, Net developer, and PHP developer) Sales, and Engineering

Local Universities

The top local universities in Serbia are listed below:

Univerzitet u Beogradu

RANKING

Serbia : 1

World : 757

Univerzitet u Novom Sadu

RANKING

Serbia : 2

World : 1519

Univerzitet u Nišu

RANKING

Serbia : 3

World : 2550

Univerzitet u Kragujevcu

RANKING

Serbia : 4

World : 3478

Universiteti i Prishtinës

RANKING

Serbia : 5

World : 4745

Salary Data

The table below shows the average monthly salaries of some jobs in Serbia.

No. Job Title Average Salary (RSD) Average Salary (in USD)
1 Account Manager 149,000 1,323.15
2 Software Engineer 128,000 1,136.67
3 Data Analyst 123,000 1,092.26
4 Graphic Designer 81,600 724.62
5 Project Manager 145,000 1,287.63
6 Sales Manager 237,000 2,104.61

Talent Sourcing Tips

Top Local Job Boards:

Poslovi Infostud, Poslovi.rs, Lako do posla

Number of LinkedIn users:

1,095,000

Top Recruitment Agencies:

BPS World, Omnes Group, FindIT

Employing in Serbia

Every employee in Serbia is protected by the country’s labor laws and regulation. Employers must have a thorough understanding with these rules for the benefit of their Serbian constituents. Below are some basic information you need to know when onboarding workers from the country. 

Employee Contract

Employment contracts in Serbia must strictly be in writing. It must be written in a language that all parties understand. However, it has been a common practice to draw contracts in the Serbian language. 

Probation Period

The Probation period in Serbia is 6 months. 

Public and Provincial Holidays

Date Name Type
1 Jan Western New Year's Day National holiday
3 Jan Second Day of Western New Year's Day National holiday
7 Jan Christmas Day National holiday, Orthodox
15 Feb Statehood Day of the Republic of Serbia National holiday
16 Feb Statehood Day of the Republic of Serbia (Day 2) National holiday
22 Apr Good Friday National holiday, Orthodox
23 Apr Holy Saturday National holiday, Orthodox
24 Apr Easter Day National holiday, Orthodox
25 Apr Easter Monday National holiday, Orthodox
1 May Labor holiday National holiday
2 May Day off for Labor holiday National holiday
3 May Labor holiday second day National holiday
11 Nov Armistice Day National holiday

Employee Leaves

Type of Leave Time Period Mandatory
Annual Leave 20 days Yes
Sick Leave 30 days Yes
Maternity Leave 365 days Yes

Payroll

Payroll Cycle

Payroll in Serbia is paid once every month.

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Minimum Wage

Minimum wage in Serbia varies depending on the employees’ working hours, as stated in their employment contract. It ranges from RSD 43,174 to RSD 50,063.

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Overtime Pay

Employees in Serbia are entitled to a pay for every extra hour they have rendered. The additional pay rate must not be below 26% of their hourly rate.

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Health Examination Clause

Bonus

13th Month Pay

Serbian employers are not required to provide a 13th month pay for their employees. They may, however, do so at their own discretion. 

Employee Benefits

Serbian employees are entitled to varying benefits upon employment. Below are some of them: 

  • ~Statutory Leaves
  • ~Social Security benefits
  • ~Unemployment insurance
  • ~Pension and Retirement
  • ~Disability Benefits
  • ~Health Insurance
  • ~Unemployment Insurance
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Taxes

Employer Payroll Tax

Type of Contribution Tax rate
Pension and disability insurance 11%
Health Insurance 5.15%

Employee Payroll Tax

Type of Contribution Tax rate
Pension and disability insurance 14%
Health Insurance 5.15%
Unemployment Insurance 0.75%

Employee Income Tax

Income Level Tax rate
3x to 6x the average annual salary 10%
6x the average annual salary and more 15%

VAT

The standard VAT rate in Serbia is 20%

Offboarding & Termination

Termination Process

Termination of employment in Serbia may occur in the following scenarios:

  • ~Contract reaches its expiration;
  • ~Employees reach the age of 65 and have rendered the required minimum 15 years of retirement insurance. 
  • ~Employer and employee mutual agreement
  • ~Employment contract has been terminated by either party
  • ~Death of the employee

Notice Period

An employee’s notice period is generally 15 days. But for employees under probation period, a 14-day notice period is observed. 

Severance Pay

Severance pay in Serbia is as follows:

Years of Service Severance Pay Calculation
10 years ⅓ of employees’ average salary x years of service
10 years and above ¼ of employees’ average salary x years of service

Visa and Immigration

Foreign employees in Serbia must secure a work permit to work in the country. The Validity of these documents can be from 3 to 12 months and may be renewed upon expiration. Additionally, they must also apply for a residence permit to legally stay in Serbia for employment purposes.

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