Blog

Why it is necessary to have lower labor taxes?

Due to tax policy, in Federation of Bosnia and Herzegovina (FBiH) labor is an extremely costly segment of production. On behalf of themselves and workers, employers are required to pay around 72% of the salary, on top of net salary, for the purpose of taxes and contributions. FBiH has the highest total contribution rate in the region with 41.5% of gross salary, whereas in the Republika Srpska (RS) total contribution rate is only 33%. In Montenegro, the rate is 32.5%, in Serbia 37.8% and in Croatia 37.2% of the gross salary.

To what extent does specialisation and education of judges at commercial divisions influence business climate in Bosnia and Herzegovina

Resolving commercial disputes in Bosnia and Herzegovina (BiH) is time-consuming, courts often violate optimal deadlines and it is questionable whether the companies, even after court rulings, can recover the claims, which is one of the greatest obstacles in creating favorable business environment for many business subjects in BiH.

Active labour market measures in Bosnia and Herzegovina: Solving instead of amortising the unemployment issue

Finding a job is anything but easy for a person in Bosnia and Herzegovina (BiH). Sluggish economic growth results in a slow pace of jobs creation, thus offering very limited opportunities for job-seekers. On the other side, tectonic changes in the economic setup that occurred during 1990s and 2000s – including deindustrialisation and the collapse of many giant state-owned enterprises, which were employing large amounts of low-to-medium skilled workers in ex-Yugoslavia – ended in massive redundancies of hard-to-employ workforce. It created harsh structural imbalances on the labour market, considering that many of these workers could not find job that matches their skills and abilities, thus slipping in long-term unemployment.