Republic Of Sprska: Amendments To The Law On Incentives

• Published date: 04 January 2023
• Subject Matter: Employment and HR, Contract of Employment, Employee Benefits & Compensation
• Law Firm: Eurofast
• Author: Mrs Anastasia Sagianni

The National Assembly of the Republic of Srpska adopted the Law on Amendments to the Law on Incentives in the Economy of the Republic of Srpska. After two years, an analysis of the application of the Law on Incentives in the Respublika Srpska economy was carried out, proving how essential interventions are in the law to improve the process of awarding incentives.

Accordingly, the current concept of the initial amount of salary, as a constant, is replaced with the concept of the initial amount of salary, as a variable element in the process of awarding incentives; that is, the initial amount of salary represents the amount of the employee's salary for the month of December in the calendar year, which precedes the calculation period for which the application for the incentive is submitted.

The amendments to the law stipulate that the business entity realizes incentives individually per worker, in an amount corresponding to the value of 70% of the paid...