A draft law aimed at simplifying the employment of seasonal and temporary workers in specific sectors is set to be adopted by January next year. This initiative is designed to enhance flexibility in workforce engagement.
The Chamber of Commerce (PKCG) recently held a consultative meeting with business leaders and Minister of Labor, Employment and Social Dialogue, Naida Nišić, to prepare the draft law for further legislative procedures. Mitar Bajčeta, General Secretary of PKCG, expressed gratitude to Nišić and attendees for their engagement in this crucial discussion, emphasizing the importance of their contributions for the successful implementation of the law.
PKCG recognizes the unique challenges surrounding seasonal labor and has been actively seeking solutions in collaboration with the Ministry and GIZ.
Nišić acknowledged the support from PKCG, GIZ and NALED throughout the process and underscored the need to be prepared for the upcoming season. She stated that the goal is to have seasonal workers ready by March.
Key objectives of the proposed law include the creation of a digital system for registering seasonal workers, increased flexibility in labor engagement, and the option for temporary seasonal workers to be hired through a mobile app that generates necessary documentation, including payment orders and PPD forms.
A critical aspect of the law is the flexibility regarding the number of days seasonal workers can be employed. It also allows for both written and verbal agreements for employment contracts, enhancing ease of use.
Nišić encouraged participants to share their opinions and concerns about the law’s implementation, highlighting the importance of their feedback for tailoring the legislation to the needs of Montenegro’s labor market.
Business representatives raised the necessity to clearly differentiate between permanent seasonal workers and those engaged temporarily. They argued against limiting the employment of permanent seasonal workers to 180 days, suggesting a nine-month period in response to the lengthening tourist season in Montenegro. This change should be integrated into the draft to prevent rapid amendments in the future.
Additionally, they proposed considering subsidies for permanent seasonal workers, similar to practices in Croatia. They argued that the law’s implementation should not begin in May, but rather in March, to address workforce shortages timely.
Retail representatives indicated the need for the law to encompass their sector, which experiences significant increases in workload during the tourist season. They urged for precise regulation regarding technological redundancy and the protection of employers from refunds if a permanent seasonal worker declines engagement in the following year.
The demand for foreign workers is increasing, prompting calls for a liberalization of work permit procedures through this law. Agricultural and food industry representatives also sought inclusion in the legislation to hire seasonal workers, advocating for electronic registration linked with all relevant institutions.
Consultant Đorđe Vukotić highlighted the significance of dialogue with business stakeholders and the need to learn from regional experiences in developing similar legislation. He noted that the draft law draws on successful models from other countries, particularly Croatia and Serbia, to address the issues of seasonal labor and unemployment.
Vukotić emphasized the need for a functional information system for monitoring seasonal workers, particularly in sectors with high labor turnover. He proposed that the system should facilitate the registration of foreign seasonal workers by assigning them unique identification numbers.
He underscored the importance of analyzing key sectors where seasonal employment will be allowed and defining rules to prevent potential abuses. In the tourism sector, he recommended enabling temporary employment that could transition into permanent seasonal roles, with state incentives for those meeting criteria like obtaining work permits and completing successful trial periods.
For construction employers, Vukotić suggested allowing temporary engagement of support staff for up to 90 days to legalize currently unregistered jobs.
The overarching aim of this law is to ensure that temporary workers are registered, receive health insurance, and have their work tenure recorded, with pathways to permanent employment as conditions allow.
The proposed legislation seeks to provide an effective method for controlling temporary work to combat the shadow economy and abuse of temporary contracts while planning employment policies and incentives. The goal is not to reduce the number of permanently employed workers but to find the right balance for seasonal and temporary engagement.
