In recent years, Serbia has witnessed a significant shift in its labor market. While more than 300,000 Serbians are estimated to be working abroad, the country is increasingly relying on foreign workers to fill gaps in its domestic labor force. According to the National Employment Service, over 50,000 foreign workers have entered the Serbian market, attracted by better wages and opportunities. However, the actual number is likely higher, as many foreigners work without official permits.
The Republic Institute of Statistics highlights that Serbia’s aging population and declining workforce are creating shortages in various occupations, prompting employers to look abroad. The majority of foreign workers in Serbia come from countries like China, Egypt, India and Tajikistan. Additionally, there is a substantial number of illegal workers, particularly from Turkey, China and India.
These foreign workers range from highly educated professionals, such as managers and businesspeople, to laborers in construction, agriculture and transportation. Among them, Indian workers are becoming increasingly prominent, with an estimated 5,000 currently active in Serbia, primarily in construction and transportation sectors. Savikes Goel, President of the Indian-Serbian Chamber of Commerce, notes that Serbian employers offer the same contracts to Indian workers as they do to locals, with wages typically ranging from €500 to €850 per month, depending on the job.
Despite earning higher wages in Serbia than they would in India, the cost of living means that many Indian workers save little at the end of the month. However, the opportunity to experience a new country and culture, along with learning new skills, is a significant draw for many.
Goel explains that while India offers numerous job opportunities, the large population means competition is fierce, driving many to seek work abroad. Serbia, with its growing economy and labor shortages, presents a good opportunity for these workers. He also sees Serbia as a gateway to Europe, providing Indian workers with a chance to expand their experience beyond the Middle East, where many have worked in the industrial sector for years.
Goel believes that the number of Indian workers in Serbia, though currently small, will grow significantly in the coming years as more international companies set up operations in the country. This influx of foreign labor is expected to benefit both the Serbian economy and the workers themselves.
Economist Ljubodrag Savić also predicts an increase in foreign workers in Serbia. He attributes this trend to several factors: Serbia’s aging population, low birth rates, and the continued emigration of local workers to Western Europe in search of better opportunities. Additionally, certain manual and physically demanding jobs are increasingly shunned by the local population, making them more likely to be filled by foreign workers.
Savić points out that while Serbia is one of the poorer nations in Europe, there are countries with even lower wages, particularly in the Middle East and Asia, where monthly incomes can be below $100. This economic disparity drives migration, with Serbia emerging as an attractive destination for workers from these regions.
As Serbia continues to grapple with its labor challenges, the influx of foreign workers is likely to play a crucial role in sustaining its economic growth and development.
