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Law on public sector rationalisation in April

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The law on public sector rationalisation will be presented in late April, Serbia’s Minister of State and Local Administration Kori Udovicki has told the Belgrade daily Blic.

The law will be adopted according to a conclusion by the government, she noted, but refused to comment on the details.

The government stated during talks with the IMF that the number of public sector employees would be reduced by 5 percent each year from 2015 to 2017, with around 3 percent retiring or moving over to the private sector and the remaining 2 percent being laid off.

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According to the calculations made by the Fiscal Council, the public sector will be reduced by around 27,000 employees this year, which means that the government expenses in this field will be lower by about EUR 100 million.

The minister is working in parallel on a bill on pay categories, which should be adopted by the parliament by June and implemented in full by the end of the year, according to what was agreed with the IMF.

Source; SerbGov

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