Nebojša Atanacković, honorary president of the Union of Employers, stated that the Ministry of Finance’s proposal to raise the minimum wage by eight to ten percent for the upcoming year reflects current economic conditions and is acceptable to employers. He described the proposed increase as a realistic financial projection, aligning with inflation and projected GDP growth. “If GDP is expected to grow by around four percent, then the economic impact of a 15 percent increase in the minimum wage would be disproportionate,” Atanacković noted.
Atanacković criticized trade unions for focusing solely on social demands, such as raising wages, without considering broader economic factors. He acknowledged the unions’ role in highlighting social issues but argued that increasing the minimum wage also raises all other wages, which presents challenges beyond the scope of employers. “The overall capacity of the state must be taken into account,” he added.
He also pointed out that the number of employees earning the minimum wage has decreased significantly over the years. “While previously around 350,000 employees were earning the minimum wage, current data show it is closer to 112,000. The overall economic potential cannot be limited to this smaller number,” Atanacković explained.
Atanacković noted that while most employers support raising the minimum wage, they also need relief in other financial areas, such as taxes and contributions. He criticized the lack of reduction in contributions, which currently stand just below 60 percent, and highlighted that while the government plans to increase the untaxed portion of salaries, the specifics for 2025 will only be clear once the minimum wage is finalized.
