Basic Facts

The Republic of Serbia is a country located in Central and South-Eastern Europe, and the Balkan Peninsula. Serbia covers a total area of 88,499 square kilometers. It shares borders with Hungary, Romania, Bulgaria, Macedonia, Albania, Montenegro, Bosnia and Herzegovina, and Croatia. Serbia is landlocked, though it is able to access the Adriatic Sea through Montenegro and inland Europe and the Black Sea via the Danube. The strongest sectors of Serbia’s economy are energy, the automotive industry, machinery, mining, and agriculture.


*Please note that the official currency is the currency of remuneration when employed through WorkMotion in Serbia.

Capital :
Currency :
Serbian Dinar (RSD, din )
Languages spoken :
Population :
6.84 million (2021 est.)
Minimum wage 2023 :
RSD 47,154 per month
Cost of Living index :
$$ (88 of 139 nations)
Payroll Frequency :
VAT - standard rate :
GDP - real growth rate :
7.4% (2021 est.)

Statutory Holidays

The national holidays mentioned below are valid for the year 2024.

Holiday Name
Extra Information
January 1 - 2
New Year's Holiday
January 7
Julian Orthodox Christmas
February 15
Sovereignty Day of Serbia
February 16
Sovereignty Day of Serbia Holiday
May 1
Labor Day
May 2
May Day holiday
May 3
Good Friday (Orthodox)
May 6
Orthodox Easter Monday
November 11
Armistice Day

Contract Sharing Time

The approximate time for sharing the contract with an employee in Serbia is 5 business days assuming no special requests or changes to our standard employment contract. Any such requests or changes would need to undergo internal and external review, directly leading to a time delay.

NOTE: This number is subject to change and is only an estimation of the Contract Sharing Time. The estimated Contract Sharing Time begins from the moment that WorkMotion has received all required information from both the client and the employee.

What You Need To Know

  • The employer is obliged to give reasons for termination of the employment contract during the probation period.
  • An employer is mandated to pay retirement gratuity for those that retire in the amount of three average salaries as the minimum.
  • Employees acquire certain rights on the basis of their period of employment. They are entitled to a 0.4% increase in their basic salary for each year of employment with the same employer.

Labor Conditions

Working Hours

The Serbian labor law defines statutory working time as 40 hours per week. The working week lasts five days, and the employer is entitled to define the daily schedule within clearly defined limits.


Overtime cannot last for more than eight hours per week. An employee may not work more than 12 hours a day, including overtime.

Probation Period

In Serbia, the maximum probation period is six months.

Termination Notice Period
Termination Cause Notice Period
Cancellation by the employee At least 15 days but not longer than 30 days
Cancellation by the employer A minimum of 8 days, and maximum 30 days

Leave / Time Off

Annual Leave

For each calendar year, an employee is entitled to an annual leave of at least 20 working days. The length of annual leave can be increased based on contributions at work, working conditions, work experience, education of the employee, and other criteria determined by a general act or employment contract.

In the first year, employees accrue 1/12 of the annual leave, for every month worked. However, this accrual calculation happens only in the first year of work. After a full year of work, an employee is entitled to a minimum of 20 days of paid leave, which is mostly front-loaded at the beginning of the calendar year.

When determining the length of annual leave, the working week is counted as five working days.

Sick Leave

Employees are entitled to 30 days of paid sick leave, compensated by the employer. After 30 days, the employee receives sickness benefits from the Health Insurance Fund. The amount paid is 65% of the calculation base (or 100% of the base in the case of a work injury, occupational disease, or organ/tissue donation).

Parental Leave

Leave for Special Care of a Child

One parent is entitled to this leave if the child has a high degree of mental disorders or physical disabilities. The leave may last up to the child’s fifth birthday. During this absence from work, the employee is entitled to compensation of salary funded by the Government of Serbia.


Maternity Leave

An employed woman is entitled to a leave of absence due to pregnancy and childbirth (maternity leave), as well as to a leave of absence for nursing a child for the total length of 365 days.


Paternity Leave

Employees are entitled to absence from work with compensation of salary for five business days when their child is born. Paternity leave is funded by the employer.

Statutory Benefits

The Serbian social security system is comprised of:

  • Pension and disability insurance
  • Health insurance
  • Unemployment insurance.

The system is funded through employer and employee contributions. 

The minimum monthly contribution basis is RSD 40,143 and the maximum monthly contribution basis is RSD 573,470 (annual 6,881,640). The basis amounts are effective from January 1 to December 31, 2024.


Benefit Employer Contribution
Health Insurance 5.15%
Retirement and Disability Insurance 10%
Total 16.15%

Health Insurance

There are two types of health insurance in the Republic of Serbia: mandatory and voluntary. Employees covered by mandatory health insurance obtain the right to health protection and monetary compensation in the events stipulated by the Health Insurance Act. 

Compulsory health insurance includes:

  • Insurance in case of illness and injury outside work;
  • Insurance in case of an occupational injury or disease.

Employers contribute 5.15% towards health insurance.

Other Insurances

Accident Insurance


Insured people with an injury or disease whose nature and severity necessitates assistance and care in performing basic life needs are entitled to assistance and care financial benefits. Insurants who suffered a loss or significant impairment of an organ or body part due to work injury or professional disease are entitled to physical impairment benefits.

Occupational accident benefits are funded under retirement and disability insurance. The employer contributes 11% to the retirement and disability insurance.

Unemployment Insurance


 Unemployed persons can, on the basis of compulsory insurance, be provided with:

  • Cash benefits;
  • Health insurance and retirement and disability insurance; and
  • Other rights pursuant to the law on unemployment insurance.

Public Pension

In order to be eligible for an old-age pension, an insured person should meet the conditions stipulated by the law on their age and the length of insurance coverage.

The following insurants are entitled to an old-age pension from 2021:


  • Aged 65 and above with at least 15 years of pensionable service;
  • Having 45 years of pensionable service, regardless of age.


  • Aged 63 years and two months with at least 15 years of pensionable service;
  • Having 45 years of pensionable service, regardless of age.  

In Serbia, the contributions to the old-age pension and disability pension are combined and employers contribute 10% to the retirement and disability insurance.

Other Statutory Benefits

Disability Pension


In cases where a complete lack of working capability is determined, it is possible to receive a disability pension up until the age required to realize the right to an old-age pension if:

  • The reason for disability is an injury at work or professional disease, regardless of the length of pensionable service;
  • The disability is a consequence of disease or injury unrelated to work, in which case at least five years of pensionable service are required.

In Serbia, the contributions to the disability insurance and retirement pension are combined and employers contribute 10% to the retirement and disability insurance.

Survivor Pension


In case of death of an old-age or disability pension user and/or insurant who has at least five years of pensionable service or has met disability pension conditions, their family members are entitled to a survivor pension. If the cause of death is an injury at work or an occupational disease, family members are entitled to pension benefits regardless of the person’s length of pensionable service.

The survivor pension is funded by the retirement and disability pension and employers contribute 10%.


The information contained in this Country Guide is provided for informational purposes only and should not be construed as legal advice on any subject matter. The contents of this Country Guide contain general information and may not reflect current legal developments or address your situation. You should not act or refrain from acting on the basis of any content included in this Country Guide without seeking the advice or representation of a licensed attorney. WorkMotion Software GmbH disclaims all liability for actions you take or fail to take based on any content included in this Country Guide.

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