economy

Wage increase negotiations without final agreement – ​​deadline extended by a month

Photo: RTCG/ Marija Radulović

After a new round of negotiations in the Government of Montenegro between Prime Minister Milojko Spajić and social partners, no final agreement was reached on wage increases and a new General Collective Agreement, but the current agreement was extended for another month in order to continue talks on April 15, union representatives announced after a meeting in the Government building.

This is the fourth or fifth round of negotiations, and it was concluded that talks between the Government and employers will intensify in the next 15 days, in order to harmonize positions on increasing the calculation value of coefficients and complexity coefficients.

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Representative of the Trade Union Confederation Dusko Zarubica He said that the unions insisted that the extension not be resolved through amendments to the Labor Law.

"The unions insisted that it not go to the Parliament, that the contract be extended through amendments to the Labor Law, because that would undermine social dialogue. The current contract will be extended for one month," said Zarubica.

He added that it is the obligation of the Prime Minister and the Government to intensify negotiations with employers within that period.

"It's not going to be easy or quick, but we're not looking for excuses, but solutions," Zarubica said, adding that the goal is to reach a solution by the 20th of the month at the latest. 

He said that the Prime Minister and Minister of Labor Naida Nišić have repeatedly reiterated that they are ready to increase wages, but insist that it include both the public and private sectors.

"For us, the real guarantee is when the collective agreement is signed, but we are giving it another month," said Zarubica.

On the other hand, a representative of the Employers' Union Slavisa Scekic He said that during the negotiations there were attempts to find common interests, but that there were numerous challenges.

"We tried to find a common interest at the level of the social council. We found it even for today within the framework of the complexity and increase coefficients, but the Government has some of its own plans," said Šćekić.

He emphasized that the key problem is business sustainability.

"Social dialogue is difficult, and what is important is the sustainability of entrepreneurship and business. It is not sustainable to constantly extract from employers," said Šćekić.

He added that employers are already paying salaries above the required level to a large extent.

"It is fair to say that the majority of employers are currently paying much more than is currently being requested through some increases," Šćekić told reporters after the meeting. 

Speaking about the challenges, he warned of possible consequences.

"Maybe in ten days we will have a series of layoffs. Maybe we will not have energy, maybe we will not have imports. Trade could collapse," said Šćekić, adding that the goal is to find a compromise that will enable the economy to function.

Representative of the Union of Free Trade Unions Srdjan Kekovic He said that unions continue to insist on increasing wages for all employees.

"What we are advocating is that wage increases be for both the public and private sectors, and that is something we are committed to," said Keković.

He stated that no concrete answer was received during the meeting regarding the conclusion of a new General Collective Agreement.

"We were not able to see a concrete answer on that issue today," said Keković.

He also pointed to the broader context, citing inflation and labor outflows as key problems.

"The effects of Europe Now 1 and 2 have already been largely lost, inflation is high, and we are witnessing the departure of the workforce," said Keković.

He added that the unions expect concrete conclusions from the Government and the continuation of negotiations in the coming period.

"We expect to receive conclusions to extend the General Collective Agreement for 30 days and to hold discussions with employers during that period," said Keković.

According to him, a new meeting with the Prime Minister is expected in mid-April, when the final direction of further steps should be known.

"After that, we need to do what the working class of Montenegro expects, which is a concrete increase in wages," said Keković.

Speaking about further steps, he stated that the unions would make a decision on possible protests after further talks.

"We will most likely wait for another meeting and then make a decision," said Keković.

He added that the unions expect the wage increase to begin in May, but that the final amount will depend on the agreement on coefficients.

"The extent of the increase remains to be seen, but we expect it," said Keković.

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