Law on Employment through Agencies to come into effect in March 2020 – Here are the changes brought about by employee “leasing”

The Law on Employment through Agencies should soon be put before the National Assembly of Serbia and is expected to come into effect on March 1, 2020. So far, the “leasing” of employees to other employers has not been regulated by a special law, but has been subject to the Labor Law.

The working group whose task was to come up with recommendations for the preparation of this law was formed five years ago, and the EU directive acted as the starting point for the preparation of the law, according to Srdjan Botoric, HR Legal at ManpowerGroup.

– The regulation of this important field, which has so far not been regulated by law here, brings equal treatment, equal salaries for leased employees compared to employees with direct labor contracts – Botoric said.

The Law on Employment through Agencies proscribes that the employer-beneficiary cannot hire more than 10% of temporary employees through agencies compared to the total number of employees on the date of the signing of the employee leasing agreement.

An employer with fewer than 50 employees on the date of the signing of the employee leasing agreement may hire one leased employee if they have two to nine employees, two leased employees if they have 10 to 19 employees, three leased employees if they have 20 to 29 employees, four leased employees if they have 30 to 39 employees and five leased employees if they have 40 to 49 employees.

Also, employees which have permanent labor agreements signed with an agency are not subject to the 10% limitation.

ManpowerGroup is organizing a panel on the Draft Law on Employment through Agencies on November 4 at Hotel Falkensteiner between 10 am and noon.

Application can be made HERE.

I. M.

Manpower d.o.o. Beograd

Srđan Botorić

Law on Employment through Agencies

Labor Law

employment agencies

leased employees

leasing employees