Announced Public Call for “My First Pay” Program

Announced Public Call for “My First Pay” Program

Serbia
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Pursuant to the Regulation on the Youth Employment Incentives Program “My First Salary” (Off. Gazette of the RS no. 107/2020 and 79/2021), on 22 August 2022 the National Employment Service has announced a public call for the implementation of the respective program (“the Program”), which specifies terms and criteria for application and participating therein.

The Program

The Program includes training of unemployed individuals for independent work, i.e., organization and conducting of a practice in order to acquire knowledge, skills and competences for work, without establishing an employment relationship.

The Program shall last for nine months, during which time the National Employment Service will provide the trainees with remuneration in the total monthly amount of RSD 25,000 for those with secondary school degree and RSD 30,000 for the trainees with university degree, and it will calculate and pay the contributions for the case of injury at work and occupational disease, in accordance with the law.

In addition to the aforementioned remuneration, the employers are allowed to pay additional amounts to the trainees, which on a monthly basis cannot exceed the amount paid by the National Employment Service, whereby such additional amount paid by an employer is subject to the tax on other income in accordance with the Law on Personal Income Tax (at the rate of 20%).

Conditions regarding employers

As for the employers, they are eligible to participate in the Program in case they meet the following requirements:

  • to have a registered seat in the territory of the Republic of Serbia;
  • to pay taxes and contributions for mandatory social insurance within legal deadlines;
  • not to have been constantly registered for more than 30 days in the registry of debtors in enforced collection of the National Bank of Serbia;
  • to have settled previous contractual and other obligations towards the National Employment Service, except for those underway, provided that they are regularly settled;
  • to have employed mentor in charge of the trainees;
  • to have technical, spatial and other capacities for training of individuals, to have work premises, technical means and equipment that functionally correspond to the number of trainees, as well as to ensure all conditions in accordance with regulations on safety and health at work.

Registration of employers and announcing of positions has begun on 22 August 2022, and it shall be conducted until 22 September 2022.

Requirements regarding unemployed persons

The following requirements must be met in order for an unemployed individual to be involved in the Program:

  • to be enlisted in the record of unemployed persons of the National Employment Service;
  • to have secondary school or university degree;
  • to be maximum 30 years old;
  • to have no work experience in jobs within the level of education at which he/she will be trained, i.e., to have work experience of less than 6 months in jobs within the level of education with which he/she applies;
  • to have not passed the professional exam for jobs within the level of education with which he/she applies;
  • to have not been previously involved in the Program;
  • to have not been employed with the chosen employer in the last six months prior to the announcement of this public call.

The application of candidates will take place in the period as from 3 October 2022 until 31 October 2022.

This article is to be considered as exclusively informative, with no intention to provide legal advice. If you should need additional information, please contact us directly.

By Lara Maksimovic, Senior Associate, and Danica Nikitovic, Junior Associate, PR Legal