Don’t risk non-compliance with local employment, social insurance, and tax regulations.
Omnipresent provides global employment solutions and professional employment organisation (PEO) services for companies looking to grow and build out a global team in Bosnia and Herzegovina. Traditional methods of establishing global employment and subsidiaries in Bosnia and Herzegovina typically take months and can incur heavy costs. Omnipresent’s global employment solutions and PEO services is helping hundreds of organisations onboard new employees in Bosnia and Herzegovina in a matter of days with full compliance of local labour laws. We use a tech-forward approach to streamline the process.
Employer costs include Pension and Invalid Insurance, Health Insurance, and Unemployment Insurance. Use the OmniCalculator to estimate costs, or contact us for further information.
The Federation of Bosnia and Herzegovina (FBiH) and the Republika Srpska (RS) both have a 10% flat rate. Exceptions may apply.
Typical working hours are a maximum of 40 hours per week. Overtime is restricted and in some instances prohibited. Overtime pay is subject to agreement with employer.
Please note that the below information covers national holidays and should be used for informative purposes only and not as a guarantee for payroll purposes. While we strive to offer you accurate information, public holidays are subject to frequent changes and can be dependent on regional differences. Should you need more detailed information on public holidays, please consult the government pages of the state and/or the local municipality of your employee.
In FBiH sick pay is a minimum of 80% of the employee’s salary compensation and no less than the minimum monthly salary. Employees receive 100% of their salary compensation if the absence is due to work injury, pregnancy, or organ transplant. The first 42 days of compensation are paid by the employer. After the first 42 days, sick pay is refunded by the state.
In RS sick pay is a minimum of 70% of the employee’s salary compensation. The first 30 days are paid by the employer and after that it is paid by the state.
Maternity: In FBiH, employees can expect up to 1 year paid maternity leave. Leave is mandatory 28 days before birth and must be taken for a minimum period of 42 days after birth. Maternity leave is paid at full salary for the duration of the employee’s leave.
In RS, employees can expect up to 1 year paid maternity leave for a single child and up to 18 months for twins, third and any subsequent child. Leave is mandatory for 28 days prior to birth and a minimum 60 days after birth. Maternity leave pay is equal to the average salary of the employee received in the last 12 months.
Paternity: In FBiH and RS, the child’s father or adoptive parent acquires maternity rights if the mother dies or is incapable of looking after the child.
Employees may take a minimum of 20 working days of paid vacation per year. In the Federation of Bosnia and Herzegovina, a further 4 working days of unpaid leave are provided for employees with religious or traditional needs. In Republika Srpska, unpaid leave is permissible for a maximum of 3 working days and is provided for employees with religious or traditional needs.
Severance is payable if the employee has 2 or more years of continuous service under an indefinite employment agreement or upon retirement (in RS).
Amount is 1/3 of net average monthly salary in last three months for each year of service (or more if a CBA stipulates).
In case of incapacity or injury / professional disease , severance pay may be increased.
Termination in Bosnia and Herzegovina is generally difficult. Termination must be for cause and strict procedural requirements need to be followed.
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The benefits of growing a global team and finding the best talent anywhere in the world are endless. It’s important to note that labour laws and regulations in Bosnia and Herzegovina are strict with penalties for non-compliance. Let our team take care of the global employment solutions such as payroll, benefits, compliance, taxes, and admin so you can focus on growing your business. We are here to help you every step of the way.
Omnipresent makes it easy to hire, pay, and support your international team with our top-notch services including our global EOR & PEO services. Book a call with us to start building your global team today. Book a call with us to start building your global team today.
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