The recently adopted law regarding permanent seasonal workers aims to simplify access to the labor market for seasonal positions while safeguarding the rights of both these workers and their employers, as stated by the Ministry of Labor, Employment and Social Dialogue. The Ministry has not yet indicated when the law will take effect.

“The introduction of this law is necessary to formalize the status of employees engaged in seasonal work within sectors like tourism, hospitality, retail, construction, and agriculture,” the Ministry noted in its announcement.

Seasonal employment constitutes a vital part of Montenegro’s labor market. The absence of a suitable legal framework for regulating the employment status of seasonal workers has made the passage of this law imperative.

“In 2017, the government began prioritizing improvements to the legislative framework for seasonal employment, aided by the German Organization for International Cooperation (GIZ), which led to the establishment of a working group responsible for drafting a legal proposal under the former Ministry of Tourism,” the statement revealed.

Due to the working group’s inability to achieve consensus on the draft law, the Ministry of Labor, Employment and Social Dialogue has formed a new group tasked with creating a standardized approach to managing permanent seasonal employees, while taking into account the most suitable model for current conditions and economic needs.

“Developing a practical legal solution was crucial. This has been accomplished through the draft law proposed by the working group, which is presently open for public discussion,” the Ministry, led by Naida Nišić, stated.

The purpose of this legislation is to provide legal protections for seasonal workers by introducing the designation of “permanent seasonal worker,” which facilitates sustained employment in seasonal roles and enhances social security through mandates requiring employers to register these workers for pension and disability insurance during off-seasons.

“Employers will also be encouraged to offer permanent seasonal workers positions in subsequent seasons, thereby promoting labor market stability for both parties,” the announcement added.

This law aims to streamline access to the labor market during seasonal employment, while also establishing the rights of permanent seasonal workers, the responsibilities of employers, and the role of the Employment Service (ZZZ) during off-peak seasons.

“The proposed regulation seeks to improve the efficient employment of local labor during seasonal activities, establish a flexible legislative framework in this domain, and ensure active participation from all relevant institutions in executing these efforts,” the Ministry emphasized.

Moreover, the law includes provisions for fiscal incentives and extended pension and disability insurance for permanent seasonal workers, aiming to enhance the desirability of seasonal jobs and diminish the informal economy.

“The primary components of the law involve the designation of permanent seasonal workers. This new legal classification establishes the status of employees who consistently work with the same employer each season, guaranteeing them employment with that employer in subsequent seasons, along with extended pension and disability insurance during periods of inactivity,” the statement outlined.

Additionally, employers are required to register these workers for social insurance, including extended pension and disability coverage, and provide continued employment in subsequent seasons under the same or improved conditions.

“Permanent seasonal workers are entitled to fair wages, occupational health and safety protections, the right to organize unions, and financial assistance from the Employment Insurance Agency during times they are registered for extended pension and disability insurance. They can also seek work engagement with other employers during off-times,” stated the Ministry.

The law also stipulates penalties for employers who fail to meet obligations regarding the registration of permanent seasonal workers, the provision of contracts for future seasons, and overall working conditions. There are also consequences for the exploitation of the permanent seasonal worker classification.

“Additionally, the Ministry aims to enhance support for beneficiaries of family financial security. This involves ensuring that permanent seasonal workers who are entitled to this benefit do not lose their rights for one year from the date of their employment contract,” the statement clarified.

The working group responsible for drafting the law, which was initially established on June 5 of the previous year, received expert guidance from GIZ, which has significant experience in seasonal employment. “The group included representatives from various ministries within the Government of Montenegro, social partners, and GIZ experts,” the statement added.

The draft law concerning permanent seasonal workers is currently under public review, which is expected to last until April 22nd.

“Post the public consultation period, the adoption of this regulation will necessitate a report on public input within 15 days. The Draft Law will then undergo internal government processes to gather opinions from relevant institutions and be subsequently submitted to the Government for approval and then to Parliament for ratification,” the announcement concluded.

The Ministry of Labor, Employment and Social Dialogue will continue its efforts to refine the legal framework surrounding employment conditions, particularly focusing on permanent seasonal jobs and additional solutions that benefit both the economy and the workforce.