The former Yugoslav Republic of Macedonia
Strengthening social dialogue and establishing minimum wage
For the first time, The former Yugoslav Republic of Macedonia regulated its minimum wage to ensure security of income for most vulnerable groups of workers as a result of the ILO technical advice and assistance.
14 October 2015
A tripartite agreement in The former Yugoslav Republic of Macedonia, concluded with the support of the ILO, established the Economic and Social Council in August 2010. This agreement, which represented a significant advance in national social dialogue, granted the tripartite Council greater autonomy in policy-making. It is now mandatory to consider the opinion of the Council on laws in labour relations, employment, pensions and disability insurance, and occupational safety and health. Government ministries have the legal obligation to provide feedback on the Council’s opinions, recommendations and proposals.
Although the ILO Minimum Wage Fixing Convention No. 131 had been ratified in 1993, The former Yugoslav Republic of Macedonia did not have a statutory minimum wage nor a mechanism for its negotiation. To put the issue on the agenda, the ILO conducted several studies, conferences on wages and provided technical assistance to the Economic and Social Council. The Council agreed on the country’s first national minimum wage in October 2011. The law was adopted by the Parliament and came into force in 2012.
Since then, the ILO continued to provide technical assistance on this topic. A study analysing the minimum wage’s effect on a series of economic indicators was presented to tripartite constituents in 2013. As a result, the Government adopted policy measures to enhance the effectiveness of the minimum wage. Following tripartite negotiations, the Law on Minimum Wage was amended in February 2014 and the minimum net wage was increased from 8,050 denars to 8,800 denars. In 2015 and 2016, the ILO will continue to build the capacity of the Economic and Social Council on the minimum wage setting mechanism in line with ILO Convention No. 131.
Although the ILO Minimum Wage Fixing Convention No. 131 had been ratified in 1993, The former Yugoslav Republic of Macedonia did not have a statutory minimum wage nor a mechanism for its negotiation. To put the issue on the agenda, the ILO conducted several studies, conferences on wages and provided technical assistance to the Economic and Social Council. The Council agreed on the country’s first national minimum wage in October 2011. The law was adopted by the Parliament and came into force in 2012.
Since then, the ILO continued to provide technical assistance on this topic. A study analysing the minimum wage’s effect on a series of economic indicators was presented to tripartite constituents in 2013. As a result, the Government adopted policy measures to enhance the effectiveness of the minimum wage. Following tripartite negotiations, the Law on Minimum Wage was amended in February 2014 and the minimum net wage was increased from 8,050 denars to 8,800 denars. In 2015 and 2016, the ILO will continue to build the capacity of the Economic and Social Council on the minimum wage setting mechanism in line with ILO Convention No. 131.