Incomplete economic transition impacting labour markets
Serbia has been undergoing an unfinished transition from a centrally planned to a market economy for nearly 30 years interrupted and also partially reversed by the aftermath of the Balkan Wars in the 1990ies. Being the largest country of the Western Balkans, it has a strategic importance for EU accession negotiations with the candidate countries from this region.
The incomplete transition has its effects on labour markets. While unemployment has further dropped (9 per cent for age of 15 and above, 2022), Serbia continues to struggle with relatively low labour force participation and high inactivity including a large portion of youth neither in employment nor in education or training. Informality continues to be high, the quality of jobs requires substantive improvement, and there is a need for further reforms of the occupational safety and health system. The long-standing labour legislation reform is relevant both for EU accession and for the advancement of social dialogue. Continue
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