D-DAY JULY 27: Will the authorities give up the 500 KM salary increase and high severance pay?

SARAJEVO, (Patria) – There are only a few days left for the state-level authorities to adopt amendments to the Law on Salaries and Allowances in BiH institutions, which would prevent elected and appointed officials from receiving July salaries increased by 500 KM.

Sessions of the House of Representatives and the House of Peoples of the BiH Parliament are scheduled for July 27. Amendments to the Law on Salaries and Allowances are on the agenda, and if the proposed amendments are not adopted and July salaries are calculated based on the new base and the same coefficients, there would be no possibility for changes, as the BiH Constitution does not allow it.  

Therefore, the first and last attempt for the authorities to show solidarity and give up the enormous salary increase will be on July 27.

On the day the BiH Institutions Budget was adopted in the House of Peoples of the BiH Parliament on June 30, delegates expressed their readiness to reduce coefficients so that their salaries would not increase by 500 KM, as the intention was to increase the salaries of state police officers, soldiers, and civil servants. This increase with the new base of 535 KM will not exceed 100 KM.

There are two items on the agenda of the House of Representatives of the BiH Parliament concerning the Law on Salaries and Allowances in BiH institutions, namely the reduction of coefficients for elected and appointed officials.

“It prevents salary increases for elected and appointed officials, especially deputies and delegates in the Parliamentary Assembly of BiH, as well as members of the BiH Presidency, ministers in the Council of Ministers of BiH, and their advisors who had unjustifiably high incomes even before the base increase. Second, it reduces the gap between employees in BiH institutions with the highest and lowest coefficients, which is the only correct approach at this moment, considering the growing social and economic disparities,” the explanation of one of the proposed amendments to the Law states.

Regarding the House of Peoples of the BiH Parliament, there are two proposals on the agenda. The request from the Bosniak Caucus concerns reducing coefficients so that officials' salaries remain at the same level, while two other proposals for amendments to the Law on Salaries and Allowances in BiH institutions concern increasing coefficients for civil servants, soldiers, and police officers, and limiting severance pay for employees in BiH institutions, which currently exceeds 30,000 KM for officials.

"The minimum severance pay will remain the same as before, 5,364 KM, but the maximum severance pay will be limited to 10,728 KM. In practice, employees with a coefficient of 3.55 and below (head of department and below) would retain the same severance pay they are currently entitled to, while the limitations would practically apply only to employees with a coefficient higher than 3.55 (minister's advisor, deputy minister, minister, deputy or delegate in the BiH Parliament, advisor to a member of the BiH Presidency, member of the BiH Presidency...)", the explanation states.

This would result in significant savings in the BiH Budget.