USA and EU Support Labor Market Reform

At a time when Bosnia and Herzegovina is beginning to implement essential economic reforms required by the EU Reform Agenda for the country to progress, the US Embassy welcomes the adoption of laws that modernize the labor market, both in order to encourage investment and to provide protection to workers and employers, it was announced from the US Embassy, reports the BiH news agency Patria.

- We believe it is of key importance that all parties work constructively on implementing a labor regime that creates better opportunities for all citizens. We want to commend the Government of FBiH for showing leadership during the work on reforming the labor market, and we hope that other political leaders will show courage in leading BiH on the path to the EU and a stronger economy for all citizens, especially young people in BiH who today face the highest youth unemployment rate in the world - it was announced.

EU STANCE

The new Labor Law is an important initiative - not only in the Federation of BiH, but for the entire country. This law is also a key part of the reform plan and program adopted by all levels of government in BiH last week. As part of a joint commitment to approaching the EU, in February of this year, all 14 main political parties in BiH committed to undertaking serious economic and social reforms, including labor market reform. Now is the time for all political actors to implement these commitments. And at a time when 60% of young people are unemployed, and the overall unemployment rate is among the highest in Europe, this is a necessary choice.

Some people are concerned about how labor standards reform might affect them, but there are good reasons for optimism. The new Labor Law will provide many new employment opportunities, as is the case in other countries that have recently adopted similar laws, for example Italy and Serbia. It is up to the governments and institutions of BiH to decide on the specific details of the new Labor Law in accordance with democratic procedures. In our opinion, the draft Labor Law presented by the Government of the Federation is reasonable, balanced, and in line with the principles of the European Union. While the overall goal should be to make the economy more competitive and ready for growth, fundamental workers' rights must be protected. We believe that the new law provides important improvements to workers' rights, for example significantly longer maternity and parental leave.

Active citizen participation is important for a healthy democracy, whether through elections or other democratic processes, and it is also important for the EU integration process. Everyone has the right to freedom of peaceful assembly, with the aim of publicly expressing certain views and disagreements.