Decision on minimum wage of 1,000 KM for 2025 published in Official Gazette of FBiH

(Patria) - The decision of the Government of FBiH on the minimum wage of 1,000 KM for 2025, adopted at its session on December 30, 2024, was published in the Official Gazette of FBiH the following day, December 31.

This decision has caused strong reactions from the business community in BiH, as well as from foreign investors, because it involves an increase in the minimum wage by 381 KM and an increase in contributions that employers must pay. Although the Government adopted the Decree on assistance to workers due to increased cost of living at its session on December 11, which it declared confidential, this decree was abandoned without explanation, and the decision to increase the minimum wage was made overnight.

While the Government claims that crafts and small and medium-sized enterprises will receive subsidies and ease costs due to the increase in the minimum wage, there remains concern about how the Government will prevent an increase in all other costs and prices of services that are already being announced.