FBiH Government: Minimum wage in FBiH increased by 136 KM

(Patria) - The Federal Government today, at a telephone session, passed a Decision that the minimum wage for the period from January 1 to December 31, 2022, is set at a net amount of 543 KM.

This means, according to previous promises and announcements, the minimum wage has been increased, which from January 1, 2022, amounts to 543 KM, and compared to the previous amount, it is higher by 136 KM or
33.56 percent. In addition to the monthly wage, most workers in the Federation of BiH also have the right to non-taxable allowances such as meal allowance, transportation, and holiday pay, which makes the Federation of BiH unique in Europe. These allowances average 174 KM per employee, so the increase in the minimum wage guarantees total income significantly higher than the minimum wage and which will be at least 717 KM per month for most workers. 

Furthermore, new regulations now guarantee that minimum wages will be adjusted annually depending on economic and price growth, starting from 2023. After the Parliament of the Federation of BiH adopts new fiscal laws, the prerequisites will be created for an even greater increase in the minimum wage without detrimental consequences for the economy and employment.