Employers Urge Caution on Montenegro’s Foreign Worker Reform

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The Montenegrin Employers Federation (UPCG) has emphasized the necessity for thorough consultation with businesses regarding the proposed reforms to the employment of foreign nationals in Montenegro. These changes include a requirement for foreign workers to secure a residence and work permit only after receiving approval from the Employment Agency, which entails a labour-market test to assess the availability of suitable domestic workers.

UPCG has expressed concerns that this additional approval process could hinder recruitment efforts in sectors already grappling with significant labour shortages, notably in tourism, hospitality, construction, and other seasonal industries. The federation acknowledges the need for stronger measures to combat illegal employment, worker exploitation, unpaid taxes, and unfair competition but insists that enhanced oversight should not create excessive burdens for legally operating employers.

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The organization pointed out that official unemployment statistics may not accurately reflect the availability of workers for specific occupations, locations, and time frames. Therefore, UPCG advocates for the labour-market test to be aligned with real business conditions in Montenegro.

To streamline recruitment processes, UPCG recommends the digitalization of procedures and the integration of institutional databases. A review of practices across eight EU nations revealed no single mandatory model; instead, many governments are simplifying procedures and providing exemptions for occupations facing shortages or for highly qualified professionals.

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In response to these developments, UPCG plans to formulate recommendations aimed at achieving a balance between effective enforcement and facilitating easier legal recruitment processes.

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