The Employers’ Association of Montenegro has proposed minimum wages of 800 and 1,000 euros instead of the previously announced range of 1,000 to 1,400 euros under the Euro model, the association said. The proposal is intended to address employers’ concerns about how the wage changes would be introduced, rather than the need to raise pay.
Association President Slobodan Mikavica warned that a rapid increase and high minimum wage levels could lead to layoffs in many parts of the economy and price rises in others. He said abrupt implementation could threaten some companies’ survival and negatively affect investment in Montenegro. Mikavica also said the first wage increase alone would bring “huge new costs for businesses” and that its effects would quickly diminish.
The association has asked Prime Minister Milojko Spajić for a new meeting and submitted proposed changes to the Euro model. It expects the meeting to take place by mid-November, before the 2027 budget is adopted.
The employers’ group wants the final model defined before negotiations on the scope and implementation of rights under the General Collective Agreement. Mikavica said the additional wage increases arising from that agreement cannot be accurately assessed until the Euro model is settled. The association is also seeking removal of other previously identified business barriers and wants the final decision reached through dialogue between the government, employers and unions, with a balance between higher living standards and business sustainability.
