• Employment Relationship;
• Work Outside Employment Relationship, which can be based on Temporary and Occasional Work Agreement; Service Agreement; Vocational Training and Professional Development Agreement; Supplementary Work Agreement; and Agreement on the Rights and Obligations of the Director;
• Self-employed entrepreneurs, working on a B2B business model.

Yes, employment contracts can be concluded either for an indefinite period (the default form of employment) or for a fixed-term, which is permitted only when justified by objective reasons, such as a temporary increase in workload, replacement of an absent employee, or work on a specific project. A fixed-term employment relationship may generally not exceed 24 months, except for certain statutory exceptions, and if these limits are exceeded or the legal conditions are not met, the contract may be deemed to have been concluded for an indefinite period.

An employment contract must be concluded in writing in three counterparts, with a person who is at least 15 years old, and has the following mandatory elements: Identification of the employer and the employee, Job title and job description; Minimum education/qualifications; Place of work (or indication that work is performed at different locations); Type of employment (indefinite or fixed-term); Duration of fixed-term employment, if applicable; Date of commencement of work; Working hours (full-time or part-time); Salary, elements for determining salary, deadlines for payment, and other earnings/benefits; and Duration of daily and weekly working time.

An employee working part-time is entitled to salary, remuneration, and other rights arising from the employment relationship in proportion to the time spent at work, unless otherwise provided for certain rights by law, a general act, or the employment contract. The employer shall be obliged to provide an employee working part-time with the same working conditions as those afforded to a full-time employee performing the same or similar duties. 

Employment contract assignation without the employee’s consent is allowed in the following situations:

• Secondment to another employer: an employee may be temporarily assigned to work with another employer for up to one year, without consent, if the need for their work has temporarily ceased, business premises have been leased, or a business cooperation agreement has been concluded, and if the new workplace is less than 50 km away.
• Status change, i.e., in cases such as mergers and acquisitions - employment contracts are transferred automatically by operation of law to the new employer, with all existing rights and obligations preserved. 
• If the employer is an employment agency, the employee may be freely assigned to user employers with whom the agency has a valid assignment agreement.

• The predecessor employer shall be obliged to notify in writing the employees whose employment contracts are being transferred to the successor employer of such transfer. If an employee refuses the transfer of the employment contract or fails to express their consent within five working days from the date of receipt of the said notification, the predecessor employer may terminate the employee’s employment contract without severance.
• The predecessor employer and the successor employer shall be obliged to inform the representative trade union at the employer’s level at least 15 days prior to the change of employer of: (i) the date or proposed date of the change of employer, (ii) the reasons for the change of employer, (iii) the legal, economic, and social consequences of the change of employer on the position of employees, as well as measures to mitigate such consequences.
• The predecessor employer and the successor employer shall also be obliged, at least 15 days prior to the change of employer, and in cooperation with the representative trade union, to undertake measures aimed at mitigating the socio-economic consequences for employees. If no representative trade union exists at the employer, employees shall have the right to be directly informed of the aforementioned circumstances. The employees do not have any formal right to object to the transfer.

Under the Labor Law of Serbia, a pure change of ownership/control (e.g., change of shareholders or beneficial owners) does not affect the employment relationship. The employer remains the same legal entity, so there is no automatic transfer of employees and no direct labor-law consequences.

The employer may offer to amend the agreed terms and conditions of employment for several reasons, namely:

1. for the purpose of transferring to another suitable position (a position requiring the same type and level of professional qualifications as stipulated in the employment contract), due to the needs of the work process and organization of work; 
2. for the purpose of transferring to another place of work with the same employer; 
3. for the purpose of assignment to work on a suitable position with another employer; 
4. where, in respect of an employee declared redundant, the employer has ensured the exercise of rights (transfer to other positions, employment with another employer, retraining or additional training, part-time work not shorter than one-half of full-time working hours, etc.); 
5. for the purpose of changing the elements for determining the basic salary, work performance, salary compensation, increased salary, and other earnings of the employee as stipulated in the employment contract;
6. in other cases, provided for by law, a general act, or the employment contract. 

Should the employee sign the annex to the employment agreement within the given period (which cannot be less than 8 working days), he/she reserves the right to challenge the legality of that annex before the competent court within 60 days from the day of receipt.

An employee who refuses the annex offered to the employment agreement under the points a)-e) above, within the given period, reserves the right to challenge its legality in court proceedings, relating to termination of the employment due to annex refusal. If an employee refuses to sign the annex on the basis under point f) above, the employer cannot lawfully terminate his/her employment solely for that reason.

No. The Republic of Serbia is not an employment-at-will jurisdiction.

• Termination by the Employee: The employee has the right to terminate the employment contract at any time, without the need to specify reasons, under at least 15 days prior notice period. A bylaw or the employment contract may provide for a longer notice period, but not exceeding 30 days.
• Termination by the Employer: The employer may only terminate the employment contract for one of the four groups of reasons:
  1. due to just cause which relates to the employee’s work ability and performance;
  2. due to committing a breach of work duty;
  3. due to non-compliance with work discipline;
  4. due to a valid reason relating to the employer's needs (redundancy/annex offer refusal).

Yes, the employee has the right to file a lawsuit to annul the unlawful resolution of termination. If the court determines that the employee’s employment has been terminated without legal basis, it shall, at the employee’s request, order the employee’s reinstatement or payment of compensation for damages up to 18 salaries, depending on the length of service with the employer, the employee’s age, and the number of dependents in the employee’s family. Moreover, the employee is entitled to payment of lost salaries (or salary difference if the employee worked elsewhere during the court proceedings) and payment of the relevant mandatory social security contributions for the period during which the employee did not work.

Yes. Whistleblowers are protected in Serbia under the Law on Protection of Whistleblowers. There are three types of whistleblowing:

• Internal whistleblowing: reporting irregularities within the employer (to a designated internal channel/person).
• External whistleblowing: reporting to competent authorities (e.g., inspectors, prosecutor’s office).
  Public whistleblowing: disclosing information to the public/media in legally justified cases.
• Protection of whistleblowers: A whistleblower is protected against retaliation, including dismissal, demotion, harassment, or any disadvantageous treatment. They are also entitled to judicial protection, reinstatement if dismissed, and compensation for damages if retaliation occurs.

Yes. Employees in Serbia have a right to privacy, including protection of personal data and private communications in the workplace, under the Constitution, the Labor Law, and the Personal Data Protection Law. If this right is breached, employees can initiate: Complaint to the Commissioner for Information of Public Importance and Personal Data Protection (the supervisory authority); and Court proceedings, including claims for cessation of the violation and compensation of damages.

Employees are guaranteed protection against discrimination based on the Labour Law and the Law on Discrimination. Direct and indirect discrimination of persons seeking employment, as well as of employees, is prohibited on the grounds of sex, birth, language, race, skin color, age, pregnancy, health condition or disability, nationality, religion, marital status, family responsibilities, sexual orientation, political or other belief, social origin, property status, membership in political organizations, trade unions, or any other personal characteristic.

Discrimination is prohibited in relation to: (i) conditions for employment and selection of candidates for a specific job, (ii) working conditions and all rights arising from employment, (iii) education, training and professional development, (iv) career advancement, and (v) termination of the employment contract.

Provisions of an employment contract establishing discrimination shall be null and void.

A person who suffered discrimination has the right to make a complaint to the Commissioner for the Protection of Equality, and to seek court protection.

Yes, the Serbian Labour Law provides statutory rights to:

1. Annual leave: Employees are entitled to a minimum of 20 working days of paid annual leave per year and can be increased based on the grounds of work contribution, conditions of work, work experience, professional qualification of the employee, and other criteria determined in a bylaw or employment contract. Depending on the needs of the job, the employer decides on the time of use of annual leave, with prior consultation with the employee, at the latest 15 days prior to the date specified for the commencement of the use of annual leave. If an employee uses the annual leave in parts, the first part shall be used in the duration of at least two consecutive working weeks during the calendar year, while the remainder shall be used at least until June 30 of the following year.
2. Sick leave: Employees are entitled to paid leave during temporary incapacity for work (100% for work-related, and 65% for non-related injuries and sickness), with compensation financed by the employer and/or the state depending on the cause; and
3. Parental leave: Parental leave includes maternity and childcare leave and lasts up to 12 months or up to 2 years for the third and subsequent children. Maternity leave starts 28–45 days before the expected due date and continues until the end of three months from the day of childbirth. Childcare leave - Follows maternity leave and can also be used by either parent. During this period, the employee may receive state-paid compensation (earnings compensation), calculated based on prior salary. In the course of pregnancy, maternity leave, childcare leave, and leave of absence for special care of a child, the employer cannot cancel the employment contract of the employee. Labor law also prescribes other cases of absence due to the special care of a child or another person.

There have been no significant changes or proposed legislation to leave entitlements in the past 12 months, with the exception that, as of 2026, submission of certificates of incapacity for work and remittances for the payment of wages are carried out electronically, via the e-Sick leave-employer System. The System also allows employers to lodge an objection to sick leave electronically, in case of suspected abuse.

Provided they are expressly agreed between the employer and employee in an employment agreement, restrictive covenants (non-compete clauses) are recognized under Serbian Labour Law. A non-compete clause may be valid during employment and even up to two years after the end of employment, if the employer undertakes the obligation to pay to the employee pecuniary compensation in the agreed amount after employment termination.

A non-compete clause restricts an employee from engaging in competing activities, either independently or for third parties, without the employer’s consent, provided that the employment agreement clearly defines the scope of prohibited activities and the relevant geographical area. A non-compete clause may be agreed only where the nature of the employees’ work is such that they may acquire new and particularly significant technological knowledge, establish a broad network of business contacts, or obtain access to important business information and trade secrets.

No, employees cannot be lawfully terminated solely for refusing to sign a restrictive covenant. A non-compete clause is a contractual element that requires mutual agreement from the beginning of employment, and refusal to accept it after the initial employment agreement is concluded cannot constitute a valid reason for termination.

Yes, in Serbia, participation in a pension system is mandatory by law. It is regulated primarily by the pension and disability insurance framework, and contributions are paid into the state public pension scheme managed by the national social insurance system.

Both employers and employees are required to contribute through payroll deductions. The system is not optional, and there is no private opt-out from the statutory pension scheme, although employees may additionally participate in voluntary private pension funds. 

Yes. In Serbia, pension-related rights are mandatory and form part of the statutory social insurance system, alongside the Labor Law of Serbia and specific pension regulations. The insured employees are entitled to:

• Old-age pension: acquired upon reaching the prescribed retirement age and completing the required minimum years of pensionable service (generally at least 15 years of contributions). The retirement age is gradually being equalized for men and women (currently around 65 years for men, with women’s retirement age increasing progressively until the year 2032).
• Disability pension: granted where an employee suffers a complete and permanent loss of working capacity, as determined by a competent medical authority, regardless of age, provided that the required insurance conditions are met.
• Survivor’s pension: granted to family members of a deceased insured person or pension beneficiary (e.g., spouse and children), subject to statutory conditions, and is calculated as a percentage of the pension that the deceased was entitled to or was receiving.

The amount of a pension in Serbia primarily depends on the length of pensionable service and the level of earnings (i.e., the contribution base) over the course of the working life, which are converted into personal points within the mandatory pension and disability insurance system; the final amount is also affected by statutory coefficients and pension indexation.

Under the Labor Law of Serbia, an employment relationship terminates automatically when the employee reaches 65 years of age and has at least 15 years of pensionable service (retirement conditions). However, it is permitted to enter into a new employment agreement with a pension beneficiary after retirement, allowing continued engagement under general labor law rules.

In the public sector, additional restrictions apply. Continued employment after meeting retirement conditions is generally limited and may require special approval and specific statutory conditions.

Continuation of work after retirement does not cease pension or insured benefits, but certain rules apply depending on the type of benefit. Under the Labor law and social insurance regulations, an old-age pension beneficiary may continue working and simultaneously receive an old-age pension. Contributions are still paid during continued employment, and the pension may be recalculated after an additional service period. Health insurance contributions continue without interruption, based on employment status.

Beneficiaries of a disability pension, due to a determined loss of working capacity, are not in a position to enter into employment. If they do enter into work engagement, this may indicate a change in their working capacity and can lead to a reassessment of their disability status, including the suspension or termination of the right to a disability pension, in accordance with applicable regulations.

The employer has the right to organize work and determine working conditions, including requiring employees to perform work at the agreed workplace (e.g., office), unless remote work was agreed as a contractual condition by the employment agreement. If an employee refuses a lawful instruction to return to the workplace, this may constitute a breach of work duty or failure to comply with work discipline. In such cases, the employer may initiate disciplinary measures, and even termination of employment, provided that statutory procedures are followed (including warning and establishing just cause).