Measures to help the serbian economy – 5 proposals of Serbian Association of Employers to the RS Government

Unija poslodavaca Srbije

Serbian Association of Employers, together with the Chamber of Commerce of Serbia, sent a proposal to the Government of Serbia last night for five measures to help the economy in the conditions of the continued crisis due to the Covid-19 pandemic. The Association reminds that no country, company, or individual has remained untouched by this crisis, and Serbia should preserve its economy through partnership of all interested parties and at the same time improve competitiveness.

Serbian Association of Employers and Chamber of Commerce of Serbia propose to the Government of Serbia:

  • Reduction of VAT for food and beverages to 10% for the hotel and hospitality sector. This sector is hardest hit by the pandemic, and all countries in the EU and the region have already introduced a reduced rate in this sector.
  •  Further delays in the payment of taxes and wage contributions, or their partial write-off for the small and medium-sized enterprise sector. The data indicate that these companies are yet to face the biggest hit by the crisis, because the business revenues are traditionally lowest at the beginning of the year.
  • Suspension of the introduction of new taxes and duties at the national and local level
  • Continuation of the guarantee scheme for support to liquidity and investments for the SME sector, as well as the possibility of a renewed delay in the payment of liabilities to banks on the basis of loans and credit products
  • Compensation up to the full amount of the employee’s salary, which amounts to a maximum of 50% of the salary) in case the employer does not need an employee for full working time due to the reduced volume of work. This measure should apply to all companies.

“Serbian Association of Employers and the Chamber of Commerce support the Government’s efforts to help companies and individuals overcome the crisis. It is necessary to find a balance between protecting life and the health of the citizens and preserving the economy, which is a precondition for having financial resources for investing in the health system, equipment and medical devices purchase, “said Srdjan Drobnjakovic, Director of SAE.

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