Council Fails to Reach Agreement

The Serbian government has announced that the country’s minimum wage will rise to €551 per month starting January 2026. This comes after the Social-Economic Council was unable to reach an agreement on the new wage level, leaving the final decision to the government.

Step-by-Step Increase

The wage adjustment will take place in two stages. First, from October 2025, the minimum wage will increase from €450 to €500. Then, beginning January 2026, it will rise again to €551. This represents a 10.1% increase compared to the current level, providing workers with a stronger income base heading into the new year.

Unions vs. Employers: Different Views

Trade unions had pushed for a higher raise, proposing €600 to better reflect the rising cost of living. Employers, however, argued that the October adjustment was already sufficient and warned that additional increases could raise business expenses and affect competitiveness.

Government Confirms Final Decision

Finance Minister Siniša Mali and Labor Minister Milica Đurdević Stamenkovski confirmed that the official proposal is set at €551 (around 64,554 RSD) from January 2026. The final approval will be made in mid-September, but the government has already made clear that it is committed to the raise despite the lack of consensus at the Council.

What This Means for Workers and Businesses

For employees, the increase offers some relief as living costs continue to rise across the region. For employers, it represents an additional challenge in balancing wage growth with operational costs. The decision highlights Serbia’s effort to improve living standards while maintaining economic stability.