Greater Transparency Needed in Salary System
Nearly a decade after the reform of the public sector salary system was announced, Serbia still lacks a unified and transparent model for calculating wages for over half a million employees. In the new analysis "Salary Scales in Serbia: Lessons from a Failed Reform," the Fiscal Council concludes that the attempt so far has practically failed, faltered in concept – but also presents a proposal on how the state should approach reform in the future. It points to structural weaknesses that have led to serious problems in the public sector, including strong wage compression, which has created a risk for retaining key experts and management in state institutions, and proposes a pragmatic approach based on sectoral interventions, grounded in verifiable data and a high degree of transparency.
