Montenegro flag Montenegro: Operating a Business in Montenegro

Work conditions in Montenegro

The Active Population in Figures

Labour Force 277,006282,668271,834

Source: International Labour Organization, ILOSTAT database

Total activity rate 63.37%64.77%66.31%
Men activity rate 70.38%72.30%73.47%
Women activity rate 56.30%57.17%59.07%

Source: International Labour Organization, ILOSTAT database


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Working Conditions

Legal Weekly Duration
The legal duration of work is 40 hours a week.

An employee has 18 working days holiday a year. Employees who are minors have 24 working days and part-time employees 30 days.


Retirement Age
For men, retirement age is at 65, with 40 years of contributions.

For women, retirement age is at 60, with 35 years of contributions.

Working Contracts
Work contracts are open-ended contracts.

However, there are fixed term contracts for at most 9 consecutive months for seasonal work, increase in activity or replacements.

It is possible to sign a fixed term contract for 5 years if it is for carrying out a clearly defined project which needs a long period of time.

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Cost of Labour

Minimum Wage
The minimum monthly wage is EUR 550.
Average Wage
Average monthly gross earnings in Montenegro is EUR 480.
Social Contributions
Social Security Contributions Paid By Employers: Contributions paid by the employer are:

- 9.6% for retirement and disability contributions

- 6% for health insurance

-0.5% for unemployment insurance
Social Security Contributions Paid By Employees: Contributions paid by the employee are:

-12% for retirement and disability contributions

- 7.5% for health insurance

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Social Partners

Social Dialogue and Involvement of Social Partners
Unions have considerable power in Montenegro; the Confederation of Unions in Montenegro (CUTM) brings together 19 unions.

Labor law, which was last amended in 2005, guarantees all employees the freedom to join a union without prior authorization, on condition that the criteria fixed in the statute of union organizations are observed. A union can come into being if at least five people so wish. It must request registration with the Ministry of Health, Labor and Social Affairs. The authorities cannot dissolve a union nor suspend its activities.

Labour Unions
Union of Free Trade Union of Montenegro
Unionisation Rate
About 95% of the workforce in the formal economy is unionized.
Labour Regulation Bodies
Ministry of Labor and Social Welfare

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Latest Update: March 2023