Hajdinaga: Reduced unemployment, nine times more mediation by the Institute in employment

Compared to the previous year, the number of homeless people decreased by 6.000. The rate of registered unemployment is 14 percent and is 2,8 percentage points lower than last year, the Institute announced at the annual conference.

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Hajdinaga, Photo: Boris Pejović
Hajdinaga, Photo: Boris Pejović
Disclaimer: The translations are mostly done through AI translator and might not be 100% accurate.

There are 40.012 unemployed persons on the records of the Employment Service, of which the majority are women (58 percent). Compared to the same day last year, unemployment decreased by almost 6.000 people. The rate of registered unemployment is 14 percent and is 2,8 percentage points lower than last year, said acting director of the Institute Gzim Hajdinaga at a press conference.

Positive trends in the labor market, as he assessed, are the result of increased economic activities in the country, as well as activities carried out by the Institute.

Gzim Hajdinaga, Employment Agency
photo: Boris Pejović

"Our basic legal role, employment mediation, came to the fore during this year, when connecting domestic unemployed persons and employers. By activating all capacities, we tried to soften the trend of hiring foreign labor and influence as much domestic employment as possible. During the previous years, the Institute carried out 12 thousand mediations for almost 52,5 thousand unemployed people in 30 months. Since only 2022 mediations were carried out for about 6.000 people in the whole year 4.000, the math is clear - this year the number of mediations is almost nine times higher, and mediation was done for seven times more people, the results are many times better than many years ago," said Hajdinaga.

The demand for foreign labor is growing

Through the Institute, employers reported more than 29 job vacancies this year, 6,5 percent more than last year. The number of persons who obtained employment through the direct mediation of the Institute between the unemployed and employers amounted to 15,5 thousand.

Gzim Hajdinaga, Employment Agency
photo: Boris Pejović

"The demand for foreign labor is higher than in the previous year. The Ministry of the Interior, as the institution responsible for issuing permits for temporary residence and work of foreigners, in the past 12 months has issued more than 23 thousand permits in the quota, which is about 26 percent more than in the same period last year," said Hajdinaga.

In accordance with the needs of employers, 1.800 unemployed people, mostly from the northern region, were included in the active employment policy programs.

In accordance with the modern needs of the labor market and following the example of European employment agencies, the Institute has created new application solutions that will significantly improve the provision of services to clients - employers, unemployed persons and persons with disabilities.

Gzim Hajdinaga, Employment Agency
photo: Boris Pejović

"The new digital tool enables the users of our services to submit pre-applications for unemployed persons online, i.e. without coming to the premises of the Institute. On the other hand, it enables legal entities to apply online for a job vacancy with employers, as well as submit a request for exercising the right to subsidies, when employing people with disabilities. The creation of a new application solution is extremely important for a faster work process, reporting and monitoring of statistical data," Hajdinaga said, stating that the Ministry of Labor and Social Welfare, with the support of the Ministry of Finance, contracted that project and the funds , of over two million euros, were provided from the pre-accession support of the European Union - IPA.

Doubled number of requests for subsidies for persons with disabilities

He said that next year, the "Twinning" project "Strengthening the capacity of ZZZCG for the implementation of active measures for employment, future participation in the European Social Fund and support in labor mobility", which is implemented through the European Commission, will continue next year.

Gzim Hajdinaga, Employment Agency
photo: Boris Pejović

Hajdinaga, at the press conference, indicated that, during 2023, the number of requests for exercising the right to the wage subsidy of persons with disabilities - almost doubled.

"This year, 2.080 applications were submitted for the realization of the right to the wage subsidy of persons with disabilities, while last year the Council of the Fund approved 1.192 applications. Of this number, 1.260 applications refer to new applications, which represents 40% more applications than last year. And in 2024, we expect a tendency for employers' interest in subsidizing the wages of persons with disabilities to increase," Hajdinaga announced.

55 million to the Institute, 3,5 million for active measures

The proposed budget for 2024 allocated EUR 55.125.659,62 to the Institute.

24,15 million is planned for the so-called passive measures, the payment of benefits to the unemployed, 21,9 million for the Fund for Professional Rehabilitation and Employment of Persons with Disabilities, and 3,5 million for active employment policy measures.

Gzim Hajdinaga, Employment Agency
photo: Boris Pejović

"In the coming year, the Institute plans numerous activities that will affect the reduction of unemployment and greater employment of the domestic workforce. In 2024, mediation services between unemployed persons and employers will be intensified with the aim of offering at least one job to every unemployed person from the Institute's records. Through the measures of active employment policy, we will influence the improvement of the quality of the domestic labor force, which will better meet the demands of employers and increase employment. ", said Hajdinaga.

Assistant Director of the Institute, Jovan Kostić, said that there are one and a half thousand occupations on the register, as well as that they have 6,3 thousand unemployed university graduates, 18 thousand with secondary school and 15 thousand with elementary school.

He said that the deficit occupations are mostly in the field of catering and construction during the season and in the south of the country, while in the north there is a deficit of medics and teachers.

Collection of 12 million loans from before 2005 has begun.

When asked by "Vijesti" what is happening with about 12 million euros worth of loans that the Institute distributed for self-employment from 1999 to 2005, and which were not returned, Hajdinaga said that the Board of Directors, on the proposal of the President Dejan Vojvodić, raised the issue and that the banks were asked to start collecting those loans.

"The collection has started and for now we are satisfied with the cooperation with the banks", said Hajdinaga.

"Vijesti" also asked whether the law will be amended in order to limit the amount of subsidy for the earnings of people with disabilities, given the existence of abuse and the reporting of very high earnings, for which 20 million is foreseen in the next year.

Limit the payment of subsidies for people with disabilities

Head of the Fund for Professional Rehabilitation and Employment of Persons with Disabilities, Denis Martinović, said that they have been proposing changes to the law for several years.

"I would not say that they are abuses, until they are proven, but that they are only using the legal option. The law does not limit the amount of gross earnings that can be reported for a person with disabilities, and thus the amount of the earnings subsidy received from the Fund. We propose changes of the law that would limit the amount of the subsidy, it is up to the relevant Ministry and the Government to consider it and propose it to the Assembly," said Martinović.

14 million euros were planned for the payment of these subsidies this year, but due to the increase in the number of requests as well as the increase in wages applied for by persons with disabilities, the total amount paid so far has exceeded 21 million.

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