Directors sent off with 734.000 euros - local companies generous with severance pay and benefits over the last 15 years or so

Regional landfill "Možura" from Bar paid 96 thousand euros for severance pay to two directors. 24 companies and tourist organizations replied to the CDT that they paid severance pay

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

Local companies and tourist organizations have paid more than 15 thousand euros to former directors for severance pay and benefits upon termination of employment in the last 734 years - data from the Center for Democratic Transition (CDT) show.

Through the "Ask the Institutions" application of the Network for the Affirmation of the Non-Governmental Sector (MANS), CDT asked 140 addresses for information on severance pay paid to executive directors upon termination of office, in accordance with the concluded employment contract.

Companies and tourist organizations, 24 of them, from Bar, Budva, Cetinje, Herceg Novi, Igal, Kolašin, Kotor, Nikšić, Pljevlja, Podgorica, Rožaj, Tivat and Žabljak replied that they paid severance pay.

The most severance pay was paid from 2020 to this year, because the dismissal of several authorities also caused changes "in depth", i.e. - the directors of state and local companies and institutions were relieved of their duties.

The largest amount of severance pay, out of a total of 96.800 euros, was paid by the Regional Landfill "Možura" from Bar, in 2020 and 2021. "Možura" Bar paid severance pay to two directors due to early termination of office - Dragan Simović 51.358 euros and Zoran Pajović 45.442 euros.

The data was also submitted by the Tourist Organization (TO) Bar, which is the former director Nedi Ivanovic In 2018, she paid 18.962 euros in severance pay to the former director Emil Kukalj 20.590 euros in 2021.

In Budva, the former executive director of Wastewater received the most Goran Pejović, who from March 2021 to March 2022 received a monthly allowance in the amount of the salary he received before the termination of his position, which amounted to 23.671 euros in total.

Former Acting Executive Director of Mediteran Advertising Budva Ljubica Strugar, she received 2015 euros in severance pay in 19.980.

Former acting director of Radio Television Budva Dragan Klaric he received 16.877 euros in severance pay. According to the data submitted to the CDT, this was paid to him in installments during 2017 and 2018.

In Cetinje, she is the former executive director of Cetinje Water and Sewerage Njegosava Vujanović received severance pay of 28.800 euros. She collected the severance pay in 2016, after the decision of the court to which she filed a lawsuit for the collection of severance pay.

Cetinjski Vodovod is the former director Milorad Musa Mrđenović In 2010, he paid a severance payment of 18.840 euros, while he is a former director Miloš Raznatović exercised the right based on the termination of the director's office to be paid a monthly fee of 20 euros for 2018 months (from March 1.200) - a total of 24.000 euros.

Former acting director of TO Cetinje To Oskar Huter, the current deputy of the DPS, was paid a severance pay of 20.984 euros in 2022. The former acting director of TO Cetinje Ana Ivanovic In 2021, it was approved that one year after the termination of the position, she will receive compensation in the amount of the salary she received in the last month before the termination of the position, which amounts to a total of 13.527 euros.

The Agency for Construction and Development of Herceg Novi is the former director Slobodan Popović In 2015, she paid severance pay of 22.521 euros.

The former directors of TO Herceg Novi were paid compensation upon termination of office, namely Bojana Blagojević 9.632 euros (2016/17), Pavlo Obradović 16.330 euros (2022/23) and Bogdan Kocetanovic 15.047 euros (2017).

Upon termination of the position of acting executive director of the Igalo Sports Center Zoran Odalović in 2017, he obtained the right to be paid six months' compensation in the amount of the monthly salary before the termination of his position, which amounted to EUR 5.300 in total.

Former director of TO Kolašin Aleksandar Vlahovic after the termination of his office, he realized the right to receive compensation for the year in the amount of his monthly salary, that is, 930,28 euros, which is a total of 8.372 euros. He used that right for nine months.

The former directors of Kotor Communal Enterprise have, upon termination of office, the right to be paid compensation in the amount of the monthly salary they received for 12 months - Zoran Mrdak on that basis, during 2019 and 2020, he received a total of 22.039 euros, and Mladen Lucic a total of 22.216 euros in the period 2017/18.

The two former directors of Nikšić Waterworks and Sewerage also concluded agreements on the termination of employment, and on that basis they were paid severance pay - Momcilo Abramović 33.081 euros in 2016 and Velizar Vojinović 30.607 euros in 2021.

To the former director of Komunalna Nikšić Milorad Milunović severance pay of 23.106 euros was paid in 2011.

To the former director of RTV Nikšić Milutin Stijepović his employment ended in 2021 with a severance payment of 30.564 euros.

Former directors of TO Nikšić received compensation upon termination of office - Dragica Popović 13.681 euros in 2019, a Boris Muratovic 12.545 euros in 2021.

In Pljevlja, he is the former director of RTV Pljevlja Dejan Miličić after the termination of his position, he realized the right to be paid compensation for 12 months (2023/24) in the amount of monthly earnings, i.e. 1.255 euros, which is a total of 15.063 euros.

"TO Pljevlja informed us that until now they have not paid severance pay upon the termination of the director's office, but that the court proceedings are ongoing for the payment of the severance pay of the former acting director Vanje Vukojičić", they told "Vijesti" from CDT.

Of the local companies in Podgorica, Plodovi Crne Gore approved the largest severance pay. Those to the former CEO Vojislav Đurović are paying (in 12 installments, payment started in 2023) severance pay in the amount of 47.653 euros.

For the former executive director of Parking Service Podgorica Nusret Camović last year, a decision was made to pay severance pay of 25.785 euros. The payment of severance pay in 12 installments began in September 2023.

Former executive director of the Agency for the Management of Protected Areas of the Capital City Dragutin Đeković last year he received a severance payment of 18.124 euros.

"The Podgorica Landfill informed us that until now they have not paid severance pay to their directors, but that the former director Arsenije Boljević this year filed a lawsuit for annulment of the decision of the board of directors which rejected his request for the payment of severance pay", they stated from the CDT.

He was in Rožaj in 2016 as the former executive director of the company Vodovod i kanalizacija Safet Redžović paid severance pay in the amount of 21.000 euros.

Former director of Communal Rožaje Huzeir Nurković he received, in accordance with the decision from 2018, compensation in the amount of the salary he earned in the last month of his mandate, which amounted to 14.328 euros in total.

Former director of Parking service Tivat Slavisa Ognjanović upon termination of office, he exercised the right to be paid compensation for 12 months in the amount of monthly salary, i.e. 1.556 euros, which is a total of 18.677. Payment of compensation began in July 2023.

"TO Tivat stated that none of the previous directors received severance pay, but received compensation in the form of monthly income for a year after the termination of the position", said the CDT.

Former acting director of TO Žabljak Borislav Nikolić In 2016, he received severance pay in the amount of 5.444 euros.

The Agency for Construction and Development of Berana, the Agency for Construction and Development of Ulcinj, the Company for the Management of the Sanitary Landfill "Lovanja" Kotor, the Football Club Budućnost Podgorica, the JP for Breeding and Protection of Game Ulcinj, the JP for Breeding and Protection did not respond to the request for free access to information and game hunting "Dr. Zoran Kesler" Nikišić, Komunalno Danilovgrad, Maritime Tourist Agency "KotorMar", TO Budva, TO Plužine.

Gvozdenović: Local directors have greater rights than state officials

Deputy CEO of CDT, Milena Gvozdenović, told "Vijesta" that from the submitted data it can be concluded that due to the legal irregularity of the issue of severance pay, many directors of the company obtained the same or greater rights than the highest state officials upon termination of office.

"The policy of severance pay must be precisely regulated by law": Gvozdenović
"The policy of severance pay must be precisely regulated by law": Gvozdenovićphoto: CDT

In a number of cases, she says, it can be seen that the basis for the payment of severance pay was an agreement on the termination of the employment relationship, without a previous decision on the termination of the position on any basis, which, according to her, is more than problematic from a legal perspective, and unprofitable from an economic point of view. .

"...This is obviously still not a reason for the severance pay policy to be precisely regulated by law. Without clear legal provisions, the way in which the issue of severance pay is regulated in employment contracts is solely left to the will and agreement between the executive directors and the board of directors. Thus, we have a wide range of practices - that severance pay is contracted in the amounts of 12 or 24 monthly installments of gross or net earnings or the average salary in the company".

The interlocutor explains that the amount of salary and other remuneration of the director, as well as the amount of his severance pay in case of termination of office, actually and exclusively depends on the board. They are there, he says, "to offer, and the director to accept it or not".

"Given the already established practice that directors of companies founded by local self-governments have higher earnings than the highest local officials, and it has been shown that in some cases higher compensation upon termination of office, it is certain that these issues must be precisely regulated by law, and that is possible in the shorter term. And that both in terms of the precise conditions under which the right to severance pay is exercised, as well as in terms of the amount of severance pay".

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