Serbia's ombudsman urges against removing disability employment incentives

Serbia's Protector of Citizens, Zoran Pašalić, has formally requested the Ministry of Finance to refrain from eliminating tax incentives for the employment of people with disabilities. In a proposal submitted to the ministry, Pašalić urged that existing provisions, which offer employers tax and contribution exemptions for hiring individuals with disabilities, remain in effect.

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The Protector of Citizens proposed that the provisions of the current laws that provide for the exemption of employers from paying taxes and contributions when employing persons with disabilities remain in force until a comprehensive analysis of their effects is carried out, consultations with organizations of persons with disabilities are conducted, and a clear explanation of the reasons for the abolition of these measures, as well as alternative support mechanisms for employment, are presented.

Pašalić's recommendation comes as a response to proposed amendments to the Law on Contributions for Mandatory Social Insurance and the Law on Personal Income Tax. He expressed concern that the proposed changes might not adequately ensure effective measures to encourage the employment of disabled individuals. The current incentives, in place for years, aim to foster employment, social inclusion, and a more equitable position for people with disabilities in the labor market.

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These are measures that have been applied for years with the aim of encouraging the employment of persons with disabilities, their social inclusion, and a more equitable position in the labor market.

The Protector of Citizens highlighted a lack of clear justification and supporting analysis for the proposed removal of these incentives. He pointed out that the potential consequences of such a move on the employment status of people with disabilities, a group already facing significant barriers and a higher risk of social exclusion, have not been adequately assessed. Pašalić stressed the importance of conducting a comprehensive impact assessment before legislative changes affecting vulnerable groups are introduced.

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Given that this is one of the social groups that still faces numerous obstacles in employment and an increased risk of social exclusion, the Protector of Citizens believes that it was necessary to conduct a comprehensive assessment of the effects of the proposed changes before submitting them to the legislative procedure.

Furthermore, Pašalić underscored the necessity of public accessibility to all relevant materials, including justifications and impact analyses, when significant legislative amendments are considered. He advocated for thorough public consultations through roundtables and forums to ensure all stakeholders' voices are heard.

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When making significant legislative changes, it is necessary to ensure public access to all accompanying materials, including explanations and analyses of the effects of regulations, as well as the full participation of the interested public through roundtables, forums, and other forms of public consultations.