AmCham Macedonia Fall 2014 (Issue 43) | Page 19

ANALYSIS 6 Common Pain Points Felt by Macedonian HR Departments Mention employment-related issues at any gathering of international business people working in Macedonia and you’re likely to hear a number of pretty consistent complaints. They range from personal diatribes on the process of applying for a visa or work permit to expressions of disbelief that companies are legally required to give advanced, written notice to the Labor Inspectorate every time employees are scheduled to work overtime. AmCham Macedonia’s team, recently surveyed a number of HR specialists who work in large, international AmCham member organizations to create the following list of issues they have in common. 1 High administrative burden, lack of proper systems, coordination and consistency between & within institutions – when it comes to issues of employment, companies are required to report, report and report again. Unfortunately, most of these reports are only accepted in hard copy and contain repeat information already submitted to another institution. It is sometimes hard to even submit documents, since some institutions only accept documents 2 days per work week. Companies also report that officials within the same institution are likely to give different instructions and to accept different documents for the same procedure. Accurate application requirements are rarely published online, so at least 2 trips to the institutional counter are most often in order. Due to the ministries’ reliance on hard copy applications, documents are sometimes lost, slowing the process and requiring applicants to start over. The lack of electronic payment options in most State institutions results in time-consuming trips to banks and maintenance of hard copy proofs of payment. 2 3 4 5 6 The number of official holidays – Macedonia recognized no less than 27 State, national, ethnic and religious holidays in 2013; when combined with a minimum annual leave allowance of 20 days for each employee, reduced productivity is a real concern; Overtime – by law, employees can work a maximum of 8 hours overtime in a given week (4 hours less than their EU counterparts) and companies have to notify the State Labor Inspectorate before any overtime is worked; Arbitrary vacation bonus “K15” – starting this year, companies must pay a standard annual vacation bonus to all employees, regardless of their current salary level or performance; Overly strict vacation usage constraints