Sarajevo, February 26, 2007 - The U.S. Government, through the U.S. Agency for International Development (USAID), is pleased to announce that USAID Mission Director Jane Nandy will sign a Memorandum of Understanding with RS Government officials.   The MoU will formalize cooperation between USAID’s Enabling Labor Mobility (ELMO) project and the RS Government.  The signing ceremony will be held on Tuesday, February 27, 2007, at 2:00 p.m. in the RS Government Building in Banja Luka.  All media are invited to attend.          

Rigid regulations have been identified as the primary challenge to the BiH labor market.  ELMO will cooperate with both the RS and Federation to develop centralized databases in the entity tax administration offices that will account for all social contribution data of insured persons and disseminate this data to different social insurance funds.  These electronic databases will replace the existing manual ones, enabling the implementation of an alternative to the Work-Book worker registration system. 

In addition, ELMO will work with labor inspectors to encourage compliance rather than punish non-compliance, in accordance with modern European practices.  The project will foster an effective dialogue between government, employer organizations and trade unions to upgrade the capacity.

USAID has launched this four-year, $12 million activity to assist small and medium sized enterprises to emerge from the grey economy in BiH.

Last updated  on:12/02/2008

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