Guide
Registering an employee (fixed-term and indefinite)
We draw up the employment contract and register the employee for mandatory social insurance through CROSO before they start work, within the legal deadline and with complete documentation.
Registering an employee means establishing employment by signing an employment contract and enrolling the worker in mandatory social insurance through the Central Registry of Compulsory Social Insurance (CROSO). Under the Labor Law the contract must be concluded and the employee registered before they actually start work, because employing an unregistered worker carries heavy fines and labor inspection problems. Fixed-term and indefinite hiring go through the same procedure, and the difference lies in the duration and terms of the contract. Correct and timely registration protects you as the employer and gives the employee pension, health, and unemployment insurance from the very first working day.
What you should know
- The employment contract must be concluded in writing before the employee starts work and must contain the mandatory elements prescribed by the Labor Law, such as the type and description of the work, place of work, working hours, salary, and start date.
- Registration for mandatory social insurance is filed electronically through the CROSO portal as a single application and must be done before the employee starts work, and may be submitted at the earliest 8 days before that date; a single application enrolls the worker in pension (PIO), health (RFZO), and unemployment insurance.
- An indefinite-term contract is the default form of employment under the law and has no predetermined end date, while a fixed-term contract is concluded for a defined period and may generally last no longer than 24 months with the same employer, subject to the exceptions prescribed by law.
- Registration requires the employee's data and documents: ID card and personal number (JMBG), proof of qualifications where the role requires it, current account details, and where applicable a medical certificate and a work permit for foreign nationals.
- Once registered, the employee gains the right to health insurance (validation of the health booklet), and for each payment the employer calculates the salary with tax and contributions and files the PPP-PD tax return no later than the payment date.
- Changes during employment, such as amending the contract, extending a fixed term or moving to an indefinite term, as well as termination, are also recorded, and deregistration is filed through CROSO no later than 3 days after employment ends.
How we handle it
- 01 Consultation and contract type We help you decide whether to hire on a fixed-term or indefinite basis and explain the differences in deadlines, notice, and obligations, so the contract fits your need and complies with the Labor Law.
- 02 Preparing the employment contract We draft the employment contract with all mandatory elements and gather the employee's data and documents, including the ID card, personal number (JMBG), proof of qualifications, and current account details.
- 03 CROSO registration before start of work We file the single application through the CROSO portal before the employee starts work, enrolling them in pension, health, and unemployment insurance.
- 04 Registration confirmation and health booklet We confirm that the registration was successfully recorded and ensure the employee can validate their health booklet from the first working day.
- 05 Adding to payroll We add the employee to regular payroll so that, for each payment, tax and contributions are calculated correctly and the PPP-PD tax return is filed on time.
- 06 Tracking changes and deregistration We monitor deadlines for fixed-term contracts, prepare annexes and extensions, and on termination file the deregistration through CROSO within the legal deadline.
Company formation
We register your company with APR and handle all tax and banking obligations.
Read moreSole trader, flat-rate or LLC: which to choose
An overview of the three Serbian legal forms (flat-rate sole trader, sole trader on business books, and an LLC) compared by liability, taxation, bookkeeping and capital, so you can pick the form that pays off best for you.
Read moreOpening a company in Serbia for foreigners
Foreign nationals and companies can set up a business in Serbia on the same terms as locals, and we run the whole process from choosing the form to registration and banking, remotely if needed.
Read moreReady to hand your books to the experts?
Book a free 30-minute consultation. No obligations, just a clear plan for your finances.