LAW
ON AGENCY EMPLOYMENT

("Off. Herald of RS", No. 86/2019)

Subject Matter

Article 1

This Law shall regulate the rights and obligations of the employees who conclude an employment contract with an agency for temporary employment with a view to being assigned to temporary work with a employer-user, under the conditions laid down by this Law, equal treatment of the assigned employees in respect of exercising certain rights from an employment relationship and on the basis of work, working conditions of the agencies for temporary employment, method and conditions for assignment of employees, relationship between the agency and the employer-user, and obligations of the agency and the employer-user towards the assigned employees.

This Law shall apply to all the assigned employees irrespective of the type of employment relationship and working hours.

The law regulating employment shall apply to anything not regulated by this Law.

Definitions

Article 2

Agency for temporary employment (hereinafter: Agency) shall be a company or a sole trader registered with the competent authority in the territory of the Republic of Serbia, which concludes employment relationship with an employee in order to temporarily assign him to an employer-user in the territory of the Republic of Serbia in order to work there under his supervision and direction.

Assigned employee shall be a natural person employed by the Agency in accordance with this Law and the law regulating employment, who is being assigned to an employer-user with a view to work temporarily under his supervision and direction, in accordance with this Law.

Employer-user shall be a legal person, sole trader, i.e. a representative office or a branch of a foreign legal person that is registered in compliance with the law in the territory of the Republic of Serbia, a state authority, an authority of the autonomous province and local self-government unit, unless where determined otherwise by this Law, for whom, under whose supervision and direction, an assigned employee works temporarily, in accordance with this Law.

Comparable employee shall be an employee employed by the employer-user who is performing or would be performing the same work bearing in mind the required degree and type of education, i.e. the qualifications’ level and specific knowledge and abilities, i.e. competences, complexity, responsibility, professional experience and other special working conditions.

Where there is no comparable employee employed by the employer-user in the same jobs, the basic salary of the assigned employee may not be lower than the basic salary of an employee employed by the employer-user with the same degree of education i.e. level of qualifications.

Assignment shall constitute a period during which the employee temporarily works for the employer-user under his supervision and direction.

The basic employment and working conditions shall include:

1) The conditions laid down by: the law regulating employment, a collective agreement, i.e. rulebook on labor applicable with the employer-user, i.e. the employment contract of a comparable employee, relating to the duration of working hours, overtime work, night work, rest periods during daily work, daily breaks and weekly rest, annual vacation and other leaves, state and other holidays, salary for performed work and time spent on work (hereinafter: the salary), compensations for salary and compensations for costs for coming to and from work, for meals during work, for the annual vacation recourse, for the time spent on a business trip in the country and abroad, for accommodation and meals for field work and stay in the field, for funeral services (hereinafter: compensation of costs), in accordance with the law regulating employment;

2) The conditions prescribed in accordance with the law regulating safety and health at work.

CONDITIONS FOR WORK OF AGENCY

Article 3

The Ministry competent for employment (hereinafter: the Ministry), at the request of a company or a sole trader registered in the register of economic operators in accordance with the law, shall issue an operation license to an Agency (hereinafter: the License), under the following conditions:

1) That the legal representative of the company or the sole trader, i.e. the employee who is authorized to conclude the contracts referred to in Articles 9 and 11 of this Law has acquired higher education in basic academic studies with a minimum of 240 ECTS points, master academic studies, specialist academic studies, specialist vocational studies, i.e. basic studies in the duration of at least four years or specialist university studies, and who has passed the professional exam to work in an agency for temporary employment;

2) That the company or the sole trader fulfils the conditions in respect of the premises and the technical conditions for work.

The company and the sole trader shall, within eight days from the date of receipt of the License, submit an application for registration of activity (78.20 Activity of agencies for temporary employment) or other assignment of human resources (78.30 Other assignment of human resources) and registration of business name in which "Agency for Temporary Employment" shall be indicated as the business activity, in accordance with the law regulating registration of economic operators.

The company or the sole trader may neither pursue the activity referred to in paragraph 2 of this Article prior to the registration of such activity in accordance with the law, nor may have the activity referred to in paragraph 2 of this Article registered without a previously issued License.

Article 4

A natural person, which has been convicted by means of a final judgment for a crime from the group of criminal offences in the field of labor, for criminal offences of receiving and giving bribes, for the criminal offences of embezzlement, for which an unconditional sentence of imprisonment is imposed with a duration of six months at the minimum, may neither establish an Agency, nor be a member of, or a legal representative of an Agency.

The Agency whose License has been revoked may not carry out the activity referred to in Article 3, paragraph 2 of this Law for a period of three years from the License revocation date.

The Agency which has been determined by means of an act of the competent inspection authority in a supervision procedure that it carried out the assignment work without the License referred to in Article 3, paragraph 1 of this Law, may not be issued the License within a period of three years from the date of passing of the act of the competent inspection authority.

Article 5

Supervision in the procedure for determining compliance with the conditions for work of Agencies, relating to the application of Articles 3 through 8 of this Law, shall be carried out by the labor inspection.

The republic administrative tax shall be paid for taking and re-taking of professional examination for Agency work, as well as for issuing of certificate of passing the professional examination, in accordance with the law laying down the republic administrative taxes.

Professional examination for Agency work shall be taken before a relevant commission appointed by the minister in charge of employment (hereinafter: the Minister).

Members of the Commission shall be entitled to remuneration for work.

The Minister shall prescribe the conditions in respect of the space and the technical conditions for work of the Agency, the conditions relating to professional qualifications of the persons referred to in Article 3, paragraph 1, item 1) of this Law, the program, contents, method of taking professional examination for the work of agencies for temporary employment and the amount of the remuneration for work of the Commission members.

Article 6

The License shall be issued for a period of five years.

The validity of the License can be extended in the manner and under the conditions under which it is issued, provided that the application for the extension of the License must be submitted 30 days prior to the expiry of the License validity term, at the latest.

The republic administrative tax shall be paid for issuing and extension of the License, as well as for any change of the Agency seat, in accordance with the law laying down the republic administrative taxes.

The Ministry shall maintain the records that shall include:

1) Data on Agencies (name, seat, registration number and TIN);

2) Number and date of passing of the Decision on issuing, extension, revocation and cessation of validity of the License, as well as the initial and end dates of the validity of the License;

3) Other data of significance for maintenance of the records on Agencies.

An Agency which has been issued a License shall notify the Ministry in writing of any changes impacting the performance of assignment of employees within eight days from the date of occurrence of such changes.

Article 7

The License of an Agency shall be revoked:

1) If it no longer complies with the conditions referred to in Article 3 of this Law;

2) Where the case referred to in Article 4, paragraph 1 of this Law has occurred;

3) If within a period of one year the Agency has been determined to be responsible for a misdemeanor on a number of different counts or in the amount exceeding the double amount of the maximum prescribed fine, and the labor inspection has assessed that the Agency has thus obviously violated the rights of the assigned employees, i.e. continuously breached the provisions of this Law.

The Ministry shall pass a decision on License revocation, at a proposal of a competent authority, i.e. organization or on its own motion, where the conditions referred to in paragraph 1 of this Article or other conditions in accordance with the law are fulfilled.

The Agency whose License has been revoked may not carry out the assignment of employees, i.e. may not conclude new employment contracts with a view to assigning the employees to an employer-user.

A new License, upon the expiry the time limit of three years from the date of revocation, may be issued to the Agency whose License has been revoked due to reasons provided for in paragraph 1, items 2) and 3) of this Article.

The employment contracts concluded prior to the revocation of the Agency’s License shall remain in force until the expiry of the term of assignment, and two months from the date of License revocation at the maximum.

Article 8

A License shall cease to be valid:

1) Upon the expiry of the License validity term referred to in Article 6, paragraph 1 of this Law;

2) Based on the request of the Agency for License validity termination;

3) Upon deletion of the company, i.e. sole trader carrying out the business of employee assignment, from the register of the competent authority.

An Agency may file a request for License validity termination if it can provide proof that it has paid the salaries, compensations for salaries and allowances for expenses referred to in Article 2, paragraph 7 of this Law to the assigned employees.

Provisions of the law regulating administrative procedure shall apply to the procedure for issuing, revocation and termination of License validity and for maintaining of records.

The Minister shall prescribe more detailed conditions and method of issuing, revocation and termination of License validity.

CONDITIONS FOR ASSIGNMENT OF EMPLOYEES

Entering into Employment Relationship

Article 9

The Agency shall conclude with the assigned employee an employment contract for an indefinite period of time or an employment contract for a specified period of time which shall be equal to the period of time of their assignment to the employer-user, in accordance with this Law and the law regulating employment.

The contract referred to in paragraph 1 of this Article shall be concluded in the name and on behalf of the Agency by the person who is fulfilling the conditions referred to in Article 3, paragraph 1, item 1) of this Law.

In addition to the elements laid down by the law regulating employment, the employment contract concluded for an indefinite period of time referred to in paragraph 1 of this Article shall include:

1) The type of jobs for which the employee shall be assigned;

2) That the employee accepts to carry out the jobs based on work instructions issued by the employer-user (hereinafter: instructions).

An employment contract for a specified period of time which is equal to the period of time of the employee’s assignment to the employer-user, i.e. the instructions that are integral part of the employment contract for an unspecified period of time and which are replacing an annex to such a contract, shall be delivered to the employee before his/her assignment to the employer-user and shall include, in addition to the elements laid down by the law regulating employment, the following conditions for work:

1) The business name, i.e. the name and the seat of the employer-user to which the employee is being assigned and information on the person authorized to represent the employer-user in dealings with the assigned employees;

2) The place of work with the employer-user;

3) The name and description of jobs that the assigned employee should perform with the employer-user;

4) The duration of assignment and the basis for assignment to the employer-user for the temporary assigned employees (Article 16 of this Law);

5) The date of beginning of work with the employer-user;

6) The monetary amount of the base salary, the elements for determining the base salary, performance at work, increased salary and compensation for salary;

7) The duration of daily and weekly working hours with the employer-user;

8) The duration of annual vacation to which the employee is entitled, and where that cannot be indicated at the time of assignment, the method of approval and determining of the paid annual vacation.

Article 10

The contract referred to in Article 9 of this Law, in the case of assignment of employees to an employer-user that carries out its business in the territory of the Member States of the European Union and the European Economic Area, shall, in addition to the elements listed in that Article, also include the following:

1) The duration of work abroad;

2) The currency in which the salary will be paid;

3) Where necessary, other monetary and non-monetary allowances relating to the stay abroad;

4) Where necessary, conditions regulating the return of the assigned employee to the Republic of Serbia.

The provisions of paragraph 1 of this Article shall not apply if the duration of work abroad does not exceed one month.

Contract on Assignment of Employees between the Agency and the Employer-user

Article 11

A contract on assignment of employees between the Agency and the employer-user (hereinafter: the employees assignment contract) shall be concluded in writing and shall mandatorily include:

1) The obligation of the employer-user to provide accurate information to the Agency, prior to the beginning of assignment of employees, on:

(1) The number of assigned employees which the employer-user needs,

(2) The period of time for which the employees are being assigned and the basis for the assignment of employees for a specified period of time in accordance with this Law (Article 16 of this Law),

(3) The place of work of the assigned employees,

(4) The jobs that the assigned employee will perform,

(5) Information on the working conditions at the jobs for whose performance employees are being assigned,

(6) The basic working conditions referred to in Article 2, paragraph 7 of this Law;

2) The method and the time limit within which the employer-user shall deliver to the Agency the data necessary for calculation and payment of salary, compensation for salary and allowances for expenses referred to in Article 2, paragraph 7 of this Law;

3) Data on person authorized to represent the employer-user before the Agency as well as on the person authorized to represent the Agency before the employer-user, which may be replaced by delivery of unilateral notices;

4) Data on the person with the employer-user which is authorized to represent the employer-user in relations with assigned employees;

5) The remuneration for services that the Agency provides to the employer-user and other mutual rights and obligations, of the Agency and the employer-user;

6) Other issues of relevance for exercising of rights and obligations of assigned employees and regulation of the mutual relationship between the Agency and the employer-user, which may be replaced by delivering unilateral notices.

The contract referred to in paragraph 1 of this Article in the name and on behalf of the Agency shall be concluded by the person who fulfils the conditions referred to in Article 3, paragraph 1, item 1) of this Law.

Contract on Assignment of Employees in Cases of Posting to another Country

Article 12

In addition to the mandatory elements referred to in Article 11 of this Law, a contract on assignment of employees concluded by an Agency with an employer-user pursuing business in the territory of the Member States of the European Union and the European Economic Area, shall additionally include:

1) Data on the regulations of the Member State of the European Union and the European Economic Area to which the assigned employee is posted, applicable to the employment relationship of the assigned employee;

2) Data on the regulations of the Republic of Serbia applicable to the employment relationship of the assigned employee which is posted to another Member State of the European Union and the Economic Area;

3) The right to the assigned employee to the expenses for his/her repatriation.

Prohibition of Conclusion Contracts on Assignment of Employees

Article 13

A contract on assignment of employees may not be concluded:

1) To replace an employee of the employer-user where a strike has been organized, unless the employee with the employer-user who is designated to work during the strike with a view to providing the minimum work process has refused to work;

2) To perform the jobs in which the employer-user has determined a surplus employees in compliance with the general labor regulations, within the time limit determined in compliance with the law regulating labor;

3) In order to assign the employee to another Agency;

4) For the jobs at the employer-user in which the reduced working hours have been introduced in compliance with the regulations on labor and regulations on safety and health at work, or the accelerated retirement benefits in compliance with the regulations on pension and disability insurance;

5) For the jobs of civil servants of the Republic of Serbia and servants with the local self-government units and autonomous province;

6) In cases where the law obligates the employer-user to conduct a public competition procedure for entering into an employment relationship for a specified period of time.

The law or a collective agreement may prohibit, i.e. restrict the use of work through the Agencies due to some duly justified reasons which are based on public interest, and in particular with a view to protecting the assigned employees, safety and health at work, preventing disturbances in the labor market and preventing abuses.

The employer-user shall inform the Agency of the circumstances referred to in paragraphs 1 and 2 of this Article when concluding contract on assignment of employees.

Limits to Conclusion of Contract on Assignment of Employees

Article 14

The total number of assigned employees in employment relationship for a specified period of time with an employer-user may not exceed 10% of the total number of employees with the employer-user on the date of conclusion of the contract on assignment of employees, i.e. on the date of amendments to such contract where the number of assigned employees is changed.

The employer-user with less of 50 employees on the date on which the contract on assignment of employees is concluded may hire:

1) One assigned employee if it has from two to nine employees;

2) Two assigned employees if it has from 10 to 19 employees;

3) Three assigned employees if it has from 20 to 29 employees;

4) Four assigned employees if it has from 30 to 39 employees;

5) Five assigned employees if it has from 40 to 49 employees.

The assigned employees with the employer-user who have concluded employment contracts for unspecified period of time with the Agency shall not be included in the limits referred to in paragraphs 1 and 2 of this Article, irrespective of the period of their assignment to the employer-user.

Assigned employees who have been employed by the Agency for a specified period of time due to the increase in the volume of work with the employer-user which is the beneficiary of public funding within the meaning of the law regulating the budget system, shall be calculated in the limits on the number of employees for a specified period of time due to an increase in the volume of work and hired on any basis by the beneficiary of public funding, in compliance with the law regulating the budget system.

Effect of the Provisions on Prohibition on Concluding Employment Contracts

Article 15

Provisions of the employment contract or contract on assignment of employees or another act that prohibit or prevent establishing employment relationship between the employer-user and the assigned employee upon the expiry of the period of time of assignment by the Agency shall have no legal effect.

Duration of Assignment

Article 16

The Agency may assign an employee employed for a specified period of time to work with the employer-user in the cases and for the duration laid down for entering into employment relationship for a specified period of time in compliance with the law regulating labor.

The Agency may not assign an employee employed for a specified period of time who was previously in the employment relationship for a specified period of time with the same employer-user directly or through the same or other Agency in the total duration exceeding 24 months, except in the cases where the work for a specified period of time is permitted with the employer-user with a longer duration in compliance with the law regulating labor.

The assigned employee referred to in paragraph 1 of this Article, who has previously worked for the same employer-user directly or through the same or other Agency contrary to the provisions of paragraphs 1 and 2 of this Article or who remains to work for the employer-user for at least five working days following the expiry of the time period for which he/she has been assigned, shall be considered to have entered into employment relationship for an unspecified period of time with the employer-user.

The employee may initiate a labor dispute for determining the circumstances referred to in paragraph 3 of this Article before a competent court against the employer-user, within the time limits and in the manner prescribed by law.

Provisions of paragraphs 1 through 3 of this Article shall not pertain to the employees who are in employment relationship with the Agency for unspecified period of time.

The Assumption of Assignment

Article 17

A person working for the needs of an employer-user i.e. in the premises of the employer-user, and has a concluded contract of employment or other work engagement contract with another employer shall be considered as an assigned employee by such employer, unless where proven otherwise.

If the person referred to in paragraph 1 of this Article works contrary to the provisions of this Law, the employer and the employer-user shall be liable.

WORKING CONDITIONS OF THE ASSIGNED EMPLOYEE

Article 18

During the temporary performance of work with the employer-user, the assigned employee shall be entitled to working conditions which are equal to those of the comparable employee with the employer-user, in compliance with this Law.

The equal working conditions referred to in paragraph 1 of this Article shall pertain to:

1) The duration and schedule of the working hours;

2) Overtime work;

3) Night work;

4) Rest during work, daily, weekly rest and annual vacation;

5) Leave with compensation for salary in compliance with the law, collective agreement, i.e. rulebook on labor applicable with the employer-user;

6) Elements for calculation and payment of salary, compensation for salary and allowances for expenses referred to in Article 2, paragraph 7, item 1 of this Law;

7) Safety and health at work;

8) Protection of pregnant women and nursing mothers;

9) Protection of young people;

10) Prohibition of discrimination on any basis, in compliance with the law.

The equal working conditions referred to in paragraph 2 of this Article shall be directly provided for the assigned employee by the employer-user, and calculation and payment of salary, compensation for salary and allowances for expenses referred to in paragraph 2, item 6) of this Article shall be provided by the Agency.

Obligations of the Agency towards the Assigned Employee

Obligation to Provide Instructions

Article 19

The Agency shall, except in the case where a contract for a specified period of time has been concluded for the period of time equal to the period of time for which the employee is assigned to the employer-user and which include the elements referred to in Article 9, paragraphs 3 and 4 of this Law, provide the instructions to the assigned employee prior to the assignment to the employer-user.

Obligation to Pay Salary, Compensation for Salary and Allowances for Expenses

Article 20

The employer-user shall maintain records of work and absences from work of the assigned employees and to deliver to the Agency from such records information for calculation and payment of salaries, compensations for salaries and allowances for expenses referred to in Article 2, paragraph 7 of this Law, by the 15th day in the month for the previous month, at the latest.

The Agency shall pay the salary, compensation for salary and allowance for expenses referred to in Article 2, paragraph 7 of this Law to the assigned employee for the period of assignment, based on data available to it and data from the records delivered to the Agency by the employer-user.

If the employer-user fails to deliver to the Agency the data referred to in paragraph 1 of this Article, the Agency shall pay the salary, compensation for salary and allowance for expenses referred to in Article 2, paragraph 7 of this Law to the assigned employee based data available to the Agency, i.e. the average number of working hours for the month for which the payment is made.

Article 21

During the period of work for the employer-user, the assigned employee shall conscientiously and responsibly perform the jobs for which he/she has been assigned, to respect the organization of work with the employer-user and to comply with other obligations in compliance with the law regulating labor.

Prohibition to Charge Service Fee for Assignment to Employer-User

Article 22

The Agency shall not charge the employee with any service fee for temporary assignment to the employer-user, or for conclusion of contract on employment with the employer-user following the cessation of the assignment.

The prohibition referred to in paragraph 1 of this Article shall not pertain to contracting any service fees between the Agency and the employer-user by means of the contract on assignment of employees.

Termination of Employment Contract - due to the Reasons occurring with the Employer-user

Article 23

The Agency may terminate the contract on employment with the assigned employee or impose another measure where there is a duly justified reason for that relating to the employee’s work ability and his/her behavior in compliance with the law regulating labor and the general acts applicable with the employer-user i.e. with the Agency, as well as due to other reasons in compliance with the law regulating labor.

The employer-user shall notify the Agency in writing of the circumstances referred to in paragraph 1 of this Article without delay and to provide all pieces of proof necessary for determining the circumstances on which the termination of employment is based.

In the case of an unlawful dismissal, the assigned employee shall have the right to initiate a labor dispute before the court of relevant jurisdiction against the Agency, for compensation of damage amounting to the remaining salaries’ amount from the moment of termination of employment relationship to the expiry of the time limit of contracted assignment, and for 18 salaries at the maximum, as well as the right to payment of taxes and benefits for that period.

Article 24

The assigned employee who has an employment contract with the Agency for an unspecified period of time shall have the right to compensation of salary for the period between two assignments to the employer-user, and in the case of termination of employment, he/she shall have the right to severance payment based on redundancy in compliance with the law regulating labor.

The compensation of salary referred to in paragraph 1 of this Article may not be lower than the minimum salary laid down in compliance with the law regulating labor, i.e. the proportionate amount of the minimum wage of an employee who does not work full working hours.

Obligations of Employer-User

Article 25

The employer-user shall give work tasks to the assigned employee, organize, direct and supervise the work of the assigned employee, give him/her instructions for such purpose, provide the same working conditions and measures of safety and health at work as to its employees.

Article 26

The employer-user shall:

1) Deliver to the Agency information on the working conditions in the jobs for which assignment is carried out and on other working conditions of comparable employees with the employer-user referred to in Article 2, paragraph 7 of this Law when concluding the contract on assignment, as well as an excerpt from the general act and to notify the Agency in the same manner of any change of the conditions indicated, in the shortest time limit possible;

2) Inform in an adequate manner the assigned employees of job openings, in order to give them the same opportunities as the other employees with the employer-user to conclude a permanent employment relationship;

3) Provide to the assigned employee access to dining amenities and child-care facilities of employees employed by the employer-user, as well as the use of organized transport with the employer-user, under the same conditions as to the employees employed with the employer-user, unless where the difference in treatment is justified by objective reasons;

4) Notify the person in charge of safety and health at work about the assigned employees and of the jobs that they will perform;

5) Provide information to the worker’s union at the employer-user on work engagement of assigned employees in the manner and within the time limits in which it also provides information on all aspects of employment and work engagement, in compliance with the law regulating labor.

The employer-users shall be jointly and severally liable for the obligations of the Agency to pay the salary, compensation for salary and allowance for expenses referred to in Article 2, paragraph 7 of this Law.

The employer-users shall be responsible for accuracy and completeness of data referred to in paragraph 1, item 1) of this Article.

Safety and Health at Work

Article 27

The employer-user shall provide for the assigned employees measures of safety and health at work, in compliance with the regulations from the field of occupational safety and health.

The employer-user shall inform the assigned employee before he/she commences working of all the risks in the work place and of the concrete measures, i.e. to train him/her for safe and healthy work, in compliance with the regulations on occupational safety and health.

The employer-user shall provide for the assigned employee medical check-ups in compliance with the regulations on occupational safety and health.

The assigned employee shall apply the prescribed measures for safe and healthy work with the employer-user, and in particular the measures for safe and healthy work where specific risks are entailed.

Responsibility of the Employer-User and the Agency Relating to Injury at Work and Occupational Illness

Article 28

The employer-user shall report an injury sustained at work by and an occupational illness of the assigned employee in compliance with the regulations on occupational safety and health and to immediately notify the Agency thereof.

The employer-user shall deliver to the Agency the completed form of the report on injury sustained at work i.e. occupational illness, except for the data on employer-user, without delay, and within 24 hours from such injury, i.e. determined occupational illness at the latest.

The Agency shall deliver the report on injury sustained at work i.e. the report on occupational illness in compliance with the regulations in the field of occupational safety and health.

Other Obligations of Agency and Employer-User

Article 29

The Agency and the employer-user shall provide protection of personal data of the assigned employee, in compliance with the law regulating protection of personal data.

The employer-user shall maintain records of the assigned employees in written or electronic form and the records of Agencies with which it has a signed contract on assignment of employees, which shall include the following information:

1) Name and surname and UCIN of the assigned employee;

2) Date of commencement and the date of end of work;

3) Basis for assignment for the assigned employees who are in employment relations with the Agency for a specified period of time;

4) Required degree and type of professional qualifications, i.e. the level of qualifications and special knowledge and abilities i.e. competences, complexity, responsibility, professional experience and other special requirements for work;

5) Name of the job, i.e. of the work position;

6) Legal status in the Agency (employed for a specified or for unspecified period);

7) Information on the Agency that has assigned him/her for work with the employer-user (name, seat, registration number and TIN).

The employer-user shall perform the processing of data from the records referred to in paragraph 2 of this Article in compliance with the law regulating protection of personal data and to keep it for at least 50 years.

COLLECTIVE RIGHTS OF THE ASSIGNED EMPLOYEES

Article 30

The assigned employees shall be included in the total number of employees with the employer-user when determining compliance with the conditions for appointing employees’ representatives in compliance with the law.

The freedom of association in trade unions, freedom of action and collective bargaining shall be guaranteed to the assigned employees with the Agency and with the employer-user.

The assigned employee may take part in a strike organized with the employer-user, under conditions and in the manner prescribed by the law regulating strike.

Improvements of Conditions for Additional Training and Access to Child-Care Facilities

Article 31

Conditions for improvement of possibilities for the assigned employees to get additional training and use the services of child-care facilities even in the periods between two assignments, as well as the possibilities for additional training of the assigned employees with the employer-users under the conditions under which such rights are exercised by the employees of the employer-user, can also be negotiated by means of collective bargaining.

DAMAGES

Article 32

The assigned employee shall be responsible for any damage caused at work or in relation to work, intentionally or through gross negligence, to the employer-user, in compliance with the law regulating labor.

The assigned employee who has caused damage at work or in relation to work with the employer-user intentionally or through gross negligence to a third party, which has been compensated by the employer-user, shall compensate the employer-user with the amount of damages paid.

If the assigned employee suffers damage at work or in relation to work, the employer-user shall compensate him/her for such damage, in compliance with the law regulating labor.

Subsidiary Liability of the Agency and the Employer-User relating to Injury at Work and Occupational Illness

Article 33

The employer-user shall compensate the assigned employee for the damage the assigned employee suffers at work with the employer-user based on an injury at work and occupational illness.

The Agency shall bear the subsidiary liability for the damages referred to in paragraph 1 of this Article, in case that the assigned employee cannot collect from the employer-user the entire or any part of the damages determined in a court proceeding.

Supervision

Article 34

Supervision over the application of this Law shall be carried out by the labor inspection, i.e. by the administrative inspection.

Penal provisions

Misdemeanors

Article 35

A company engaging in assignment of employees shall be sanctioned with a fine ranging from 800,000 to 1,500,000 Dinars for a misdemeanor:

1) If it engages in assignment of employees without a previously acquired License, i.e. without a previously registered activity in compliance with the provisions of this Law (Article 3);

2) If it does not inform the Ministry of the changes contrary to the provisions of this Law (Article 6, paragraph 5);

3) If following the revocation of the License or following the expiry of validity of such License it continues to engage in assignment of employees contrary to the provisions of this Law (Articles 7 and 8);

4) If it fails to conclude the employment contract with an employee or if it has concluded such contract contrary to the provisions of this Law (Articles 9 and 10);

5) If it failed to conclude the contract on assignment of employees with the employer-user or if it has concluded such contract contrary to the provisions of this Law (Articles 11 and 12);

6) If it has concluded a contract on assignment of employees with the employer-user despite the prohibitions and limitations prescribed by this Law (Articles 13 and 14);

7) If it stipulates or prescribes a prohibition for the assigned employee to enter into employment relationship with the employer-user, contrary to the provisions of this Law (Article 15);

8) If it assigns employees contrary to the provisions of this Law (Articles 16 and 17);

9) If it does not provide equal working conditions to the assigned employee in compliance with the provisions of this Law (Article 18);

10) If it does not deliver to the assigned employee the instructions in compliance with the provisions of this Law (Article 19);

11) If it fails to pay the salary, compensation for salary and allowance for expenses to the assigned employee, in its entirety or in part, as referred to in Article 2, paragraph 7 of this Law (Article 20, paragraphs 2 and 3 and Article 24);

12) If it charges the assigned employee for a service provided contrary to the provisions of this Law (Article 22);

13) If it terminates the contract of employment with an assigned employee contrary to the provisions of this Law (Article 23);

14) If it fails to pay the severance pay to the assigned employee, in its entirety or in part, in compliance with the provisions of this Law (Article 24);

15) If it fails to deliver a report on an injury sustained at work i.e. occupational illness (Article 28, paragraph 3);

16) If it fails to provide protection for personal data of the assigned employee in compliance with the provisions of this Law (Article 29, paragraph 1).

A sole trader engaging in assigning employees shall be sanctioned by a fine ranging from 200,000 to 400,000 Dinars for the misdemeanor referred to in paragraph 1 of this Article.

The responsible person with a company shall be sanctioned by the fine ranging from 50,000 to 100,000 Dinars for the misdemeanor referred to in paragraph 1 of this Article.

Article 36

An employer-user with a status of a legal person shall be sanctioned with a fine ranging from 800,000 to 1,500,000 Dinars for a misdemeanor:

1) If it failed to conclude a contract on assignment of employees with the Agency or if it concluded such a contract contrary to the provisions of this Law (Articles 11 and 12);

2) If it concluded a contract on assignment of employees with the Agency despite the prohibitions and limitations prescribed by this Law (Articles 13 and 14);

3) If it hires the assigned employee contrary to the provisions of this Law (Articles 16 and 17);

4) If it fails to provide to the assigned employee conditions for work which are equal to those of the comparable employee (Article 18);

5) If it fails to maintain the records i.e. if it fails to deliver to the Agency or if it delivers incorrect information from the records needed for payment of the salary, compensation for salary and allowance for expenses referred to in Article 2, paragraph 7 of this Law (Article 20, paragraph 1);

6) If it fails to act in compliance with the obligations prescribed by the provisions of this Law (Articles 25 through 27);

7) If it fails to report an injury at work or occupational illness, i.e. if it fails to deliver to the Agency a completed form of the report on injury sustained at work i.e. occupational illness, in compliance with the provisions of this Law (Article 28, paragraphs 1 and 2);

8) If it fails to provide protection of personal data of the assigned employee and fails to maintain records in compliance with the provisions of this Law (Article 29);

9) If it acts contrary to the provisions of this Law in exercise of collective rights (Article 30, paragraphs 1 and 3).

A sole trader that hires the assigned employees shall be sanctioned by a fine ranging from 200,000 to 400,000 Dinars for the misdemeanor referred to in paragraph 1 of this Article.

A responsible person with a legal person shall be sanctioned by a fine ranging from 50,000 to 100,000 Dinars for the misdemeanor referred to in paragraph 1 of this Article.

Transitional and Final Provisions

Article 37

Provisions of Articles 10 and 12 of this Law shall apply to assignment of employees for work with an employer-user with the seat in the territory of a Member State of the European Union and the European Economic Area from the date of acquiring of full membership in the European Union by the Republic of Serbia.

Article 38

Limitations applicable to the employer-user, the Agency and the employee prescribed by Article 16 of this Law shall begin applying to contracts on assignment of employees, contracts of employment i.e. instructions, concluded i.e. issued from the commencement of application of this Law.

Article 39

As of the beginning of application of this Law, the employers which are assigning their employees to an employer-user for performance of work under the supervision and direction of employer-users and the employer-users may continue assigning employees under conditions and in the manner set by this Law only.

Article 40

The Minister shall pass the secondary legislation referred to in Article 5, paragraph 5 and Article 8, paragraph 4 of this Law by 31 December 2019.

Article 41

This Law shall enter into force on the eighth day from the date of its publication in the "Official Herald of the Republic of Serbia" and it shall apply from 1 March 2020, except for the provisions of Article 40 and provisions related to that Article, which shall apply from the date of entry into force of this Law and other provisions of Articles 3 through 8 of this Law, which shall apply from 1 January 2020.