Severence Pay for Workers Doubled in Election Year
In the election year of 2016 the Labor Fund will pay €6 million euro for workers’ severance pay, which is two and a half times more than in the previous year, which was a non-election year. The severance payments in the amount of less than €2,000 are paid to workers whose companies were closed by 2009, and it was estimated at the time that around 21,000 workers were entitled to this kind of compensation. The Tape Recording affair revealed that severance pay for workers is one of the important mechanisms that the ruling party used in election cycles to influence voters’ decisions.
The Proposal for the Budget Law of Montenegro for 2016 provided spending 2.3 million on workers’ severance payments, but the sum increased by a million during the adoption of the budget in the Parliament of Montenegro on the basis of the amendment which was submitted by MPs of the ruling Democratic Party of Socialists.
In 2015, which was a non-election year, the Law on Budget of Montenegro for 2015 provided €2.3 million for severance pay.
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