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Publisher:: Federal Employment Institute 71 000 Sarajevo Đoke Mazalića 3 Phone : 033/562-900 Fax: 033/208-257 e-mail: [email protected] web: www.fzzz.ba For the publisher: Director Helena Lončar Editor and research Head of the Unit for Labor Dr.sc.Omer Korjenić coordinator: Market Analysis, Statistics, Monitoring and Evaluation Preparation and processing: Expert Associate for Almir Pinjić Statistics Expert associate for labour Sabina Šantić market analysis Research coordinators in employment services: Ramo Sulić Daniel Vorgić Mirela Kravić Harun Kahvedžić Senija Hadžić Ivana Rajić Mišković Anita Perić Vjekoslav Novak Ivana Jukić Nedžad Ahatović Marijana Ibišević Silvija Salapić Printing: 300 copies We thank the EU-funded Project “Improvement of Labour Market Research” for provid- ing technical and professional support in the implementation of activities within the labour market research and employers’ surveys in the Federation of BiH 2020/2021. This report was prepared for the Federation Employment Agency with the technical support of the project “Strengthening the capacity of labour market institutions by improving the methodology of labour market research”, funded by the European Union and implemented by a consortium NIRAS IC Sp z oo, GOPA Worldwide Consultants, GOPA mbH Germany and Employment Service of the French Republic. The contents of this publication are the sole responsibility of the authors and do not neces- sarily reflect the views of the European Union. (C) 2021 European Commission Sarajevo, February 2021 CONTENT 1. EMPLOYMENT AND SALARIES IN THE FEDERATION OF BOSNIA AND HERZEGOVINA IN 2020....................................................................................................................................10 2. UNEMPLOYMENT IN THE FEDERATION OF BOSNIA AND HERZEGOVINA IN 2020.......15 3. LABOUR MARKET SURVEY IN THE FEDERATION OF BOSNIA AND HERZEGOVINA 2020/2021...............................................................................................................................25 3.1. Aim and assignments of the research..................................................................25 3.2. Research methodology and sample......................................................................25 4. BUSINESS TRENDS AND CHANGES IN THE NUMBER OF WORKERS IN 2020.................33 4.1. Business volume and financial effects in 2020....................................................33 4.2. Changes in the number of workers in 2020....................................................34 4.3. (Dis)satisfaction with the quality of knowledge and skills of workers.............39 4.4. Response to the crisis caused by the COVID-19 pandemic................................40 4.5. Use of active employment policy measures.........................................................41 5. CURRENT LACK OF WORKERS AND NEED FOR TRAINING..............................................46 6. BUSINESS ASSESSMENT IN 2021.......................................................................................52 6.1. Estimation of business volume and financial effects of business operation and estimation of wage growth in 2021.......................................................................52 7. EMPLOYMENT AND TRAINING NEEDS IN 2021...............................................................57 7.1. Expressed employment needs in 2021 by sectors...............................................57 7.2. Expressed needs for employment in 2021 according to education and occupa- tion.............................................................................................................................59 7.3. Expected redundancies in 2021.............................................................................63 7.4. Needs for additional training of workers and the possibility of organizing prac- tical classes for students and training for the unemployed...............................65 8. COOPERATION WITH PUBLIC EMPLOYMENT SERVICES IN THE FEDERATION OF BIH......................................................................................................................................73 9. BASIC DATA FROM THE RESEARCH...................................................................................79 10. BASIC OBSERVATIONS AND RECOMMENDATIONS .....................................................82 OVERVIEW OF THE NUMBER OF STUDENTS IN SECONDARY SCHOOLS IN THE FEDERA- TION OF BIH IN THE SCHOOL YEAR 2020/2021 BY MAJORS...............................................87 LABOUR MARKET RESEARCH 4 IN THE FEDERATION OF BIH 2020/2021 LABOUR MARKET RESEARCH IN THE FEDERATION OF BIH 2020/2021 5 LABOUR MARKET RESEARCH 6 IN THE FEDERATION OF BIH 2020/2021 LABOUR MARKET RESEARCH IN THE FEDERATION OF BIH 2020/2021 7 INTRODUCTION The report on the results of the labour mar- consequences in the economy, but the overall ket research 2020/2021, as an analysis of the events and duration of the global crisis have needs and trends in the labour market in the led to major consequences in the labour mar- Federation of BiH, was prepared in late Feb- ket. ruary 2021, with the pandemic COVID-19 still present, which affected the entire the world in In addition to the projections of employers re- the first quarter of 2020. garding business, as well as the demand for la- bour, i.e. the projection of new employment of Preparations for the labour market research workers and an overview of required compe- were made in December 2020, and the survey tencies of workers, the report also provides an and collection of results was done in January overview of the most numerous occupations 2021, through a synergy of the Federation Em- and a brief overview of the number of unem- ployment Service and cantonal employment ployed persons. Also, in this context, as an an- services and support of the Improvement of nex to the Report, a list of secondary schools Labour Market Research project, funded by the in the Federation of BiH is attached, with an EU. overview of both the number of enrolled stu- dents in the school year 2020/2021 and the In order to prevent the spread of the virus and total number of enrolled students in all fields. serious health consequences for the popu- lation, on March 18, 2020 the Government of The Federation Employment Service will pub- the Federation of BiH passed the Decision on lish this Report on its portal www.fzzz.ba and Declaring a State of Disaster caused by coro- submit it to the institutions and organizations navirus (COVID-19) in the Federation of BiH (V relevant in the field of employment and edu- number: 408/2020), and the Federation Civil cation, and take all necessary activities to sta- Protection Headquarters and the Federation bilize the situation on the labour market, in ac- Ministry of Health adopted a number of orders cordance with its competencies. and measures, including the measure of limit- ed movement of people as well as the suspen- sion of work for certain business activities that lasted until 30 June 2020. At the very beginning the appearance of the vi- rus and the declaration of the pandemic had a particularly negative impact on the catering and hotel industry in the Federation of BiH, as well as the processing industry and transport, but later on in the other activities as well. This period remained marked by the dismissal of workers, but also by a strong struggle to pre- serve jobs using all available resources and measures. Various interventions and measures through laws and other regulations, from the level of the Federation to the municipal level (contribu- tion subsidies, salary subsidies, establishment of the Guarantee Fund, moratorium on loans, suspension of calculation and payment of de- fault interest on public revenues, abolition of corporate income tax and advance payment income, suspension of forced collection proce- dures, subsidies for employers in the field of tourism, suspension of rent fees, abolition of certain taxes, etc.) systematically mitigated the LABOUR MARKET RESEARCH 8 IN THE FEDERATION OF BIH 2020/2021 LABOUR MARKET RESEARCH IN THE FEDERATION OF BIH 2020/2021 9 1. EMPLOYMENT AND SALARIES IN THE FEDERATION OF BOSNIA AND HERZEGOVINA IN 2020 In 2020, after a long period, the trend of growth in the number of employed persons in the Fed- eration of Bosnia and Herzegovina from previous years stopped. According to the Federation Statistics Office, in the Federation of Bosnia and Herzegovina in 2020 there was an average of 520,162 employees, which, compared to the 2019 average (531,483), is less by 11,321 workers or 2.1%. The decrease in the index of the number of employees in 2020 compared to 2019 was recorded in the following activities: Hotels and restaurants (-10.7%), Arts, entertainment and rec- reation (-7.3%), Manufacturing and Mining ore and stone (-4.4%), Real estate (-4.1%), and Trade (-3.4%). In the Hospitality and catering industry, in April 2020, the number of unemployed de- creased by as much as 25%, which means that every fourth worker in the hospitality industry lost their job at that time. The highest growth index of the number of employees in 2020 (compared to 2019) was recorded in the following activities: Information and communication (4.6%), Administrative and support service activities (3.3%), Health and social work 2.1%) and Construction 1.4%. Table 1: Number of employees in the Federation of BiH in 2019 and 2020 by activities 1 Number of employed Index Activities XII 2020 0 2020 0 2020 0 2019 0 2019 0 2019 Total 520,162 531,483 97.8 97.9 A Agriculture, forestry and fishing
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