Installation work and Employee Secondment to Serbia
TSG Guide/Newsletter 151 Which legal regulations must be considered for work assignments and the secondment of employees from Germany, Austria, or Switzerland to Serbia?
A concise overview of the necessary permits and obligations for companies from the DACH region whose personnel are temporarily assigned to work in Serbia.
What does the secondment of qualified workers to Serbia mean?
Secondment refers to the temporary deployment of an employee who is employed abroad, for example in Germany, Austria, or Switzerland, to a client in Serbia. The tasks to be performed are time limited. Upon completion, the seconded employee returns to their original employer in the home country.
What types of secondment to Serbia exist?
Basically, there are two types of secondment to the Republic of Serbia:
- Secondment with application for a work and residence permit (unified permit);
- Secondment without applying for such a unified permit, based on legal exceptions, for example in the case of certain installation work.
What role does the Serbian work and residence permit play, and how long is it valid?
This unified permit entitles the holder both to reside and to perform professional activities in Serbia. It is generally issued for up to three years and can be extended for another three years.
Is a permit mandatory for installation work in Serbia?
Not necessarily. Foreign qualified workers may stay in Serbia for installation works up to 90 days within a 180-day period without a residence permit, provided certain conditions are met. This applies to specialized activities related to the delivery, assembly, commissioning, repair, or training of machinery or technical equipment performed under a purchase or lease contract. Clear and precise contractual arrangements are of particular importance.
What should be done if the duration of the mission for the installation work is uncertain?
If it is not clearly foreseeable whether the planned mission will exceed the permissible 90-day stay, it is recommended to apply for a unified permit early. This minimizes legal risks and ensures planning security for all parties involved.
What labour law requirements apply to secondment to Serbia?
The seconded qualified worker must have been employed for at least one year with their employer from Germany, Austria, or Switzerland. Only then can the secondment for the performance of contractually agreed tasks, e.g., based on a machinery purchase or lease contract, be legally valid.
What social security regulations apply for assignments in Serbia?
For employees temporarily seconded from Germany, Austria, or Switzerland to Serbia, the respective national social security regulations continue to apply, provided that the secondment does not exceed 24 months.
This is based on bilateral agreements between Serbia and the mentioned countries. The agreement between Germany and the former SFRY, which is currently applicable to Serbia, came into force on 1 September 1969. The corresponding agreement between Austria and Serbia has been in effect since 1 December 2012. The social security agreement between Switzerland and Serbia entered into force on 1 January 2019.
Can subcontractors or external qualified workers also be seconded?
In practice, companies from the DACH region often commission subcontractors to carry out work in Serbia. However, if there is no direct employment contract between the employee and the seconding company, a regular secondment cannot take place.
In such cases, the only option is for the person concerned to either establish a sole proprietorship or found a legal entity in Serbia. This creates the basis for legal residence and work authorization.
