Labor Law amendments concerning the conditions for retirement

North Macedonia: Amendments in the labour legislation

During the summer, the Assembly in North Macedonia adopted relevant amendments to the Labour Law concerning the conditions for retirement. According to the estimations by the proposers of the amendment, around 6000 employees from the public and the private sector already reached 64 years of age by the end of 2020. Namely, with the amendment the employer is obliged to terminate the employee’s employment agreement once the employee reaches the age of 64, except where otherwise determined by law. According to the Prime Minister of North Macedonia, the amendment will allow certain flexibility, in particular the exception is related to fields which are staff deficient, i.e. health employees and employees in the education sector.

The latest amendment of the Labour Law removed the possibility to extend the validity of the employment contract above the age of 64 based on an employee’s statement which was previously possible. According to the latest amendment, all employees who have reached the age of 64 have to retire and no further extension of the employment will be possible. Although the amendment removes the possibility of extension of the employment, it does not change the position of the Law on Pension and Disability Insurance which enables female employees to opt for retirement at the age of 62. The employment of employees who have already been granted extension until the adoption of the latest amendment will remain valid until 30 June 2022.

These are not the only news regarding the labour regulation in North Macedonia. The initial draft of the newly proposed Labour Law is completed on behalf of the Ministry for Labour and Social Policy as it was announced by the Minister. The law is expected to enter the assembly procedure by the end of October or the beginning of November at the latest. Furthermore, the debates of the proposed law are expected to continue after the assembly’s collective holiday comes to an end. Among other issues, the new labour regulation is expected to further regulate paternity leave and extend the possibility for usage of maternity leave up to one year.

One of the most highlighted amendments of the new legislation is that Sunday is expected to be declared as a non-working day for all employees, aiming to improve the  balance between the professional and private life of all categories of employees.

The information in this document does not constitute legal advice on any particular matter and is provided for general informational purposes only.