Salaries and wages


Metadata
Period: Every three years
Year: 2023

REFERENCE METADATA
01. Contact
02. Metadata update
03. Statistical presentation
04. Unit of measure
05. Reference Period
06. Institutional Mandate
07. Confidentiality
08. Release policy
09. Frequency of dissemination
10. Accessibility and clarity
11. Quality management
12. Relevance
13. Accuracy and reliability
14. Timeliness and punctuality
15. Coherence and comparability
16. Cost and Burden
17. Data revision
18. Statistical processing
19. Comment

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01. ContactTop
01.1. Contact organisation

Statistical Office of the Republic of Serbia

01.2. Contact organisation unit

Earnings Statistics Group

01.3. Contact name

Cmilja Ivković

01.4. Contact person function

Head of Unit of Earnings statistics

01.5. Contact mail address

5 Milana Rakića, Belgrade

01.6. Contact email address

cmilja.ivkovic@stat.gov.rs

01.7. Contact phone number

+381 11 2412 350

01.8. Contact fax number

02. Metadata updateTop
02.1. Metadata last certified
08/10/2020
02.2. Metadata last posted
20/5/2024
02.3. Metadata last update
10/4/2024

03. Statistical presentationTop
03.1. Data description

The survey on earnings is based on data from the Tax Administration records, from the Individual tax return on accrued taxes and contributions (PPP-PD form).

Average earnings are calculated on the basis of the total amount of accrued salaries and wages for the reporting month and the number of full-time equivalent (FTE) employees.

Since earnings represent the largest part of the employers’ labour costs on one hand and on the other hand, the impact of earnings is significant both for achieving and preserving the living standards and social security of employees, as well as for use and consumption of commodity funds, average earnings present a significant indicator of economic development, being simultaneously the means of directing it.

Statistical data on average salaries and wages are, in accordance with applicable legal regulations, used for calculating numerous financial categories.

The calculation of average salaries and wages includes employees with indefinite or fixed-term employment contract, as well as employees in temporary or occasional employment. Incomes of persons who work on the basis of service contract or author contract are not considered as salaries and wages.

03.2. Classification system
  • Classification of Activities (2010), which was adopted by the Government, based on the Law on Classification of Activities (“Official Gazette of RS”, No. 104/09), on the basis of regulation as of 29 July 2009 (“Official Gazette of RS”, No. 54/10). This classification is comparable with the classification of activities of the European Union (NACE Rev. 2);
  • List of municipalities drawn in line with the Regulation on the Nomenclature of Statistical Territorial Units (“Official Gazette of RS”, No. 109/09 and 46/10);
  • Catalogue of the type of income that is prescribed by the Rulebook on tax return (“Official Gazette of RS”, No. 74/13, 118/13, 66/14, 71/14 – correction, 14/16, 21/17, 20/18).
03.3. Coverage - sector

All activity sections, from section A – Agriculture, forestry and fishing to section S – Other service activities are covered.

03.4. Statistical concepts and definitions

Earnings (salaries and wages), in the survey on wages and salaries (in accordance with the Labour Law and the Law on Personal Income Tax), include all payments to employees to which the corresponding taxes and social security contributions are paid (gross earnings).

Net earnings are earnings without any related taxes and contributions.

 

In accordance with Article 105 of the Labour Law, earnings of employees with indefinite or fixed-term employment contract include all remuneration for the work done and the time spent at work, earnings based on the employee’s contribution to the business success of the employer (awards, bonuses) and other earnings based on employment, in accordance with the general act and the employment contract.

In accordance with Article 13 of the Law on Personal Income Tax, earnings also include remuneration of employees in temporary or occasional employment (based on contract for performing temporary or occasional jobs  Article 197 of the Labour Law), as well as personal earnings of entrepreneurs.

 

Earnings of employees include:

  • payments for work with full, shorter than full or longer than full-time working hours (overtime),
  • allowances for on-call, night and shift work, work on Sundays and public holidays,
  • food allowances during work and holiday allowance,
  • allowances for hours not worked (annual vacation, paid leave, public holidays, sick leave up to 30 days, absence due to vocational training, a standstill in work not caused by workers’ guilt, compensation because employee is temporarily prevented from working, and compensation is paid by the employer from the first to the last day),
  • a gift for children for New Year above the non-taxable amount.

 

Earnings of employees do not include:

  • compensations for sick leave longer than 30 days,
  • payments under the service contract or author contract,
  • compensation of travel costs to and from work,
  • compensation of travel expenses on business trip in the country or abroad,
  • daily allowances for business trip in the country or abroad,
  • accommodation and food expenses, for work and stay in the field, if the employer has not provided accommodation and food for the employee,
  • retirement or discharge severance pay,
  • one-time fees in accordance with the social program,
  • compensations for costs of funeral services,
  • compensations for occupational injuries or professional diseases,
  • jubilee awards,
  • solidarity aids,
  • participation of the employee in profit,
  • compensations of using official cars for official purposes,
  • a gift for children up to 15 years of age for Christmas and New Year, to a non-taxable amount,
  • premium for voluntary supplementary pension insurance,
  • collective insurance premiums against accidents and collective insurance in case of serious illness and surgical interventions,
  • reimbursement of expenses for the use of means of work and other labour costs, as well as other remunerations for which the corresponding taxes and contributions are not paid.

 

When calculating average earnings, all data from tax return forms that are submitted within 45 days after the expiration of the month to which the average earnings relate are included.

Average salaries and wages are calculated by dividing the total mass of accrued salaries and wages by the total number of employees expressed as the full-time equivalent (FTE).

Coefficient from 0 to 1.5 is assigned to each employee depending on the number of hours spent at work. Thus, for example, an employee who worked 80 hours in the month in which the full number of working hours is 160 is calculated as 1/2 of the employee (i.e. the coefficient for the employee is 0.5). In this way, employees, who work with several employers and/or in various activities and types of ownership, are covered by all employers, and their number is not multiplied, while the earnings are attributed to the activity and the type of ownership in which they are actually realized.

 

According to the modality of employment, employed persons are employees with indefinite or fixed-term employment contract and employees in temporary or occasional employment.

  • The concept “Salaries and wages of employees with indefinite or fixed-term employment contract” includes persons who have a formal contract of employment with an employer for a fixed or indefinite period of time, regardless whether working full-time or part-time.
  • The concept “Salaries and wages of employees in temporary or occasional employment” includes persons having a formal contract for performing temporary or occasional jobs.

Salaries and wages by modality of employment are based on the income type.

 

Public sector is the part of national economy covering general government, as well as non-financial enterprises under government supervision (public enterprises) who are primarily engaged in commercial activities (Law on Budgetary System, “Official Gazette of RS”, No. 54/2009, 73/2010, 101/2010, 101/2011, 93/2012, 62/2013, 63/2013, 108/2013, 142/2014, 68/2015 and 103/2015). Therefore, the public sector covers the beneficiaries of budgetary funds in education, culture, health, social work activities, government administration as well as public enterprises which are founded by the State or local self-government units which perform activity of general interest (Law on public enterprises and performing activities of general interest, “Official Gazette of RS”, No. 119/2012, 116/2013 and 44/2014).

 

The public sector is broken down into the following subsets:

  • Public state enterprises are enterprises which are founded by the Republic of Serbia or autonomous province and which perform activities of general interest, such as production, transmission and supply of electricity; coal production and processing; researches, production, processing, transport and supply of oil and natural and liquefied gas; sale of oil and oil derivatives; railway, postal and air transport; telecommunications; publishing of the official gazette of the Republic of Serbia; publishing of schoolbooks; management of nuclear facilities, use, management, protection and improvement of assets of general interest (water, roads, mineral raw materials, forests, navigable rivers, lakes, banks, spas, wildlife, protected areas); production, sale and transport of arms and military equipment, waste management.
  • Public local enterprises are enterprises which are founded by the units of local self-government authorities and which perform public utilities’ activities or activities of interest for functioning of local authorities’ bodies.
  • Administration ‒ government level implies government bodies, judicial bodies and institutions engaged in government-related activities.
  • Administration ‒ autonomous province level implies bodies of the autonomous province, judicial bodies and institutions performing the activities of general interest for the autonomous province.
  • Administration ‒ local authorities’ level implies local authorities’ level, local communities and institutions performing the activities of general interest for local authorities.
  • Health and social work implies beneficiaries of budgetary funds, i.e. government institutions engaged in health and social security activities, sale of pharmaceutical products in pharmacies, sale of medical and orthopaedic aids in specialised stores as well as students’ and pupils’ dormitories.
  • Education and culture implies beneficiaries of budgetary funds, i.e. government institutions engaged in education; scientific research & development; publishing activity; broadcasting activities; creative, art and entertainment activities; sports facilities activities as well as activities related to libraries, archives, museums and other cultural activities.

 

The status of a business entity determines whether a business entity is a legal entity or not.

03.5. Statistical unit

The statistical unit is any accrued type of income that has the character of earnings and which is reported by a legal entity or physical person through the PPP-PD form, regardless whether that income relates to employees with indefinite or fixed-term employment contract or employees in temporary or occasional employment.

03.6. Statistical population

All business entities from the Statistical Business Register (SBR) that submitted an electronically filled-in tax return form (PPP-PD form) with accrued salaries and wages to the Tax Administration are included in the survey.

In order to obtain data on average salaries and wages, only accrued types of income that have the character of earnings are taken into account, for which, in addition to taxes, contributions on earnings are also accrued. If more than one type of income is calculated for one person, of one or more payers, each type of income is considered separately in order to be classified according to the characteristics of the recipient, and according to the characteristics of the payers.

Other payments that have the character of earnings (the difference in earnings of a person in public office, contributions to earnings without accrued earnings, a gift to children for New Year and Christmas – above a non-taxable amount) are included in the earnings of the recipient only in cases when the basic salary is accrued.

03.7. Reference area

Republic of Serbia.

Starting from 1999 the Statistical Office of the Republic of Serbia has not at disposal and may not provide available certain data relative to AP Kosovo and Metohija and therefore these data are not included in the coverage for the Republic of Serbia (total).

03.8. Coverage - Time

From January 2018, the data source for calculating average salaries and wages is the Tax Administration data collected through an electronic tax return form (PPP-PD).

Until January 2018, data on average salaries and wages were provided on the basis of the Monthly survey on employees and their salaries and wages (RAD-1), which was implemented since 1963.

See section 15.2.

03.9. Base period

Not applicable.


04. Unit of measureTop
04. Unit of measure

RSD


05. Reference PeriodTop
05. Reference Period

The calculation of average salaries and wages for the month includes the data on accrued salaries and wages from tax returns that are submitted within 45 days after the end of the month to which they relate.


06. Institutional MandateTop
06.1. Institutional Mandate - legal acts and other agreements

 

National legislation:
 
- Official Statistics Law
 
- Resolution on the Programme of official statistics
 
- Regulation on the Plan of official statistics for the current year
 
* The above documents are available at SORS website:  www.stat.gov.rs/en-US/o-nama/dokumenti

 

06.2. Institutional Mandate - data sharing

Not applicable.


07. Confidentiality Top
07.1. Confidentiality - policy

Data confidentiality is stipulated by:

- Official Statistics Law (Official Gazette of RS, number 104/2009), Articles 44, 45, 46, 47, 48, and 49.

(https://www.stat.gov.rs/en-US/o-nama/dokumenti)

- Rulebook on statistical data protection in the Statistical Office of the Republic of Serbia

(https://www.stat.gov.rs/en-US/o-nama/dokumenti

- Guidelines on measures of data and information protection in the Statistical Office of the Republic of Serbia

(https://www.stat.gov.rs/en-US/o-nama/dokumenti )

 

07.2. Confidentiality - data treatment

Confidential data are treated according to the confidentiality related policy rules. See Official statistics law.


08. Release policyTop
08.1. Release calendar

Calendar of releases is available at SORS website on the 1st day of December every year for the forthcoming year (http://www.stat.gov.rs/en-US/calendar).

 
All SORS releases are launched at 12.00.
Any divergence from the defined time schedule are announced in advance and explained in the Calendar.  

 

08.2. Release calendar access

Calendar of releases is available at SORS website:

http://www.stat.gov.rs/en-US/calendar

 

08.3. Release policy - user access

 

In line with the Official Statistics Law ("Official Journal of the RS", No. 104/2009) and European Statistics Code of Practice all users are treated equitably. Data on wages are published on the SORS website, after which those data are simultaneously accessible to all users.  Every deviation from the plan published in the Publications Calendar shall be previously announced and explained.

 


09. Frequency of disseminationTop
09. Frequency of dissemination

Monthly data are published 55 days after the end of the month to which they relate.

In April, data on average wages by gender and distribution of earnings are published, for September of the previous year


10. Accessibility and clarityTop
10.1. Dissemination format - News release

Not applicable.

10.2. Dissemination format - Publications

Statistical release ZR10 – Average salaries and wages per employee, monthly

10.3. Dissemination format - online database

Database

10.4. Dissemination format - microdata access

Micro-data are not disseminated.

 

 

10.5. Dissemination format - other
  • Monthly statistical bulletin
  • Statistical Yearbook of the Republic of Serbia
  • Statistical Pocketbook
  • Municipalities and regions in the Republic of Serbia
10.6. Documentation on methodology

Methodological explanations are available on the SBS website, link:

http://www.stat.gov.rs/istrazivanja/methodology-and-documents/?a=05&s=0

10.7. Quality management - documentation

-


11. Quality managementTop
11.1. Quality assurance

 

The SORS quality management system is relied on the Serbian official statistics mission and vision, as well as on the European Statistics Code of Practice – CoP and the Total Quality Management – TQM principles, which together make the common quality framework of the European Statistical System (ESS).
 
For more information, please see the documents at http://www.stat.gov.rs/en-US/o-nama/sistem-upravljanja-kvalitetom.

 

11.2. Quality management - assessment

Data on accrued salaries and wages are based on reliable data from appropriate administrative sources and surveys. The degree of accuracy is high. Before publishing the results, extensive data quality control is performed.

A comparative analysis of data on average salaries and wages obtained through the Monthly statistical survey RAD-1 and the data from the Tax Administration records for 2016 and 2017 showed high compliance of data. This confirms quality of data obtained by the RAD-1 survey, as well as quality of data from the Tax Administration records (PPP-PD form), which is used as a source of data on average salaries and wages starting from 2018.

The use of administrative sources for obtaining data on average salaries and wages is in line with international recommendations, standards and practices.


12. Relevance Top
12.1. User needs

In addition to the data published in the regular publications of SORS, special processing is done at the users’ request.

12.2. User satisfaction

On biennial basis (once in two years), by the means of web interview, implemented is the User Satisfaction Survey. The survey results are available at SORS website: http://www.stat.gov.rs/en-US/o-nama/sistem-upravljanja-kvalitetom.

 

12.3. Completeness

Covered are all business entities that have submitted an electronically filled-in PPP-PD tax return form with accrued salaries and wages to the Tax Administration, and which are in SBR (legal entities and state bodies, representative offices or branch offices of foreign legal entities, entrepreneurs).

The salaries and wages of the following categories of recipients are covered:

  • employees with indefinite or fixed-term employment contract and employees in temporary or occasional employment who work with the employer;
  • founders and members employed in their own company;
  • entrepreneurs.

13. Accuracy and reliabilityTop
13.1. Overall accuracy

The survey is based on data from administrative sources, which ensures high level of coverage and data quality.

13.2. Sampling error

Not applicable.

13.3. Non-sampling error

Not applicable.


14. Timeliness and punctualityTop
14.1. Timeliness

The data are published 55 days after the end of the month to which they relate.

14.2. Punctuality

All data are published according to the Release calendar.


15. Coherence and comparabilityTop
15.1. Comparability - geographical

The same concept of obtaining and calculating average salaries and wages is applied in the entire national territory.

Data for smaller territorial domains than total of the Republic of Serbia are not comparable with the data before 2018. From 2018, average earnings by municipalities refer to the municipality of residence, while data from the RAD-1 survey referred to the municipality of work of the employee.

15.2. Comparability - over time

In the time series from 1963 to 2018, there are four breaks: 1997, 2001, 2009 and 2018.

  • In 1997, the method of calculating average earnings was changed by dividing the total amount of paid earnings with the number of employees according to the personnel records.
  • In 2001, the Labour Law changed the definition of earnings.
  • Since 2009, when calculating average earnings, the data referring to salaries and wages of the entrepreneurs’ employees are also taken into account. These data were taken from the Tax Administration records.
  • From 2018, the data on average earnings are calculated on the basis of administrative sources (data from the Tax Administration records).

So as to provide data comparability while calculating the indices, the data for the year preceding the year of break in series were calculated from the same source and in the same manner as the data for the year in which the time series break occurred.

15.3. Coherence - cross domain

Not available.

15.4. Coherence - internal

See section 11.2.


16. Cost and BurdenTop
16. Cost and Burden

Data are taken from administrative sources (Tax Administration records), thus reducing the survey costs to a minimum. Also, the reporting units are no longer obligated to fill in and submit data every month.


17. Data revisionTop
17.1. Data revision - policy

The SORS general revision policy constitutes the global frame ensuring that each statistical domain shall define its own revision policy in compliance with its specific nature. 

 
The general SORS revision policy determines:
 
- general rules of revisions of the published data,
- forms of informing users as regards the possible causes of revisions,
- categories of revisions, and
- documents covering all aspects of revisions.
 
The general SORS revision policy is available at http://www.stat.gov.rs/media/2332/general-revision-policy.docx.

 

17.2. Data revision - practice

Previously published data on salaries and wages cannot be changed due to the application of these data in many laws and regulations.


18. Statistical processingTop
18.1. Source data
  • Ministry of Finance - Tax Administration, Individual tax return on accrued taxes and contributions (PPP-PD form)
  • SBR
  • Annual survey on earnings of employees RAD-1 / G (September 2020)
18.2. Frequency of data collection

Monthly

18.3. Data collection

Data from Tax Administration. Tax Administration’s data are transmitted electronically, through web service, i.e. FTP service (File Transfer Protocol), via a secured network of the Administration of General Affairs of government bodies of the Republic of Serbia. Data are taken on the 15th day of the month.

Data from SBR. Data on economic activity, type of ownership and status of a business entity are taken from the SBR database.

Use of data from RAD-1/G surveyFor organisational units that perform economic activity other than registered, average earnings are calculated on the basis of the structure of earnings and the number of employees to whom earnings relate, which are taken from the Annual Survey on earnings of employees RAD-1 / G (September 2020).

18.4. Data validation

In order to obtain data of a good quality, data control is carried out in several phases:

  • Contingent control is conducted (comparison of number of records, mass of accrued salaries and wages and number of recipients for current and previous month is performed);
  • Comparison and analysis of data on the number of business entities and employees from the registers of CRCSI, SBR and TA are performed;
  • The contingent of records that meets the established criteria enters the processing of data on average salaries and wages;
  • In the contingent of records which is allocated for the processing of data on average salaries and wages, control and analysis of relevant data is carried out in order to identify potential errors and check the data quality;
  • Extreme values (outliers) are detected and excluded.

Data checks are performed by automated procedures and by experts’ data analysis. Data is compared with data from the previous period.

About 3% of records (individual calculation of the tax on deduction) are excluded from the contingent allocated to the processing of data on average salaries and wages. These records do not fully meet the requirements necessary to be taken into account when calculating average earnings (tax return records that do not contain all the necessary elements of earnings: tax, contribution, net earnings as well as outliers).

18.5. Data compilation

Not applicable.

18.6. Adjustment

-


19. CommentTop
19. Comment

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