New government's first moves – personnel changes, savings, jobs...

Replacing the directors of public enterprises due to poor results, removing fees for members of managing and supervisory boards and reducing per diems, official travel and cars by 50 percent: these will be the first economic measures of the government of future premier Aleksandar VučićThe new government is likely to rescind the 'solidarity tax', but will probably replace it with a proportional reduction of 10%-15% in the salaries of all public employees, i.e. for some 800,000 citizens, writes today's edition of Blic.

In public enterprises, the economic measures of the new government will include the sharpest cuts to date, and in less than a month Vučić will replace at least half of the present directors because of their poor operating results.

It is said that at least half the directors will be replaced, and the rest will be required to have their companies pay 300 to 500 million euros annually into the budget.

According to the future government's programme, public enterprises must be aware that they are accorded a state monopoly not so they can earn fat salaries and keep their unions pacified, but to help the state.

According to Blic, over 90% of those now sitting on managing and supervisory boards will no longer receive their present fees of between 30,000 and 50,000 dinars.

As he has promised, Vučić will not reduce pensions, even though Blic says that many people have asked him to, but workers will have to work longer before retiring. One of the key measures for increasing employment is providing incentives to employers to take on permanent staff. The incentives scheme will last for two years and is expected to create 50,000 new jobs, which is quoted as corresponding to one Vršac or Mladenovac, or to salaries for eight percent of the unemployed.

Anyone engaging 100 new employees will be free from paying tax and social contributions. These will be covered by the state while the company will pay tax for only 30 employees.

Incentives will be available to the auto industry, agriculture, construction and the IT sector.

According to Blic, Vučić and his economic experts and ministers have agreed on a package of economic measures that they will begin to implement as soon as the new government is formed.

First they will bring savings where citizens have the right to expect them, without introducing new burdens on employees in the public sector, while also encouraging those who want to employ people.

Translation provided by: www.halifax-translation.com