Hiring Staff in Montenegro: A Practical Guide

Published on October 5, 2025 and written by Cyril Jarnias

Montenegro, a small Balkan country experiencing rapid economic growth, is attracting an increasing number of foreign companies looking to establish operations there. With a skilled workforce and competitive labor costs, the country offers real opportunities for employers. However, recruiting staff in Montenegro requires a solid understanding of the legal framework and local specifics. This article guides you through the key steps of the recruitment process, detailing workers’ rights, types of contracts, required documents, and best practices to adopt.

The Strengths of the Montenegrin Labor Market

Montenegro boasts a young and well-trained workforce, particularly in the tourism, information technology, and services sectors. The unemployment rate, although decreasing, remains relatively high (around 15% in 2024), providing employers with an interesting pool of candidates.

• Competitive wage costs compared to Western Europe
• A workforce that often speaks English
• An attractive tax framework for businesses
• A strategic geographical location between Eastern and Western Europe

Nevertheless, the Montenegrin labor market also faces certain challenges, such as a shortage of skilled labor in some high-tech sectors and a trend of emigration among young graduates.

How to Find the Best Local Talent?

To recruit effectively in Montenegro, it is essential to adopt a multichannel approach and thoroughly understand the specifics of the local job market.

Preferred Recruitment Channels

• Online job sites like Poslovi.infostud.com or Prekoveze.me
• Professional social networks, especially LinkedIn
• Local recruitment agencies
• Partnerships with universities for recent graduates
• Word-of-mouth and referrals, very important in this small country

It is recommended to post job openings in Montenegrin and English to reach the maximum number of qualified candidates.

The Role of Recruitment Agencies

Using a local recruitment agency can greatly facilitate the process, especially for a foreign company unfamiliar with the Montenegrin market. The main recognized agencies are:

• Manpower Montenegro
• Dekra Employment
• Gi Group Montenegro

These agencies can not only help you find the right candidates but also guide you on the legal and administrative aspects of recruitment.

The Legal Framework of Recruitment: Workers’ Rights and Employer Obligations

Montenegrin labor law is largely inspired by European standards, while retaining some local specificities. It is crucial to understand this legal framework well to avoid any disputes.

Main Workers’ Rights

• A legal minimum wage (currently set at €450 gross per month)
• Paid annual leave of at least 20 working days
• Protection against wrongful termination
• Mandatory social contributions (pension, health, unemployment)
• A standard workweek limited to 40 hours

It is important to note that collective bargaining agreements may provide more favorable provisions in certain sectors.

Employer Obligations

• Register all your employees with the competent authorities
• Pay social contributions and income tax
• Comply with occupational health and safety regulations
• Provide a written employment contract to each employee

Failure to comply with these obligations can result in heavy penalties.

Different Types of Employment Contracts

Montenegrin law provides for several types of employment contracts, offering some flexibility to employers.

Permanent Contract (Indefinite-Term)

This is the most common and protective form for the employee. It can be terminated for valid reasons, with a notice period that varies based on the employee’s seniority.

Fixed-Term Contract

Limited to a maximum of 24 months (except for exceptions), it must be justified by objective reasons (replacement, temporary increase in activity, etc.).

Seasonal Contract

Widely used in the tourism sector, it allows hiring workers for a season, with specific rules.

Part-Time Contract

It offers appreciated flexibility, especially in the service sector. Employee rights are proportional to their working hours.

Regardless of the type of contract chosen, it must be in writing and contain certain legal information such as working hours, salary, job description, etc.

Step-by-Step Recruitment Procedure

Recruiting in Montenegro involves following a well-defined procedure, respecting certain administrative formalities.

Step 1: Defining the Need and Writing the Job Posting

Start by precisely defining the position to be filled and the required skills. Write an attractive job posting, ideally in Montenegrin and English.

Step 2: Posting the Job and Pre-selecting Candidates

Publish the job on appropriate channels (job sites, social networks, recruitment agencies). Conduct an initial screening of received resumes.

Step 3: Interviews and Tests

Organize interviews with selected candidates, in person or via video conference. Skills tests can be useful for certain positions.

Step 4: Final Selection and Job Offer

Choose the best candidate and make them a detailed job offer (position, salary, benefits, start date).

Step 5: Administrative Formalities

Once the candidate agrees, prepare the employment contract and gather the necessary documents for hiring.

Step 6: Registration with Authorities

Register the new employee with the Montenegrin tax administration and social security before they start work.

It is crucial to strictly follow this procedure to avoid any future legal problems.

Essential Documents for Hiring

To finalize the recruitment, several documents are required, both from the employer and the employee.

Documents to be Provided by the Employer

• The signed employment contract
• A detailed job description
• Documents related to occupational health and safety
• The company’s internal regulations

Documents to be Provided by the Employee

• A copy of their ID card or passport
• Their Montenegrin tax identification number
• Their diplomas and professional certificates
• A medical certificate of fitness for work
• For foreigners, a valid work permit

All these documents must be kept in the employee’s personal file.

Pitfalls to Avoid When Recruiting in Montenegro

Despite a legal framework rather favorable to businesses, certain pitfalls should be avoided when recruiting in Montenegro.

Discrimination in Hiring

Montenegrin law prohibits any form of discrimination in the recruitment process, whether based on gender, age, ethnic origin, etc. Ensure your job postings are neutrally worded and base your decisions solely on candidates’ skills.

Non-Compliance with Administrative Formalities

Do not neglect administrative procedures, especially registering the employee with the competent authorities. Inspections are frequent, and penalties can be heavy for undeclared work.

Underestimating Cultural Differences

Although Montenegro is on the path to European integration, some professional practices may differ from those in your home country. Be attentive to cultural subtleties during interviews and in the daily management of your teams.

Forgetting the Probation Period

Do not forget to include a probation period in the employment contract. It can last up to 6 months in Montenegro and allows ensuring a good fit between the employee and the position.

If in doubt about any aspect of the recruitment process, do not hesitate to consult a lawyer specialized in Montenegrin labor law.

Conclusion: Keys to Successful Recruitment in Montenegro

Recruiting staff in Montenegro can be a rewarding experience for a foreign company, offering access to a skilled workforce at competitive costs. To maximize your chances of success, keep these key points in mind:

• Familiarize yourself with the local legal framework and strictly follow administrative procedures
• Use a multichannel approach for your recruitment, combining online tools and local networks
• Be attentive to the country’s cultural specifics in your selection and integration process
• Do not hesitate to call on local experts (recruitment agencies, lawyers) to guide you
• Invest in the training and development of your employees to retain them long-term

By following these recommendations, you will be well-positioned to build a high-performing and motivated team in Montenegro, thus contributing to the success of your establishment in this promising Balkan market.