Hourly pay model examined in North Macedonia; unions and employers weigh change
Confederation, SSM and employers say an hourly wage could affect productivity, the grey economy and the minimum wage.
Unions and employers in North Macedonia are formally discussing a shift from monthly salaries to an hourly-pay system, arguing the change could affect productivity, reduce informal employment and create a more predictable labour market.
The Confederation of Free Trade Unions says it has been analysing the idea for months and considers the change a potential win–win. The confederation’s leadership has already held unofficial talks with state institutions and employers and plans to present its proposal publicly.
Practical and legal questions remain
“Workers do not have the same working days every month. Some months have more working hours, some months fewer. Our idea we will present tomorrow. I think this will be good also for employers because it can simply push back the grey economy, their predictability and illiquidity. On the other hand workers would gain because they would know how many hours the job requires, how much their hourly wage is and whether they will accept the work or not,” said Blagoja Ralpovski, president of the Confederation of Free Trade Unions.
Employers welcomed the debate but warned that converting pay to an hourly basis raises many practical issues: organisational readiness of production lines, whether flexible schedules fit each company, adjustments to calculation methods, and legal and institutional changes.
For the Union of Trade Unions of Macedonia (SSM) the priority is raising pay levels and ending exploitation. Their calculations show that under an hourly system a worker on the current minimum wage would receive 155 denars per hour — a figure they describe as insufficient. “Are working conditions safe, would pay be dignified if we calculate by the hour but start with 250 denars instead of the current 150 denars? Let us see how many hours people work per month on the payslip for the salaries they receive now and how that would be calculated in the future. We will not accept a system that tries to cheat the worker; rather, pay should be by output or — call it what you like — dignified,” said Ivan Peshevski, vice-president of SSM.
The Union of Chambers of Commerce has already said change is necessary, and the Ministry of Economy announced it is open to discussions and a comparative analysis of hourly pay models used in European countries and in the United States.
Photo: press material from the event
