In Serbia, it is necessary to improve the currently existing measures for the protection of mothers after returning to work after maternity and/or childcare leave, in order to strengthen their position on the labor market. The economic policy measure proposed to protect women after returning from maternity and/or childcare leave is to subsidize compulsory social security contributions.
In the first year, the subsidization of mandatory social security contributions would amount to 65%, in the second 60% and in the third 50%. The employer must not dismiss the mother after returning to work as long as she receives a state subsidy. Multiple positive effects include long-term retention of mothers’ jobs, incentives to employ those who were unemployed before giving birth, reduction of mothers’ financial dependence and the possibility of their career development.
The proposed measure also affects companies, whose operating costs will be reduced. Also, the measure will affect the phenomenon of “maternity penalty”. The ” maternity penalty ” is the difference in salary between women who have children and those who do not have. It is a long-term phenomenon, which causes mothers to have lower salaries even ten years after giving birth.