Meta Title: Hiring in Serbia | SerbiaOps

Meta Description: Learn why U.S. startups are hiring in Serbia. Payroll, compliance, labor law, and cost advantages explained.

Introduction

As salaries in San Francisco and New York skyrocket, U.S. startups are shifting their focus to Serbia. With highly skilled talent in IT, finance, and operations, and a fraction of U.S. labor costs, Serbia offers a compelling answer to scaling challenges.

Labor Law and Contracts

Employment relationships in Serbia are governed by the Labor Law, which requires written contracts specifying job roles, salaries, hours, and benefits. https://www.paragraf.rs/propisi/zakon_o_radu.html

Contracts must be bilingual if the employee or employer does not understand Serbian. SerbiaOps prepares compliant contracts to reduce legal risk.

Payroll Contributions and Salary Tax

As of 2025, employee social contributions are 19.9% of gross salary (14% pension, 5.15% health, 0.75% unemployment). https://www.purs.gov.rs

Employer contributions are 15.15% of gross salary (10% pension, 5.15% health). These rates are capped annually by the Ministry of Finance. https://www.mfin.gov.rs

Salary tax is 10% after deducting employee contributions and the monthly non-taxable allowance set by the Ministry of Finance (28,423 RSD for 2025).

Registration and Compliance

Employers must register all new employees with the Central Registry of Compulsory Social Insurance (CROSO) before their first working day. https://www.croso.gov.rs

Failure to register employees can result in fines and reputational damage. SerbiaOps ensures timely registration and compliant payroll processing.

Talent Availability

According to the Serbian Chamber of Commerce, Serbia produces thousands of IT graduates each year, making it one of the strongest developer hubs in the Balkans. https://pks.rs

In addition to IT, Serbia offers skilled accountants, lawyers, engineers, and designers, all at significantly lower costs than U.S. equivalents.

Global Perspective

SiliconRepublic has argued that EU over-regulation is stifling startups, pushing founders to consider non-EU options like Serbia for flexible hiring. https://www.siliconrepublic.com/start-ups/europe-regulatory-fragmentation-killing-startups-fix-eu-inc

For U.S. founders, Serbia combines the cost advantage of outsourcing with the reliability of an educated, English-speaking workforce.

Conclusion

Hiring in Serbia is no longer just a cost-cutting measure — it is a growth strategy. U.S. startups scaling out of San Francisco find that Belgrade provides the balance between affordability, compliance, and talent.