Montenegro’s President Jakov Milatović has expressed concerns about the decline of social dialogue in the country following the recent session of the Social Council.
Milatović criticized the process, stating that dialogue has been reduced to mere electronic voting, which has resulted in a lack of consensus and the absence of formal recommendations from the Social Council. This, he argues, undermines the institutional role of dialogue and agreements among social partners.
He accused current policies of undermining institutional effectiveness for short-term political gains. While acknowledging the importance of improving wages and living standards, Milatović criticized the decision to divert over 100 million euros from citizens’ gross salaries in the Pension Fund to companies with record profits. This move, he argues, shifts the financial burden to family-owned, small, and micro businesses, reducing their competitiveness.
Milatović also expressed concern that the planned deficit compensation through increased VAT and other levies will drive up prices. This price increase, he warned, will negate the recently announced 6% wage hike, leaving citizens with exacerbated financial difficulties.
He urged that the long-standing system of intergenerational solidarity, built over decades, should not be compromised for minor party benefits and that the future of Montenegro’s citizens should not be jeopardized.