The current situation of gender equality in Serbia – Country Profile

2012

The current situation of gender equality in Serbia – Country Profile

2012This country fiche was financed by, and prepared for the use of the European Commission, Directorate-General Justice, Unit D2 “Gender Equality” in the framework of the service contract managed by Roland Berger Strategy Consultants GmbH in partnership with ergo Unternehmenskommunikation GmbH & Co. KG. It does not necessarily reflect the opinion or position of the European Commission, Directorate-General Justice neither the Commission nor any person acting on its behalf is responsible for the use that might be made of the information contained in this publication.

Table of Content

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Foreword ......................................................................................................... 03

Management Summary .................................................................................... 04

1. How Serbian companies access the talent pool ........................................... 05

1.1 General participation of women and men in the labour market ............. 05

1.2 Part-time segregation of women and men ............................................. 06

1.3 Qualification level and choice of education of women and men .............. 08

1.4 Under-/overrepresentation of women and men in occupations or sectors – " Horizontal segregation"..................................................................... 08

1.5 Under-/overrepresentation of women and men in hierarchical levels – "Vertical segregation" ............................................................................ 09

2. How to gain better access to the talent pool................................................. 11

3. Where companies find support to gain better access to the talent pool - Examples .......................................................................................................... 14

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Foreword

Dear Reader,

We are happy that we have raised your interest in the EU-Initiative "Equality Pays Off". The initiative supports large companies in successfully adapting to upcoming labour mar-ket challenges: Due to demographic change as well as a stronger focus on service and knowledge intensive industries European companies will face a significant shortage of (qualified) skills in the next decades. The initiative covers all EU-27 countries plus Croatia, Turkey, Former Yugoslav Republic of Macedonia (FYROM), Serbia, Norway, Iceland and Liechtenstein – in total 34 countries.

To secure qualified labour, it will be of vital importance for large companies to diversify the group of (potential) employees by better accessing the female labour force. The initiative supports companies within Europe to increase female participation, to improve the integration of part-time workers, to motivate students to enter atypical fields of education and to reduce horizontal as well as vertical segregation. Consequently, the initiative contributes to a reduction of the gender pay gap in Europe.

This country report serves as background material for workshops taking place in each country in the context of "EQUALITY PAYS OFF".1 Workshops shall enhance knowledge exchange between business leaders and key decision-makers of participating companies. The quick and country-specific overview on the status quo will serve as a basis to explore starting points for each company to tap the female talent pool in a better way.

The country report is structured into three parts: After the management summary, Part 1 describes the status quo of equality in the Serbian labour market. Part 2 describes our recommended strategic approach for a better access to the female labour force within a company. Part 3 lists initiatives of the public and private sector in Serbia, that support companies in their ambition to enhance equality.

Further information on the EU-Initiative and its respective activities as well as on involved stakeholders can be found at http://ec.europa.eu/justice/equality-pays-off.

1 The information on the website has been summarized in this country report. Detailed information can be found on the website: http://ec.europa.eu/justice/equality-pays-off.

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Management Summary

Demographic change as well as a stronger focus on service and knowledge intensive industries will lead to a significant shortage of (qualified) skills in Europe. While trying to fill the upcoming gap between labour demand and labour supply, companies can benefit from improving their access to the female talent pool by ensuring equality.

Currently, Serbian companies do not make full use of the existing female labour force potential. Five groups of indicators show the status quo in 2011:

• The general participation rate of women in the Serbian labour market lies at 38.3%, which is below the EU average (58.5%)

• The rate of Serbian women working part-time (9.7%) is significantly lower than the EU average (31.6%) – while the share of part-time working women increases throughout Europe, it decreases in Serbia (from 11.3% in 2004)

• College/university (tertiary education) attainment of Serbian women has increased in the last years and is higher than for Serbian men – in 2004, women still had a far lower tertiary education attainment (11.6 %) than men (14.0%)

• The under-/overrepresentation of women and men in occupations or sectors2 is partially pronounced in Serbia but less than in the EU-27 – it is yet necessary to motivate female graduates to enter gender "atypical" sectors

• The under-/overrepresentation of women and men on hierarchical levels3 is partly stronger in Serbia than on EU average - the rate of women on boards lies at 16% and is therefore slightly higher than the EU-average (14%) but the rate of women in national government is very low with 11% (EU average 26%)

2 Horizontal segregation 3 Vertical segregation

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1. How Serbian companies access the talent pool

In the following, we give a brief overview over the current situation of employment in Serbia in comparison to the overall EU-27 average.

1.1 General participation of women in the labour market4

The employment rate of women in Serbia (38.3%) is significantly lower than the EU-27 average (58.5%). Also, women still do not participate to the same degree as men in the labour market. The difference between the male and female employment rate in Serbia was around 14 pp in 2011 which is a decrease by around 5 pp since 2002.

However, whereas the male unemployment rate increased drastically by more than 7 pp from 2004 until 2011 the female unemployment rate stayed almost constant. Hence, it needs to be noted that the deterioration of the labour market situation since 2004 rather hit men than women in Serbia.

Figure 1: Labour market participation of women and men in Serbia in comparison to the EU-27

Nevertheless, it remains a core challenge to mitigate the gender differences between male and female employment and encourage more women to enter the labour market.

4 Source for statistical data (unless stated otherwise): Eurostat Labour Force Survey (LFS) (2002, 2010) and Statistical Office of the Republic of Serbia

1.2 Part-time segregation5

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Serbia has a drastically lower part-time rate for women than the EU-27 average. In Serbia, only 9.7% of all employed women work part-time compared to 31.6% in the EU-27. This low rate of part-time working Serbian women even decreased from 11.3% in 2004.

Figure 2: Part-time segregation in Serbia in comparison to the overall EU-27

The low part-time rate shows that women in Serbia tend to work full-time or not at all. Keeping in mind the relatively high rate of women actively searching for work, this fact exhibits a great potential for Serbian companies to gain better access to the female talent pool. For instance, a starting point can be to offer more part-time options or flexible work arrangements in order to allow a larger number of women to enter the labour market.

A prerequisite for encouraging a larger number of women to enter the labour market is to create the necessary framework for the reconciliation of work and family life – especially for women with small children. Currently, formal childcare arrangements are much less frequent in Serbia than on EU-27 average. Only 32% of Serbian children between 3 years and school age are covered by formal childcare as compared to 84% on EU-average.6 Childcare is predominantly carried out by the mother or the extended family in Serbia – this is partly due to a limited number of childcare facilities. It often results in women not being available for the labour market for several years because of family duties. Offering corporate childcare facilities can be a starting point for companies to gain better access to the female talent pool and enlarge the participation rate of women.

5 Source for statistical data (unless stated otherwise): Eurostat Labour Force Survey (LFS) (2002, 2008, 2010) and Statistical Office of the Republic of Serbia 6 Southeast European educational cooperation network (http://www.see-educoop.net/education_in/pdf/pre_school-yug-ser-enl-t02.pdf)

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While childcare facilities are limited in Serbia, legislation for maternity leaves are rather generous. The minimum length of maternity leave in Serbia is 4.5 months and the majority of mothers are given a year. During their maternity leave, mothers in Serbia are equally compensated and the job will be guaranteed. For those having a third child, the length of maternity leave is even two years.7

A means to increase the rate of women returning to work after maternity leave is to systematically accompany the parental leave process, i.e. inform and prepare parents before leave, hold contact during leave and provide assistance for re-entry at the end of the leave period.

7 The World Bank International Finance Cooperation (http://wbl.worldbank.org/data/exploreeconomies/serbia/0?topic=getting-a-job); US Social Security Administration (http://www.ssa.gov/policy/docs/progdesc/ssptw/2008-2009/europe/serbia.html)

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1.3 Qualification level and choice of education8

The attainment of secondary school in Serbia was significantly lower for women than for men in 2004 (see figure 3). Ever since, female enrolment in secondary education has increased and is now almost equal to that of men. A similar trend can be seen with regards to tertiary education. Whereas in 2004 the share of women in tertiary education (11.6%) was still lower than that of men (14%, see figure 3), the share of women in tertiary education is now 30% higher than that of men.9 This shows that women in Serbia are highly qualified and represent a huge potential for the Serbian labour market.

Figure 3: Education attainment in Serbia in comparison to the EU-27

1.4 Horizontal segregation10

Gender segregation in sectors is only partially pronounced in Serbia. Three of the top five female sectors, "Agriculture, Forestry & Fishing", "Manufacturing", and "Wholesale & Retail" are also among the top five male sectors. Added up, 49.7% of all female employees and 54.8% of all male employees work in these three sectors. On the other hand, the two remaining top-5 female sectors, "education" and "health & social work", are "typically female". For instance, 11.2% of all employed women work in "education" whereas only 3.6% of men work in this sector. On the other hand, the "Construction" or "Transportation & Storage" sector is fairly significant for men but almost irrelevant for women. The share of employed women who work in these "typically male" sector is lower than 5% whereas it stands at 15% for men.

8 Source for statistical data (unless stated otherwise): Eurostat Education and Training (2002, 2010) 9 The World Bank data bank (http://data.worldbank.org/indicator/SE.ENR.TERT.FM.ZS/countries?display=default) 10 Source for statistical data (unless stated otherwise): Eurostat Labour Force Survey (2010) and Statistical Office of the Republic of Serbia

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Figure 6: Distribution of Employment in the main NACE-2 digit sectors (2010)

In conclusion, horizontal segregation of males and females among different branches exists within the Serbian economy. Consequently, Serbia should put emphasis on motivating women to enter "typically male" economic sectors and men to enter "typically female" economic sectors.

1.5 Vertical segregation11

In Serbia, 16% of board positions in large companies are occupied by women. This relatively high number has evolved throughout the last years and increased by 3 pp since 2008. Both numbers are slightly above the EU-27 average of 11% and 14%, respectively.

Figure 9: Women in economic decision-making positions

A different picture appears in terms of women in politics. The share of female members of the parliament and in the national government amounts to 22% and 11%, respectively. Both numbers are drastically lower than the EU average of 35% and 27%. 11 Source for statistical data (unless stated otherwise): EC DG Justice; Horizontal and vertical segregation - Meta-analysis of gender and science research, 2010

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While the share remained constant in case of the national parliament, it decreased in case of the national government. Here, the share of women dropped down from 16% in 2008 to about 11% in 2010.

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2. How to gain better access to the talent pool?

More equality within the business sector and a reduction of the gender pay gap can only be sustainably realised if companies follow a comprehensive approach including corporate strategy, management, operational implementation by business units and HR work organisation and monitoring ("strategic pillars"):

Focusing on one pillar will lead to partial improvements only.

Corporate Strategy – Establish gender equality as part of the company's DNA

The corporate strategy sets the framework for doing business and determines the inter-nal work culture. Experience shows that gender equality – in order to be sustainably established – has to be(come) a company rationale: The concept of gender equality has to be an integral part of the overall corporate strategy. This is the foundation for successfully addressing the gender pay gap within a company.

Management – Understand and position management as driver and role model

A management which is convinced and fully endorses the company's strategy towards gender equality is vital to sustainably establish and live the principles of gender equality throughout the company and contribute to a sustainable reduction of the gender pay gap. The management is responsible for the implementation of the corporate strategy. Also, managers act as a role model and as multipliers within and outside the company.

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Operational Implementation - Business units and HR striving for more gender equality in daily work

Business units and HR are the main structural change agents regarding the improvement of gender equality and a successful reduction of the gender pay gap:

• Business units are responsible for operationalising strategic targets regarding gender equality by actually implementing measures that have been agreed upon in their daily work, e.g. by offering internships.

• HR – as a business partner – offers strategic advice on how to address gender equality sustainably and provides instruments and processes to attract, retain and develop top talent, e.g. by designing regular evaluation processes.

There are six main fields of action for operational implementation:

• Raise awareness among high school graduates regarding the full spectrum of fields of education - To amplify the talent pool, companies need to sensitise high school students early to guide them towards gender "atypical" fields of specialisation in their next step of education.

• Attract top talent irrespective of gender – Due to future labour demands, companies need to actively dissolve horizontal segregation and look for talents "outside the traditional box". Hence motivating talents to enter your company requires a systematic and target-orientated HR marketing.

• Strengthen the work-life balance – Attracting and retaining talents and efficiently integrating part-time workers into the workforce requires the reconciliation of work and private life.

• Promote career advancement of women - Attracting the best talents for your top management positions requires supporting the career advancement of women. It is essential to eliminate barriers that limit the progression of women on the career ladder.

• Evaluate the remuneration system from a gender perspective - In order to attract and retain top talent, European companies need to create an equitable, gender-neutral, transparent, legally defensible and competitive remuneration system.

• Communicate internally and externally company activities aimed at tapping the talent pool in a better way - In order to attract, retain and develop top talent as well as contact to other stakeholders, European companies need to enhance transparency on their gender equality activities by using internal and external communication.

Work Organisation – Create the framework to enable necessary changes

Experience shows that - regarding their work organisation - companies often fail to create the adequate framework to make operational implementation of instruments and measures leading to more gender equality and hence a reduction of the gender pay gap work. It is therefore vital to evaluate the organisation of current business activities and

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requirements systematically and identify room for change in favour of employees, but beneficial for both parties (employers and employees).

Monitoring – Monitor and follow up target achievements

Implementation of measures and instruments towards more gender equality and a reduction of the gender pay gap has to be closely monitored internally in order to be able to assess progress, achievement of or deviations from targets. Monitoring should include indicators that measure company-wide progress as well as the success of individual managers. Additionally, it should be part of the regular feedback talks with top management.

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3. Where companies find support to gain better access to the talent pool - Examples

In order to foster a sustainable change towards better accessing the labour force potential of women a series of public and private initiatives – with legislative and non-legislative focus - have been implemented in Serbia. In the following we give an overview over sample initiatives:

3.1 Legislative initiatives (examples)

Year Legislation Website Link 2005 Породични закон - Једнака права супружника и међусобне подршке

(Family Law --- Equal rights of spouses and mutual support)

http://genderindex.org/country/serbia-and-montenegro

2006 Уставни грађанске слободе - слободе приступа јавном простору, као и слободан избор где да живе и раде

(Constitutional civil liberties - Freedom to access to public space, and free choice where to live and work)

http://www.srbija.gov.rs/cinjenice_o_srbiji/ustav.php?change_lang=en

2009 Закон о родној равноправности - Заштита од насиља у породици

(Law on Gender Equality --- Protection from domestic violence)

http://genderindex.org/country/serbia-and-montenegro

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3.2 Public non-legislative initiatives (examples)

Name Sponsor Target Group Target Website Link РУРАЛНИ РАЗВОЈ ПРОГРАМА

(RURAL DEVELOPMENT PROGRAM)

Ministry of Agriculture Rural women Work with rural women to raise awareness of ownership rights, and to provide support to rural women entrepreneurs

http://www.un.org/esa/agenda21/natlinfo/countr/serbia/ruralDevelopment.pdf

Advancing Women’s Economic and Social Rights in Serbia and Montenegro

UN WOMEN Women in working age Contribute to the elimination of gender-based discrimination in the labour market and work place

http://www.unifem.sk/index.cfm?module=project&page=country&CountryISO=RS

Gender Equality Committee National Assembly of the Republic of Serbia

Women in general Promote equal treatment of men and women in work and private life

http://www.parlament.gov.rs/activities/national-assembly/activities-archive/june-11,-2008-convocation.572.html?offset=1

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3.3 Private initiatives (examples)

Name Sponsor Target Group Target Website Link Удружење пословних жена Србије

(Association of Business Women in Serbia)

- European Union - GIZ - Canada

Women in business - Business contacts - Monthly meetings - Mentoring programs - Lobbying of policy makers

http://www.poslovnezene.org.rs/en/

Специјална награда Цвет успеха

(Special Award Success Flower)

Association of Business Women in Serbia Women in business, politics and society

- Network and support of women - Highlight female success stories

http://www.ledib.org/competition-for-the-most-successful-women-entrepreneurs-in-serbia.html

Српске-Америцан Женска мрежа лидерство

(Serbian-American Women’s Leadership Network)

USAID Women in business, politics and society

- Serbian women leaders’ study tour in the United States - International Women’s Conference in Belgrade - Leadership workshops

http://serbia.usaid.gov/usaid-programs/sectors/strengthening-democratic-structures/serbian-american-women%E2%80%99s-leadership-network.1045.html