Bosnia and Herzegovina confronts acute skilled‑worker shortage

Bosnia and Herzegovina is experiencing a paradox in its labour market: while a large number of people remain registered as unemployed, employers struggle to find workers with the necessary skills. Official data show about 850,000 people employed out of a labour force of roughly 1.44 million, with the unemployment rate at 11.1 %. More than 300,000 job‑seekers are still on employment‑office registers, yet vacancies in construction, welding, electricity, driving, cooking, craft trades and medical occupations remain largely unfilled.

The shortage is amplified by the outflow of experienced workers to foreign markets and a slow domestic education response. Some firms have started recruiting staff from abroad, but bureaucratic hurdles slow the process. At the same time, many Bosnian workers, especially in Herzegovina, take on additional informal “necessity jobs” after regular shifts to cover basic living costs. These side jobs – ranging from painting and yard work to carpentry – are paid between 12 and 20 KM per hour and often exceed regular wages, but they also heighten physical strain and financial insecurity.

Both trends underline a deepening gap between formal employment figures and the actual availability of qualified labour, posing challenges for economic growth and competitiveness in the region.