1. What are the key national laws on forced labour, modern slavery and/or human rights in your country?

Rights of every individual in Bosnia and Herzegovina are set by the BiH Constitution, international covenants and conventions signed by BiH, as well as the laws and bylaws.

Please note that the legal and administrative structure of Bosnia and Herzegovina (BiH) is very complex, which directly impacts the legislation, as well as the policies that regulate and oversee certain issues within the country. Namely, BiH consists of two separate and distinct administrative entities, namely the Federation of Bosnia and Herzegovina (FBiH) and the Republika Srpska (RS), as well as the Brčko District (BD) as a separate administrative unit. In addition, the entity of the FBiH consists of ten (10) cantons, each of which has its own structure, as well as laws, regulations and policies. Although the issue of forced labour, modern slavery or respect for human rights is regulated by certain conventions of the International Labour Organization (ILO), and other policies at the state level, certain regulations regarding labour laws and other legal and regulatory acts are regulated at the entity level or the Brčko District level. Considering the above, the focus of this response will be on the legislation applicable at the BiH, FBiH and RS levels.

Human rights, forced labour, modern slavery in the context of business and labour relations are regulated in BiH by international and local legislation as follows:

  • The Constitution of BiH, as well as the Constitutions of both entities, FBiH and RS;
  • International treaties or conventions signed or ratified by BiH, including the Universal Declaration of Human Rights, the Convention for the Protection of Human Rights and Fundamental Freedoms (Official Gazette of BiH, No. 6/99), C029 - Forced labour Convention, 1930, including the 2014 Protocol to the Forced labour Convention, 1930, C105 - Abolition of Forced labour Convention, 1957, C182 - Worst Form of Child labour Convention, 1999, etc.;
  • Collective agreements at both levels, FBiH and RS;
  • Entity labour Laws – the FBiH Law on Labour ("Official Gazette of FBiH", no. 26/2016, 89/2018, 23/2020 - Decision of the Constitutional Court, 49/, 103/2021, 44/2022 and 39/2024) and the RS Law on Labour ("Official Gazette of RS", no. 1/2016, 66/2018, 91/2021 - Decision of the Constitutional Court, 119/2021, 112/2023 and 39/2024);
  • Entity Criminal Codes – the FBiH Criminal Code ("Official Gazette of FBiH", no. 36/2003, 21/2004 - correction, 69/2004, 18/2005, 42/2010, 42/2011, 59/2014, 76/2014, 46/2016, 75/2017 and 31/2023) and the Criminal Code in RS (64/2017, 104/2018 - Decision of the Constitutional Court, 15/2021, 89/2021, 73/2023, "Official Gazette of BiH", no. 9/2024 - Decision of the Constitutional Court of BiH, "Official Gazette of RS", no. 105/2024 - Decision of the Constitutional Court of BiH, 19/2025 and "Official Gazette of BiH", no. 14/2025 - Decision of the Constitutional Court of BiH).

2. Are there any sector-specific rules?

As mentioned above, the area of human rights, modern slavery and forced labour is regulated by international and local requirements at different levels. There is no uniform approach in the sense of some specific sectoral regulations.

3. Are there any obligations for companies, e.g. reporting, due diligence, supply chain transparency?

In general, local legislation in BiH does not regulate mandatory responsibilities for companies in terms of reporting, due diligence or supply chain transparency. However, considering at the criteria for companies required to report under the Corporate Sustainability Reporting Directive (CSRD), some of the non-EU companies with at least one subsidiary in the EU and a net turnover of more than EUR 150 million are required to act in accordance with CSRD. 

Although such companies are generally still rare in BiH in terms of size and turnover, the pressure for due diligence, supply chain transparency, reporting is increasing as export-oriented companies based in BiH are obliged to report due to the customers and investors they do business within the EU.

Additionally, mandatory reporting by the Directive on Corporate Sustainability Due Diligence (CSDDD) covers companies that are not in the EU but have an annual net turnover exceeding EUR 450 million  in the EU. This implies that the reporting obligation under the CSDDD also includes companies headquartered in BiH, if they meet such conditions.

4. Are there any government reporting requirements?

No, there are no government reporting requirements.

5. Are there any penalties and enforcement mechanisms?

No, there are no penalties and enforcement mechanisms.

6. Potential criminal, civil or administrative penalties for violations?

Forced labour is strictly prohibited by the FBiH and RS Criminal Codes and are punishable as such. If forced labour or other inhumane treatment of a worker results in serious bodily injury or death, the perpetrator shall be sentenced to at least 10 years' imprisonment or long-term imprisonment under the FBiH Criminal Code. 

Exploitation of another person's labour is prescribed by the Criminal Code of the RS as a crime punishable by three to twenty years of imprisonment.

7. Risks for directors or executives?

As mentioned above, supply chain reporting, due diligence and non-financial reporting are not required by local legislation in BiH.

However, directors and senior managers can be faced with potential, beside legals, financial, reputational and operational risks if they fail to act on supply chain due diligence, forced labour or modern slavery. To meet legal requirements, uphold moral standards, and ensure long-term business success, they must ensure that their organizations have strong processes in place to identify, prevent, and remediate such issues.

8. Upcoming laws, regulations, etc?

The new FBiH labour Law, which is largely in line with the latest EU standards, is currently being drafted. It is expected to be adopted by the end of 2025.

On the other hand, the obligation of transparent non-financial reporting with a focus on the social component in companies will become mandatory for BiH companies in the future if they want to be competitive on the EU market, both with potential investors and with existing business partners.