Several thousand people protested in Sarajevo on July 30 against a new labor law as a part of reforms required by the EU.
Trade unionists threatened to storm the parliament building, which was surrounded by riot police.
One chamber of parliament in Bosnia’s Bosniak-Croat federation, one of the two constituent states that make up Bosnia-Herzegovina, have approved the labor legislation sought by the European Union and the International Monetary Fund.
The new law would introduce flexible labor practices and make legislative changes required for Bosnia-Herzegovina to receive much-needed funds from the IMF and the EU.
The unions have said the legislation will reduce the rights of employees and make it easier for employers to fire workers.
Having been passed by the upper chamber of parliament, the law is expected to by passed by the lower house next week.
Lawmakers in Bosnia-Herzegovina's Serb entity, Republika Srpska, also must pass the same law.
With reporting by Reuters