Croatia to Ease Rules for Foreign Workers with New Law, Extending Work Permits and Improving Conditions

Croatia is set to introduce a new law that will create more favorable conditions for foreign workers, according to the country’s Minister of Labour, Marin Piletić. The upcoming legislation aims to establish standards for the accommodation of foreign workers and significantly extend the validity period of their residence and work permits.

Minister Piletić revealed that the new rules will extend the duration of residence and work permits from the current one year to three years. This change is intended to provide foreign workers with greater flexibility in transitioning between job positions and employers. “The residence and work permit will be extended from the current one year to three years, depending on the duration of the contract. The goal is to enable an easier transition within the same employer to different jobs, as well as an easier change of employers,” Piletić stated.

Addressing concerns that foreign workers are taking jobs away from Croatian citizens, Minister Piletić emphasized that these workers have been essential in addressing labor shortages that have impacted the nation’s economy. He also noted that the presence of foreign workers has not led to a decrease in wages, as the average salary in Croatia is on the rise.

Currently, there are approximately 143,000 foreign workers employed in Croatia, according to data from the Pension Insurance Institute. The majority of these workers are from non-EU countries, with around 12,000 currently in Croatia. Most non-EU workers come from countries such as Bosnia and Herzegovina, Serbia, North Macedonia, Kosovo, and Albania.

Despite the significant number of foreign workers, Croatia continues to experience labor shortages in various sectors. To address these shortages, the Croatian Ministry of Interior recently announced that around 20,000 work permits are issued to foreign workers each month. From January to July of this year, over 85,000 residence permits were granted, with around 32,000 of them being extensions.

Istria has been particularly affected by labor shortages, according to recent data. The 2023 EURES report highlights that there are approximately 30 occupations in Croatia experiencing shortages. Foreign workers who have skills in these in-demand fields are more likely to obtain a work visa and gain employment in the country.

By fLEXI tEAM