AmCham Power Breakfast with Mr. Josip Aladrović, Minister of Labour and Pension System

"From June 1 until the end of the year, the Government will grant support to employers who employ 10 or more full-time employees, regardless of whether they are employed on a part-time or indefinite basis, for the temporary introduction of full-time work lasting less than 40 hours, but not less than 20 hours per week, in the amount of up to HRK 4,000 per month per employee", said Minister Aladrović at the AmCham Power Breakfast held on June 17.

In addition to the announcement of introduction of a shorter working hours model, minister Aladrović addressed the activities of the Ministry of Labor and Pension System and measures for preserving job positions during and after the crises caused by COVID-19 outbreak.

“American Chamber of Commerce in Croatia supported the measures adopted by the Croatian Government for alleviating negative economic effects of the coronavirus epidemic and has been actively involved by creating our own sets of additional sets of measures. More specifically, AmCham Croatia published 3 Sets of Recommendation for Economic Relief with the aim of helping entrepreneurs overcome the crisis period caused by COVID-19 pandemic, ensure liquidity and secure jobs. A large part of recommendations referred to measures aimed at keeping jobs. We are glad that some of the AmCham’s recommendations have been adopted by the competent Ministry. This only shows that only by joint action and dialogue of the private and public sector (ie companies and policy makers) a mutually satisfactory solution can be achieved for the benefit not only of the economy, but all citizens of the Republic of Croatia.” said Andrea Doko Jelušić, Executive Director of AmCham Croatia.

Ruža Tomić Fontana, President of the AmCham Board of Governors added that the crisis caused by the COVID-19 pandemic encouraged certain long-term changes in society, especially those related to work models. In the circumstances brought about by the COVID-19 pandemic, the need has arisen for a more flexible labor law framework that could help regulate employment in exceptional circumstances (such as a disease pandemic, but also those of other types and causes) without special regulations or ad hoc measures being required.

Minister Aladrović said that the current Labor Act does not meet the needs of the labor market and that it has to be changed in a way it benefits the efficiency, productivity and easier business environment.