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Croatia is in southeastern Europe. It was incorporated into Yugoslavia in 1918, declared its independence in 1991 and became a member of the European Union in 2013. The Croatian economy suffered during the Croatian War of Independence, which ended in 1995, but the end of the war allowed it to begin to recover, and in the 21st century Croatians have enjoyed economic growth and a quality of life on par with the most developed European countries. Croatia joined the eurozone in January 2023. Tourism has become a significant industry, with people from around the world coming to enjoy Croatia's famous beaches and see the cities of Dubrovnik and Split. Other significant Croatian industries are wood processing, furniture production, fishing and winemaking. The island of Krk is also home to a large liquified natural gas terminal.

The most common employment contracts in Croatia are indefinite contracts where the duration of the work is not established and definite contracts where the length of the employment is specified. An employment contract must be written and contain the employment agreement, name and address of both parties, the workplace location, the responsibilities, work hours, probation period, start date, annual leave, other leaves and salary. If the employer fails to conclude an employment contract in writing, the law assumes it is a permanent contract.

The standard work week In Croatia is 40 hours across five days. Overtime is capped at 10 hours a week. Employers must obtain written permission from employees to increase their work hours. Overtime is capped annually at 180 hours, unless otherwise specified in a contract.

Employees receive up to 42 days of sick leave in Croatia at 70% of their standard salary. After this period, the time off is paid by the employer and reimbursed by Croatia’s health insurance fund.

Female employees receive 98 days of maternity leave in Croatia, beginning 28 days before the due date. The employee may choose to begin her leave as early as 45 days before her due date. The mother may choose to take additional maternity leave until the baby is six months old. She may also transfer some or all this additional leave to the father. During this time, she receives her full wages from social security.

Fathers receive 10 days of paternity leave in Croatia, which increases to 15 days if more than one child is born. He receives his full wages from social security. The father must notify the employer in writing of his intent to take paternity leave at least 15 days in advance.

Croatia has a minimum wage. Bonuses are common.

Employees receive four weeks of paid annual leave in Croatia.

In Croatia, the public holidays are:

  • New Year's Day

  • Epiphany

  • Easter Monday

  • Labor Day / May Day

  • Statehood Day

  • Corpus Christi

  • National Day

  • Day of Anti-Fascist Struggle

  • Victory Day

  • Assumption of Mary

  • All Saints' Day

  • Remembrance Day

  • Christmas Day

  • St. Stephen's Day

Croatia has universal health insurance, and some employers provide supplemental insurance.

The probation period in Croatia is six months. The notice period in Croatia is two weeks for less than a year of service, one month for a year of service, six weeks for two years of service, eight weeks for five years of service, 10 weeks for 10 years of service and 12 weeks for 20 years of service. Severance pay is 33% of the monthly salary for each year of service, after two years of service, and is capped at six months of the employee’s salary. When terminating an employee, the employer must provide a written reason and inform the Employee’s Council. This Council will then give the employee the opportunity to defend themselves before a decision is made. If the employee sits on the Council, is a candidate for the Council, is aged 60 or more, or works fewer hours due to a workplace-injury, then the union must consent to the dismissal. Employers cannot terminate employees who are on maternity, paternity or childcare leave, or those who are having medical treatment or recovering from a workplace injury. Employees can be terminated by providing the usual notice period and providing written reasons. For misconduct, employees can be terminated without any notice.

  • Local Laws & Regulations

    We understand that local laws and regulations change and sourcing an accurate reference guide is not easy. Our data is researched and verified by our team of local international Employment Attorneys, HR and Benefit Professionals and Tax Accountants through our Atlas team and consultants, to ensure information up-to-date and accurate.

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