Foreign workers will now qualify to collect unemployment

Foreign workers with a work permit who terminate their employment will be able to register with the Croatian Employment Service and will be entitled to unemployment benefits, according to amendments to the Labor Market Act discussed in parliament on Wednesday.

Announcing the proposed changes to the Labor Market Act, the State Secretary at the Ministry of Labor, Pension System, Family and Social Policy, Ivan Vidiš, said that foreign workers will be able to register as unemployed for the first time: “The idea is that they will be offered a job immediately, that they will immediately find a new job and that they will not have to return to their countries by force of law.”

He added that after their temporary residence permit expires, foreigners will no longer be entitled to benefits: “It is crucial that we enable these people to enter the register, not so that they can receive benefits, but to offer them a new job because we are in need of these people. Most of them work in occupations in which we have a shortage.”

The State Secretary rejected the claims from DOSIP MP Dalija Orešković that foreign workers only represent low-skilled labor, claiming that the majority have medium-level qualifications, but that there are also those with high qualifications.

The Foreigners Act, announced Vidiš, will also introduce a mandatory share of Croatian citizens at the company level in shortage occupations. Amendments to the Labour Market Act will increase unemployment benefits for the period from 91 to 180 days from 30 to 35 percent of the base: "We have decided to increase the adequacy of the benefits. We believe that although we are registering record low unemployment, we should take into account the financial situation of the unemployed."

He also pointed out that the benefit should attract registered unemployed persons and, in through a structured way of finding employment, enable them to be unemployed for a shorter period in the long term, so that they have more time to find a job.

"The increase in the benefit from 30 to 35 percent of the base will not have a significant impact on the life of an unemployed person, the average benefit is around €400, which is insufficient considering the rampant price inflation," said SDP MP Irena Dragić.

Možemo! MP Jelena Miloš finds it unacceptable that former minister Vili Beroš is entitled to the 6 plus 6 benefit even though he was fired due to corruption charges, while those who lost their jobs through consent, often under pressure from employers, are not entitled to unemployment benefits.

According to the Croatian Employer’s Association more than half a million foreign workers will be working in the Republic of Croatia by 2030. Croatia’s current population is roughly 3.85 million.

Source: HRT