Croatia: Work Permit Changes

April 1, 2025
Immigration

In recent developments aimed at improving the efficiency of the foreign workforce process, Croatia has introduced significant changes to its temporary residence and work permit regulations. These updates are designed to reduce administrative burdens, streamline processing times, and better address the needs of both foreign workers and employers.

Extended Validity for Blue Card EU

Recent changes have extended the validity of temporary residence and work permits, including work registration certificates and residence permits. These permits will remain valid until their designated expiration dates, reducing the need for frequent renewals.

Key Updates:

Blue Card EU Validity Extended:
The Blue Card EU now has a validity of 48 months, up from 24 months. If the employment contract is shorter, the card will be issued for the contract duration plus three months, but never exceeding 48 months.
Blue Card Details:
The Blue Card is issued as a residence permit, including employer and job information. A confirmation document will be provided to the employee and employer, allowing the employee to start working while awaiting the biometric residence permit.
International Protection Notes:
For those granted international protection in Croatia, the Blue Card will note the protection status. If protection is revoked or granted by another EEA state, the card will be updated accordingly.

These changes simplify the process, providing greater stability for permit holders and employers.

New Grounds for Temporary Residence Based on Immigration and Diaspora Return

A new basis for granting temporary residence permits has been introduced, specifically aimed at encouraging the immigration and return of Croatian nationals living abroad. This initiative seeks to support the repopulation of Croatia with skilled individuals from the Croatian diaspora, fostering growth and development within the country.

Main Points of the Initiative:

Eligibility for Temporary Residence:
Temporary residence can be granted to third-country nationals who are Croatian emigrants, their family members, descendants, or family members of descendants. This status is confirmed by a certificate from the Ministry responsible for demographics and emigration.
Programs and Projects:
Third-country nationals involved in Croatian programs, measures, or projects may also be granted temporary residence, verified by the Ministry for demographics and emigration.
Exemption from Certain Requirements:
Applicants under these categories do not need to provide proof of financial support or health insurance when applying for temporary residence.
Rights Upon Approval:
Those granted temporary residence for immigration or diaspora return purposes have the right to employment, self-employment, participation in educational programs, and vocational training without needing a work permit or work registration.

This new legal framework aims to facilitate the return of skilled Croatians abroad, contributing to Croatia's economic and social development.

Employer Guarantee Requirement for Work Permits

Employers seeking to hire foreign workers under certain work permits will now be required to issue a guarantee to the Republic of Croatia. This guarantee, equivalent to one average monthly gross salary paid in Croatia during the previous year, serves as a security measure to ensure the worker's proper employment and adherence to national laws.

Key Changes:

Employment Contract Changes:
Employers or third-country nationals must notify the police within five working days if an employment contract ends or if the conditions for the residence and work permit no longer apply.
Guarantee Payment:
Employers must pay a sum equal to one average monthly gross salary, based on the latest official statistical data, into the state budget if the worker fails to start working as specified in the contract or if the contract is terminated within three months, unless due to the worker’s misconduct.
Guarantee Bond:
To secure the payment, employers must issue a bond to the Ministry of the Interior for the equivalent amount, within five days of receiving the necessary confirmation.
Use of Funds:
The paid amount will be used for the repatriation of third-country nationals who are unlawfully residing in Croatia.

These measures aim to ensure that foreign workers are properly employed and adhere to Croatian labor laws, while also providing a safeguard for the state against potential violations.

Enhanced Conditions for Work Permits Based on Croatian Employment Service Opinion

To further regulate the hiring of foreign workers, additional conditions have been imposed on work permits based on the opinion of the Croatian Employment Service. These conditions include:

Employment Contract Requirements: Employers must ensure that employment contracts for foreign workers meet specific criteria.
Employer Business Operations: The employer's business activities over the last six months must align with the regulations set forth.
Local Workforce Composition: Employers must demonstrate a sufficient number of employees who are citizens of Croatia, or citizens of an EEA member state or the Swiss Confederation.

Ensuring Foreign Workers Are Qualified for Shortage Occupations

Employers must prove that foreign workers have the necessary qualifications for shortage occupations, ensuring they are well-suited for their roles in the Croatian labor market.

Key Points:

Occupation Change within Valid Permit:
Foreign workers can change occupations within the same employer if the new job is in a shortage occupation, and the contract lasts until the permit expires.
Employer Responsibility:
Employers must submit a request to change the occupation within three days of signing the new employment contract, along with required documentation.
Croatian Employment Service Opinion:
The Croatian Employment Service will issue an opinion within five days to confirm the worker meets the qualifications for the new occupation.
Starting Work:
Workers can begin the new job once the positive opinion is received, and their work permit remains valid until it expires.
Negative Opinion:
If the opinion is negative, the worker must continue in the original occupation.

This process ensures that foreign workers are employed in roles where they are needed and qualified, streamlining their adaptation to Croatia’s labor market needs.

Limitation on Work Permit Requests

Work Permit Application Limits: Employers can submit a maximum of 50 applications if they employ up to 50 Croatian/EEA/Swiss workers, or up to 250 applications if they employ between 51-250 such workers.
Conditions for Applying Limits: These limits apply until conditions in Articles 99(9) and 99(10) are met.
Consequences for Exceeding Limits: Exceeding the allowed number of applications will result in the Croatian Employment Service not issuing a positive opinion, which is necessary for permit approval.

These provisions ensure a controlled approach to the issuance of work permits in Croatia.

Easier Job and Employer Transitions for Foreign Workers

Changing Employer or Job Role:
Foreign workers can change their employer or job role before one year of work or within their work permit validity by submitting an application.
Conditions for Application:
If submitted within the allowed unemployment period, the worker can stay in Croatia until a decision is made on the application.
Changing Job in the Same Employer:
Foreign workers can change roles within the same employer if the new job is listed in the relevant decision, without needing to apply for a new work permit.
Job Changes After One Year:
After one year with the same employer, foreign workers can switch employers for the same role with the employer submitting the request.
Additional Work:
Foreign workers with full-time employment can take on additional work with another employer under specific conditions, including labor market testing and approval from the Croatian Employment Service.

These changes simplify job and employer transitions for foreign workers in Croatia, enhancing flexibility while ensuring legal compliance.

Extended Employer Accommodation Requirements

Employer's Responsibility: Employers must provide appropriate accommodation for third-country nationals applying for residence and work permits based on labor market opinions from the Croatian Employment Service (HZZ).
Accommodation Standards: The accommodation must meet living standards for the entire stay. Employers must notify authorities about any accommodation changes within 8 days.
Rent Payments: Rent must be reasonable compared to the worker's income and the accommodation's quality. Rent cannot be automatically deducted from the worker’s salary. Employers must provide a rental agreement outlining clear conditions.
Health and Safety Standards: The accommodation must meet health and safety regulations in Croatia.
Regulatory Compliance: The Interior Minister, with consent from relevant ministers, will set technical requirements for appropriate accommodation, rental payments, and documentation needed to prove compliance.

Stricter Penalties for Violating Foreigners Act Provisions

The Croatian government has also introduced new misdemeanors and tighter penalties in relation to the updated provisions of the Foreigners Act. These changes aim to strengthen the enforcement of labor and immigration regulations, ensuring that both employers and foreign workers comply with the law.