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Labor law

Law firm Vaić & Dvorničić Ltd. > Labor law
29 January
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Foreign worker recruitment agencies: when are you the employer, and when are you only an intermediary?

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in Labor law, News

In practice, the term “agency for the employment of foreigners” often conflates two different models: 1. The agency employs the worker for the purpose of assigning/seconding them to a user undertaking (temporary-work agency / labour leasing). 2. The agency provides recruitment/intermediation (searching, screening and matching employer and worker), but the employment contract is concluded between the client–employer and the worker. The difference is not merely terminological: it determines what records you must keep, what contracts you enter into, what you may charge, and who must meet the requirements in residence and work permit procedures. When the agency hires directly (temporary-work agency) If the agency hires...

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17 November
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Sick leave and inspection control

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in Administrative law, Labor law

Sick leave, or temporary work incapacity, is one of the most common employment-related issues and often a source of uncertainty for both employees and employers. The onset and duration of temporary work incapacity are determined by the selected primary healthcare physician, who assesses the period of incapacity based on the type of illness or other reason for inability to work, in accordance with the insured person’s health condition and medical indications. In other words, only the selected primary care doctor is authorised to determine the beginning and end of temporary work incapacity. The period of temporary work incapacity for which the insured...

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29 August
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Labour Act – Severance pay and Fixed-term employment contract

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in Labor law
Labour Act – Severance pay and Fixed-term employment contract

The Labour Act regulates key aspects of employment relationships, including the possibility of severance pay and the rules governing fixed-term employment contracts. Employers and employees must be mindful of the legal limitations and obligations arising from these provisions. Right to severance pay Severance pay is a legally prescribed monetary amount that an employer pays to an employee to mitigate the consequences of employment termination, provided the employee has worked for the employer for at least two continuous years.The right to severance pay applies to employees whose employment contract is terminated regularly, under the above-mentioned condition. Conversely, employees are not entitled to severance pay...

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18 June
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The right to exemption from the payment of the base contributions to salary

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in Labor law, Tax law

As of January 1, 2025, the new Contributions Act entered into force, resulting in changes to the tax relief for "first employment." Previous measures Under the former legislation, two types of base contribution exemption measures were provided for employees: The first applied to workers who, at the time of entering into employment, had no registered length of service in the pension insurance system. In such cases, the employer was exempt from paying contributions for a period of one year. The second measure related to the employment of young persons, specifically workers who were employed permanently (indefinite contract) for the first time and had not...

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15 April
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Works Council

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in Labor law

The works council represents one of the mechanisms through which the Labour Act enables employees to actively participate in making decisions regarding significant economic and social matters that affect their rights and interests. By establishing a works council, employees are given the opportunity to be involved, through their elected representatives, in the decision-making process concerning issues of particular importance to their working conditions. The establishment of a works council is not mandatory. A works council may be established at employers employing at least 20 workers. The initiative can be launched by a trade union or by at least twenty percent of...

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18 February
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Croatian employment service – rights and obligations of unemployed persons

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in Administrative law, Labor law

The status of an unemployed person in the Republic of Croatia entails certain rights and obligations, which are regulated by legislation and the regulations of the Croatian Employment Service (HZZ). One of the key rights is the right to financial compensation, with clearly defined conditions for its entitlement. Additionally, unemployed persons have access to counseling services, education, and health insurance. Right to financial compensation The right to financial compensation during unemployment in the Republic of Croatia is regulated by the Labour Market Act and represents a key form of financial protection for unemployed persons during periods without employment. To be eligible for financial...

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17 February
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Croatian employment service – active employment policy measures

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in Administrative law, Labor law

The Croatian Employment Service (Hrvatski zavod za zapošljavanje) is a public institution that regulates the labor market in Croatia, providing support to unemployed individuals and employers through counseling, financial assistance, and training programs. Active employment policy measures are introduced at the beginning of each calendar year. For each measure, the Croatian Employment Service determines the following: target groups, the amount of support (which depends on the education level of the subsidized individual), the minimum gross wage, and the duration of the measure Measures catalog for 2025 Employment support and Green/Digital employment support – This support is intended for employers who hire vulnerable groups,...

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06 February
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Immigration to Croatia

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in Administrative law, Labor law

Croatia is positioned centrally in Europe, which means that the majority of Central European countries can be easily reached by car from northwestern Croatia. For example, from Rijeka you can reach by car in 6-8 hours Milan in Italy, Lugano in Switzerland, Munich, Germany, Vienna in Austria, Bratislava in Slovakia, Budapest in Hungary. Also has a very mild climate suitable for life, and a very low rate of street crime. Considering the above mentioned, Croatia has very good preconditions for immigration, especially business people outside the EU who want to create a new business and the vital center of the EU,...

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14 November
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Termination due to employee misconduct

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in Labor law

Termination due to employee misconduct is a type of regular termination as prescribed in Article 115 of the Labor Act. It can be issued to an employee if the employer has a valid reason, such as when the employee violates their obligations under the employment relationship, or when the employee fails to follow the employer's instructions, as the employee is obligated to personally perform the work they have undertaken according to the employer's instructions, given in accordance with the nature and type of work. The Labor Act does not explicitly define what constitutes a breach of obligations under the employment relationship...

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14 November
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Personal-conditioned termination

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in Labor law

Personal-conditioned termination is a type of regular terminaton which is regulated under Article 155 of the Labor Act. It allows the employer to protect themselves from the negative consequences of the employment contract when an employee, through no fault of their own, is unable to perform their job duties properly. This type of termination is applicable when an employee is incapable of fulfilling their duties due to permanent changes in their abilities or characteristics that prevent them from doing so. For a decision of personal-conditioned termination to be valid, two key conditions must be met: first, the employee must be unable...

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