November 26, 2023 – A common complaint here concerns the low Croatian salaries. How do they compare with the rest of Europe.
An interesting overview of salaries in Europe in 2022, compiled by Eurostat and reported on by Euronews. So how does Croatia fare?
The highest paying countries in 2022 were Switzerland (€106,839), Iceland (€81,942), Luxembourg (€79,903), Norway (€74,506) and Belgium (€70,297), whereas the lowest payers were Bulgaria (€12,923), Romania(€14,500), Croatia(€17,842), Hungary(€18,274) and Poland (€18,114).
Speaking specifically about Croatia, Euronews goes on to note:
The Croatian War of Independence, in the early 1990s, took a heavy toll on the economy at the time, with Croatia missing out on building up its economic and financial sectors, when the rest of the EU was. Following the war, the government has also had massive expenses in terms of compensations and rebuilding efforts.
This has led to Croatia’s economy today still being not as developed as one might expect. There is a heavy reliance on temporary and seasonal workers supporting the country’s hospitality and tourism sector. This has led to wages being kept chronically low, as little upside pressure in terms of length of employment tenure, unions, or negotiations arise.
However, since joining the EU, things are looking up with Croatia now taking advantage of a bigger labour market, amongst other benefits. The country also has quite a low cost of living, which also helps with purchasing power.
