Applications for New Croatian Job Preservation Grants Begin

Lauren Simmonds

As Poslovni Dnevnik writes on the 18th of September, 2020, at its recent session, the Croatian Employment Service’s Governing Board made a decision on changes and amendments to the conditions and manner of using funds for the implementation of active employment policy measures in 2020. Applications for Croatian job preservation grants for September have begun and will run until October the 15th, 2020.

Applications for Croatian job preservation grants for economic activities affected by the coronavirus pandemic and those for micro-enterprises will continue in the period from September to December this year, the statement said.

Croatian job preservation grants for those affected by the ongoing coronavirus pandemic includes all of the same economic activities which were listed before, such as passenger transport, accommodation, food and beverage preparation, the event industry, etc., which will continue to be allowed to use of the support up to 4,000 kuna per worker if they can prove a drop in income of at least 60 percent.

As for support for micro-enterprises, these Croatian job preservation grants continue to include the amount of up to 2,000 per worker kuna for employers who employ up to 10 workers, provided that their income has fallen by at least 50 percent.

The Croatian job preservation grants can also be used by those facilities which are closed due to the measures implemented by the National Civil Protection Headquarters.

The CES emphasised that all employers, regardless of their activity, who cannot operate or whose work is restricted in any way, will be able to use these measures in accordance with the decisions of the National Civil Protection Headquarters, provided that those who have had their work restricted owing to a decision made by the headquarters (such as reduced working hours, a reduced number of visitors, etc.) if necessary, they’ll have to prove that they are having difficulties in doing business (such as proving a recorded drop in revenue by 60 and 50 percent, respectively).

Last week, Prime Minister Andrej Plenkovic announced that the CES would make decisions on the continuation of measures to help the economy due to the coronavirus crisis, meaning that the measure of co-financing part-time work of a maximum of 2,000 kuna per worker will continue until December. The measure for micro-enterprises, which also amounts to 2,000 per worker kuna will also continue if the enterprise had a drop in turnover of more than 50 percent. This measure applies to all sectors of the economy and includes the write-off of all related contributions.

For activities that are particularly vulnerable, the support of 4,000 kuna per worker will also continue until December the 31st this year, with Plenkovic listing the sectors of passenger transport, catering and hospitality, tour operators and enterprises working in the field of recreation, cultural, business and sporting events, and in the event that they had a drop in turnover of more than 60 per cent. These Croatian job preservation grants also include the write-off of all contributions.

According to Plenkovic, all of these Croatian job preservation grants and similar measures will cost around 800 million kuna by the end of the year and will be financed from the state budget, but part of the funds will be compensated from European Union (EU) funds.

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