Minister Says Job-Retention Grants to Cost HRK 300-400m in March

Total Croatia News

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Source: Pixabay
Source: Pixabay

Labour and Pension System Minister Josip Aladrović believes that the continuation of job-retention measures will help to prevent mass layoffs.

He also underscored that his data showed that there had been no mass layoffs so far.

In addition to the job-retention measure, which is quite similar to the conditions that applied to January and February, Aladrović said that the reimbursement of fixed costs would also continue.

He thinks that that combination of measures would help both employers and workers, preserve the labour market and preserve the wage budget.

Asked whether the measures can be used by restaurant and bar owners who open their terraces, he said that the possibility of restricting operation was now in place, while until now, in January and February, the establishments had been closed to be eligible for grants.

Since they can now operate with some restrictions, they will have to prove a drop in revenue of 40% or 60% and more, with job retention grants ranging from HRK 2,000 to HRK 4,000, just like in the past 12 months, he explained, adding that the reimbursement of fixed costs will be treated as before.

He underscored that the reference point for comparison of the drop in turnover, would be made with the results in 2019.

It has been estimated that in March the job-retention measures would cost the state from HRK 300 to 400 million.

Also, about 45,000 applications for the measures were submitted for January, and the Croatian Employment Service (HZZ) has processed about 80% of the applications.

Aladrović views the current epidemiological situation and the partial relaxation of measures as a good path.

 

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