HR Services in Croatia

Only if the contract sets one. Probation can last up to 6 months, and absences such as sick or parental leave can extend it, within 6 months on probation in total. In a fixed-term contract it must be proportionate, and a new contract for the same job can’t repeat it. Notice during probation is at least 1 week. We make sure your contracts reflect these rules.

As a rule, you pay a 16.5% health contribution on top of gross pay. Eurostat’s average for all non-wage costs is about 14% of gross wages (2025). The employee’s pension contributions, as a rule 20%, come out of gross pay. You also pay at least 70% of average pay for the first 42 days of each sick leave. Our Compensation & Benefits Strategy builds a reward framework aligned with Croatian law, market data and internal equity.

Full time is at most 40 hours a week and, as a rule, 50 with overtime. Overtime is capped at 180 hours a year, or 250 by collective agreement. Staff get, as a rule, at least 12 hours’ daily rest and a paid 30-minute break from 6 hours a day. Agreements, work rules or the contract set the overtime premium, and Sunday work earns at least 50% more. We structure work schedules that comply and still leave room for flexibility.

As a rule, you pay sick pay for the first 42 days of each sick leave: at least 70% of average pay over the previous six months. From day 43, the Croatian Health Insurance Fund (HZZO) bears the cost, up to a monthly cap. It also covers 100% from day one for work injuries and occupational diseases, and for pregnancy complications up to the cap. We put clear sick leave policies in place.

At least 4 weeks a year (20 working days on a five-day week), or 5 weeks for minors and for jobs whose health risks can’t be prevented. First-time employees, and those with a break of more than 8 days between jobs, earn the full leave after 6 months. Croatia also has 14 public holidays. We keep you compliant with leave entitlements and help you offer a competitive benefits package.

It’s structured, not impossible. Dismissal with notice needs a written reason: business, personal, conduct or failed probation; conduct dismissals usually need a written warning. Notice rises with service from 2 weeks to 3 months, plus up to a month from age 50 after 20 years’ service. After 2 years, severance is at least a third of monthly pay per year, capped at 6 months’ pay as a rule, except for conduct dismissals. Neither is due from age 65 with 15 years’ pension service. We guide you through every step.

Not indefinitely. A fixed term needs an objective reason stated in the contract, such as replacing an absent employee or work limited in time. As a rule, fixed terms can’t exceed 3 years, across at most three successive contracts, and after that a new fixed term needs a 6-month gap. A fixed term that breaks these rules counts as open-ended. We make sure every fixed-term contract meets these rules.

Only if one binds you: one you signed, one signed by an employers’ association you belong to, or one extended to your sector. Extended agreements also set binding minimum pay by job and minimum work premiums. They can undercut the law only where it allows, such as 250 overtime hours a year. We keep you compliant with any agreement that applies, with as much flexibility as it allows.

From 20 employees, staff can elect a works council (radničko vijeće); without one, a union representative, if there is one, takes over its rights. You must consult it before key decisions, such as work rules, schedules and dismissals, and need its consent to dismiss some protected employees, such as council members or most employees aged 60 or over. We guide you in working with employee representatives.

Croatia missed the June 2026 deadline for the EU Pay Transparency Directive, and no transposing law had been adopted as of October 2026. Already, the Labor Act requires equal pay for women and men for equal work or work of equal value, and employers must, on request, share the criteria behind the pay of an employee doing the same or similar work. Our Compensation & Benefits Strategy covers EU Pay Transparency readiness.

The State Inspectorate’s labor inspectors check compliance. The most serious Labor Act offenses, such as missing working time records or overtime beyond the caps, carry fines of €8,090 to €13,270 for a company. For undeclared work, inspectors also order €2,650 per worker, rising to €8,000 and a ban on the activity at the site for a third finding within three years. We conduct regular compliance audits so your documentation is ready for inspection.