In a recent report by the Croatian Employers' Association titled "Focus of the Week," projections suggest a significant influx of foreign workers into Croatia's labour market by 2030, reports HINA. With assumptions based on steady GDP growth, estimates range between 400,000 to 500,000 foreign workers, potentially constituting one in every four employees in the country.

Highlighting the ongoing demographic challenges and robust economic expansion, Hrvoje Stojić, the chief economist at HUP, underscored the need for proactive measures to address labour shortages. The report emphasizes attracting highly skilled professionals, particularly in sectors such as ICT, tourism, construction, and agriculture, deemed crucial for driving economic growth.

In response to these projections, HUP advocates for policy amendments, including the streamlining of immigration procedures and the strengthening of the EU Blue Card program for attracting talent. Additionally, the association calls for modernizing labour laws to prioritize worker protection and promote flexible employment arrangements.

Employers also stress the necessity of reducing tax burdens on medium to high-income earners to enhance competitiveness and encourage productivity growth. They point out discrepancies in the taxation of rental income versus wages, highlighting the need for a more balanced approach to taxation.

The report signals the importance of proactive policy interventions to manage the anticipated increase in foreign workers and ensure sustainable economic development in Croatia.