- by croatiaweek
- June 14, 2026
-
in
News
ZAGREB, 14 June 2026 – Croatia’s labour market is showing signs of a significant shift, with the country increasingly focusing on retaining foreign workers already living and working in the country rather than recruiting new arrivals.
The change comes after nearly half a million work permits were issued over the past three years, underlining the extent to which key sectors of the Croatian economy have become dependent on foreign labour.
The Croatian Employers’ Association (HUP) told Net.hr the employment and residency framework for foreign workers has become one of the most demanding regulatory areas for businesses.
Frequent legislative changes and new administrative requirements have increased the burden on employers, particularly in sectors that rely heavily on foreign staff.
HUP welcomed several recent amendments to Croatia’s Foreigners Act, noting that the changes were introduced earlier than last year, allowing many employers to submit seasonal employment applications on time.
Employers also praised the introduction of three-year seasonal permits for returning workers and changes to minimum turnover requirements, saying these measures provide greater predictability and flexibility, Net.hr writes.
However, concerns remain over some provisions. HUP argues that calculating the permitted share of foreign workers based on positive opinions from the Croatian Employment Service rather than the actual number of employees could create difficulties.
The association also warned that geographical restrictions on where foreign workers can be employed may reduce operational flexibility.
The structure of issued permits highlights the changing trend. In 2024, Croatia issued 132,000 permits for new employment, accounting for almost two-thirds of all permits issued that year. A further 57,000 permits were granted for extensions of residence and work, while 17,000 were seasonal permits.
By 2025, the number of permits issued for new employment had fallen to 80,000, while extensions rose to 70,000 and seasonal permits reached 20,000.
The shift became even more apparent during the first four months of 2026, when permit renewals exceeded new employment permits for the first time. Authorities issued 28,000 permit extensions compared with 26,000 permits for new hires.
According to Ministry of the Interior data, around 113,000 foreign workers currently reside in Croatia with valid permits and registered residence. The number of renewed permits is also 24 per cent higher than a year earlier.
Labour shortages remain most pronounced in tourism and hospitality, construction, manufacturing, transport and retail, sectors that continue to employ the largest numbers of foreign workers.
While the Interior Ministry recently pointed to a decline in overall permit numbers as evidence of greater activation of the domestic workforce, employers stress that foreign labour remains essential.
HUP says the issue should be viewed not only through permit statistics but also through effective migration management and worker integration.
