A written employment agreement is concluded between the employee and employer. It can be done for indefinite period or for a definite time as an exception.
The employment agreement includes working terms and conditions. Probation period cannot last longer than a year.


Salaries are paid on monthly basis, no later than the 15th of the following month.

HR & Labor

Working Hours: Full time employment is considered 40 hours per week. After working 6 consecutive hours, employee is entitled to 30 minutes of break. Employee can work no more than 32 hours of overtime per month and 180 hours per week. It is common practice to pay for overtime higher than regular wages or offer a day off instead.
Minimum Working Age: Minimum age for employment is 15 years. Employees between 15 and 18 years old who attend an obligatory primary school cannot be employed.


Employees of an EEA member country or Switzerland can work in Croatia for up to three month, with valid passport or ID card. After three month they can apply for a temporary residence card. After working in Croatia for over 5 years, employees can apply for permanent residence status.
Employees of other countries must apply for a temporary residence card prior to entering Croatia at embassies or consulates abroad. The employee must also state where they will be staying and working and submit the information to the local police station. They will be granted a residence card for up to 2 years.

Minimum Wage

Minimum wage is 365 EUR per month.

Pension Fund

Employees contribute 20% of their wages which is withheld by the employer, with contribution ceiling of 5,066EUR per month.

Severance Payments

Employee who has been working in the company for more than 2 years is entitled to a severance pay. The amount is calculated by the number of years employee has been employed in the company. The minimum amount is one third of the average monthly salary earned during the last three months prior to termination. The severance pay can be maximum of six months average monthly salary.

Advance Notice

The length of advance notice varies from company to company depending on the initial agreement between the employer and employee.

Termination Procedure

Employer can terminate a fix term contract by giving the following reasons - business, personal or worker's’ misconduct. If it is an open ended agreement, employer can terminate the employee without a reason.

Sick Days

Employee is entitled to up to seven days of sick leave and then if necessary, it can be extended by collective agreements or employment rules. Employee can also receive unpaid leave.

Public Holidays

There are 14 public holidays.

Vacation Days

Employees are entitled to minimum of four weeks of paid leave after working in the company for six months.

Expat Benefits

It is common practice to offer expats benefits such as relocation cost coverage, accommodation reimbursements and language trainings. Benefits vary from company to company.

Social security

Contributions consist of pension contributions at a rate of 20% from the gross salary, and a health and employment contribution at the rate of 17.2% from the gross salary.


VAT is 25% standard rate.