January the 25th, 2022 - It might seem like we're far from the sweltering heat of summer and an influx of tourists at the moment, thanks to the temperatures and the weather, but the Croatian 2022 season will be here before we know it. As many as 35,000 staff are required and apparently are struggling to be found, leading some facilities such as hotels to perhaps not even bother opening their doors this summer.
As Novi list/Alenka Juricic Bukarica writes, there will be an estimated shortage of between 30,000 and 35,000 tourism employees for the Croatian 2022 season. The problem of labour shortages escalated last year when some hotels, and not only those of lower category, didn't bother to open their doors during the main summer season because there were no employees who would work the season to be found.
The tourism sector therefore calculated that around 800 million kuna more revenue could have been generated if they had been able to hire labour under more relaxed conditions.
Most of the Croatian tourism sector, with the exception of, for example, travel agencies, no longer have job preservation measures introduced in 2020 available for their employees, which is why the sector launched a series of proposals back in early autumn, immediately after the season, to alleviate the problem of staff shortages and to further facilitate employment. The sector also expects the labour market test obligation to be scrapped.
The problem of waiting for work permits for third country nationals
The 2021 Croatian census showed a sharp decline in the number of inhabitants of the country, and thus the working population, and in the conditions of the pandemic, the trend of local workers going abroad increased, meaning that the already insufficient pool of domestic labour was further emptied. As expected, the Croatian 2022 season will come with great demand for staff from other, mostly neighbouring non-EEA/EU countries, but also the Philippines, India and Ukraine.
Last year, when it came to hiring foreigners, employers ended up having to wait for several weeks to get valid work permits for their staff to that they could work legally, and waiting for even one month during the height of the busy tourist season is unrealistic.
According to the Croatian Employment Service (CES), two thousand and 463 waiters, two thousand and 101 chefs and 689 maids were registered at the bureau at the end of December. According to the same institution, a total of 235,219 workers were wanted for last year's season, of which 27,792 were seasonal workers.
Out of a total of 27,792 sought-after seasonal workers, most were in Istria, Split-Dalmatia, Primorje-Gorski Kotar and Dubrovnik-Neretva counties. When it comes to labour market tests, in 2021 - 28,838 workers were in demand. Thus, work permits were issued to more than 2,000 cleaners from abroad, about 1,700 foreign waiters, 1,300 assistant cooks, about 1,200 cooks, and about 700 hotel maids.
The highest number of requests for the labour market test was received by the Zagreb Regional Office, amount to around 8,500, while Pula is in second place with about 6,800 such requests, and Rijeka is in third place with about 5,400 requests. It's worth mentioning that back during the record-breaking year of pre-pandemic 2019, about 20,000 seasonal workers from abroad were employed in the Croatian tourism sector.
Crisis reactions
Commenting on the situation with staff in tourism last year and this year, Marina Cvitic, the president of the Trade Union of Istria, Kvarner and Dalmatia (SIKD), pointed out that in tourism, it is more than necessary to specifically increase salaries, all the more so given the situation with inflation.
''This was the biggest mistake employers in tourism made at a time when there were staff to be hired. There were enough of them, and the employers had enough money and they could have financially increased the salaries of their employees. Now they have less money, and they give bigger increases than when they did have money. But, unfortunately, there are no staff now. It's a vicious circle. Now, salaries should be increased by at least 50 percent in order to get people to come back,'' she warned.
She added that today anyone who is healthy can find a job. It might not be a quality job, but it will be enough to get by. People don't leave Croatia because there is no work, but above all to find better jobs and more stability. Last year, she said, the staffing situation became very difficult.
''On the one hand, I understand why it was how it was. Employers couldn't plan in time because the pre-season was marked by lockdowns, and until the very beginning of summer, it was practically unknown whether there would be a tourist season at all. Then in June everything started again rather abruptly, and of course all those who weren't invited to come here to work until June, had been looking for a livelihood elsewhere. A large number of workers who would otherwise have decided to work in Croatian tourism went and did other things, usually being engaged in the construction or trade sectors. Wages in these industries increased, so tourism offered low incomes in relation to them. Therefore, without a concrete increase in salaries, I'm afraid that there will be no progress for the Croatian 2022 season and that part of the facilities will remain closed once again due to lack of staff,'' said Cvitic, adding that now is the time to negotiate the price of labour for the upcoming tourist season.
This time last year, the negotiation was to reduce, not increase wages, because there was no need for workers. During the season, through non-taxable awards and other things, they tried to compensate for that.
As for foreign workers, Cvitic revealed, they were really from everywhere, from Nepal, Brazil, Argentina, India, to the Philippines to Ukraine.
''From those countries where it is worse than it is in this country, things are easier, on top of that, Croatia is actually just a stop on their way to Western European countries. The problem is that this type of employee, when in contact with the guest, cannot provide the service that a person who lives here and who is representing this country can do. Croatian are known for their quality and professionalism, and unfortunately we're in a situation in which we educate quality staff, invest in their education and practice, and then those people go to work elsewhere. This is clearly indicated by the latest census data. Personally, I expected that there would be no decline in Istria, precisely because of the progress in tourism, however, the peninsula didn't remain immune to this negative trend,'' concluded Cvitic.
LRH: We are raising the standard for employees
Liburnia Riviera Hotels (LRH) also touched on the Croatian 2022 season staffing issues, said that this year, they will need about 600 additional employees.
''We always need waiters, cooks, receptionists, maids... We'll also need additional strength in other areas. On a smaller scale, we'll also hire staff for some specific positions such as lifeguards, gardeners or handymen, as well as people to come and work in administration. The search for new human resources has already begun. We believe that it is very important to start the search in time to find the best employees, especially given the poor market situation,'' they said.
Initial talks with potential future employees for the Croatian 2022 season, as well as negotiations with some key partners in the recruitment process (employment agencies) began late last season, they said from LRH, adding that they offer employees competitive market conditions with adequate accommodation and food, as well as working continuously and intensively to improve overall working conditions and raise standards in all aspects of employee relations.
Jadran/Adriatic: Scholarships and a stable job
''Considering the situation on the labour market, primarily starting from the ambitious plans for next year, activities related to the labour force haven't stopped for this company.
As of September the 1st last year, a total of 46 employees received indefinite contracts, and some of them had their contracts extended for another year, meaning that Jadran now has 165 full-time employees, an increase of 12 percent compared to the same period back in 2019,'' said Lucija Jukic, the director of sales and marketing of Jadran Crikvenica.
She added that, in addition to continuously advertising the need for labour force and cooperation with the CES, Jadran will also perform at the upcoming virtual job fair Sezonac.hr.
In agreement with the High School in Crikvenica, the Faculty of Hospitality and Tourism in Ika and the PAR Business School in Rijeka, Jadran applied to the programme of the Ministry of Tourism and Sport for scholarships for students studying for tourism professions for which employment approval has been obtained, adding nine new scholarship recipients into the mix.
''Unfortunately, due to technical difficulties, we had to abandon the planned, year-round operation of the Boutique Hotel Esplanade, which was to become a centre of excellence, but we're glad to announce the opening of Hotel Lisanj, which will begin working on February the 11th and will not close until the end of the year. Jadran will also employ another 450 seasonal workers during the Croatian 2022 season,'' concluded Jukic.
Valamar: Permanent job and awards
The largest tourist company in Croatia, Valamar Riviera, says that this year, according to the plan, about 7,000 employees from Istria to Dubrovnik will work in their facilities.
''An additional advantage of working at Valamar is the possibility of working in our hotels in Austria during the winter months. After their first season working here, employees can enter the permanent season and have a seasonal job, with year-round income. Last autumn, Valamar started with the selection and employment for the Croatian 2022 season within the Good Job at Valamar programme and invited all those interested in developing a career in tourism to apply for a job with us.
During the COVID-19 crisis, Valamar, with the support of social partners and government measures, preserved all jobs through the Pause, Restart programme, which last year enabled the realisation of a solid tourist season, and we're already intensively preparing for the season ahead. At Valamar, we offer the best working conditions and have been recognised as a top employer in tourism for many years now. We expect to fill most of the job positions this year with employees from Croatia, and we're satisfied with the interest of candidates from the immediate region,'' said Valamar.
When asked what conditions they offer, they stated that last year, they hired 400 employees for an indefinite period of time, and paid the highest awards for the season, awards for excellence and a 13th salary and Christmas bonus.
For more on how companies are preparing for the Croatian 2022 season, check out our business section.
