ZAGREB, May 1, 2020 - President Zoran Milanović abruptly left the central commemoration of the 25th anniversary of the Flash Operation in protest against the salute "For the homeland ready" on T-shirts of some of war veterans who arrived in the town of Okučani on Friday morning to participate in the commemoration.
The salute concerned, which was used during the Ustasha regime in the Second World War, was also used by the HOS volunteers during the 1991-1995 Homeland War.
"I am sorry. I came here to pay tribute to those who gave their lives for Croatia. We had agreed about all elements of the protocol. However, one of the participants who was supposed to lay a wreath before me, appeared in the T-shirt with the message 'Ready for the Homeland'," Milanović said explaining why he had left abruptly the commemorative event and was not among the state officials during the wreath-laying ceremony.
Milanović considers the whole situation as an act of provocation. "I find that this was an act of trampling on the sacrifice and on the memory of this (liberating) operation., Milanović said.
"I will not participate in any commemoration in the future with such events. I understand the prime minister and the parliament speaker. They have to," Milanović said alluding to the fact that the commemoration was held as planned with the PM Andrej Plenković and Parliament Speaker Gordan Jandroković.
Operation Flash was launched on 1 May 1995, and within 31 hours Croatian military and police forces liberated about 500 square kilometres of territory occupied by Serb insurgents and restored control over the A3 motorway.
More politics news can be found in the dedicated section.
As Poslovni Dnevnik writes on the 1st of May, 2020, although the Croatian Government predicts a GDP decline of 9.4 percent, economists warn that a much larger decline is possible. Minister Tomislav Coric is also an economist by profession, and he spoke about these concerning figures on RTL Direct.
The worst-case scenario that Croatia can more or less count on if nothing is done is a 20 percent GDP drop in which Croatian society will lose 89 billion kuna. In that case, every citizen of Croatia would have an average of around 22,000 kuna less than last year.
Tomislav Coric first revealed whether or not he would bet that Croatia's GDP decline would be at 9, 15 or 20 percent. That is, how much this freezing of the economy and of the normality of life will actually cost us.
''I'm convinced that in the next eight months, the Croatian economy, with additional engagement and favourable circumstances in the context of the tourist season, can achieve a better result,'' Tomislav Coric said, adding that it was obvious that any fall in GDP means a loss of economic power for Croatia.
"That's a fact and we've been witnessing this ever since the pandemic began. That's why we came up with a set of measures. We have already done a lot to get the Croatian economy out of this situation. If circumstances turn out to be more favoruable after June, GDP will fall below nine percent,''
He did not say what plan B was in case things go sour, but simply said that he believe we can be more optimistic about 2021. Once again, however, he still danced around the question of what precisely plan B is in case the coronavirus pandemic returns in another wave this autumn.
"Plan B always exists. The economy always works, at a higher or lower level,'' Tomislav Coric said. Asked again what plan B was, he simply said: "If the economy were to be locked up again, a decline in GDP would reflect that," but once again failed to specify any of the details of this "plan B".
However, almost 14,000 people have been left without work in Croatia, their lives have been threatened and they need more than words from Tomislav Coric, but also from those in power.
"As far as people being out of work is concerned, what we will not experience as a result of this situation is an increase in employment. I believe that there will be no significant increase in unemployment. The measures we have put in place are there to make sure we don't end up with even more people ending up being out of work. In the US, 26 million people have lost their jobs,'' Tomislav Coric said, referring to citizens' desire for territorial, public administration and public sector reform.
"As far as public and civil service reforms are concerned, their employees are regular citizens just like all of us. Reducing the number of employees would mean leaving even more people unemployed. Next year will be the year to reflect on all of these reforms,'' he noted.
''At the government level, we're working to further reduce the budget. We don’t want to cut the branch we’re sitting on off. Most of the funds that we need are created from debt, and Finance Minister Zdravko Maric has gone in that direction. We'll certainly be able to borrow because we have a responsible policy,'' concluded Minister Tomislav Coric.
For more, follow our politics section.
ZAGREB, May 1, 2020. – The International Academy of Digital Arts & Sciences (IADAS) today announced the Nominees for The 24th Annual Webby Awards dubbed “Webbys From Home” by event organizers. Webby is internationally recognized as one of the most prestigious internet awards. Usually held in New York, due to the unfortunate current circumstances this year's final ceremony will be held as a “WFH: Webbys From Home” online event. “The Internet is our glue right now. It’s the most powerful tool for us to support and uplift one another, and it is no surprise that this year’s Nominees are the companies and people leading the charge”, said Claire Graves, Executive Director of The Webby Awards.
This year's final will be peculiar though, with the Croatian agency Human entering the realm of major digital players. Human is the finalist of this year’s Best practice category with its own humaninteraction.com website. The site is a different kind of beast. To say the least. Direct and informal language, lively photography and videography, even the traditionally yawn-inducing privacy policy (it sure induces no yawns in Human’s case) acquired the attention of the international IADAS jury, comprised of the world’s leading digital experts.
Best practices category is one of the toughest around as it in fact set the industry standard for innovation and advanced practices in website production. Entries have to excel in all six areas scrutinized by the jury: content, structure, navigation, visual design, interactivity, functionality, and overall experience. And so the Human website finds itself in the final, among the likes of Google and Dutch national air-carrier KLM.
Finals of other categories are comprised of many other renowned brands like HBO, NASA, Spotify, Saturday Night Live, BBC, Lego, UNICEF, as well as notable individuals: Leonardo DiCaprio, Idris Elba, Wiz Khalifa, Serena Williams and Tom Hanks, all of whom have in the eyes of the jury contributed to the development of the internet during the last 12 months.
Apart from the jury awards, all entrants are also participating in the Webby People’s Voice, and this is where you can help our Human. The voting is held online, via this link, and the polls are open until May 7th 2020. The winners of the 24th Webby Awards and Webby People’s Voice will be announced on May 27th.
Human agency is a household name in the regional digital scene. Their projects just keep on winning awards both regionally and internationally. Human has been producing digital solutions for the past 19 years now, and it’s been very good at it. The last accolade came two weeks ago for their own website humaninteraction.com that won the MIXX award for Croatia’s best website. It is an internationally accredited competition held as part of the 'Dani Komunikacija' event. This is the eight MIXX for Human now, out of a total of ten possible. Quite a record that says a lot about their expertise.
The winning formula relies on understanding the big picture, focusing on the end-user and project results. To sum it up, Human churns out products that make both clients and user go: “wow, this was cool”.
May 1, 2020 - Some of the most famous DJ names such as David Guetta and Paolo Barbato will be part of the 'Millennium - Sibenik 4 The World' event, which will be held in Sibenik on Friday.
Namely, Sibenik.in writes that from 10 am, an audio-visual postcard of the Croatian coastal city will be launched all over the world. Two drones will film the event from above, with features a music program ranging from traditional Dalmatian and Croatian songs, pop and rock music, to Studio 54 disco and today's best electronic music. Lasers will also enhance the program in the night hours, organizers say.
"Historic event where there will be no one. Bringing together the strength of our legacy and the millennia of interweaving energies of our beautiful fortresses, to redirect vibrations for a better tomorrow.
By installing speakers on fortresses and playing music, we want to give the city a bit of joy. The program begins with the traditional performance of the Klapa singers, continues with Disco music, which goes into Studio 54, and after all a team from the electronic scene joins us," reads the description of the Facebook event.
The 'stage' with the world's most iconic names will also be shared by locals such as Pero Fullhouse, Stipe Jazzy Sirinic, Mate Kokic, Edi the King, Petra/Zac the Sax and many others.
Following the recommendations of the National Civil Protection Headquarters, this 14-hour event will not gather visitors, but instead, the music is broadcast from small speakers and minimal volume, and everyone can adjust the volume themselves.
"The music and panorama will be available anywhere in the world. Thanks to social networks from the North to the South Pole. Everyone in a city can make it louder or not, but the most important thing is that through social networks they can link, publish, invite or share with anyone in the world to the event and promote their city. The music is designed to capture all musical tastes," concludes the organizers.
You can follow the event HERE
To read more about lifestyle in Croatia, follow TCN's dedicated page.
ZAGREB, May 1, 2020 - Croatia has made progress on the global scale of state budget transparency, and according to the survey for 2019, it ranked 21st place among 117 countries, the Institute for Public Finance (IJF) said on Thursday, pointing out that there was still a lot of room for improvement.
As the IJF announced in an analysis by Mihaela Bronić and Josip Franić, the International Budget Partnership (IBP), a non-profit organisation from Washington D.C., published on Wednesday the Budget Transparency Score for 2019, and Croatia scored 68 out of the possible 100 points, according to the Open Budget Survey (OBS).
Thus, Croatia finished 21st on the transparency scale among the total of 117 analysed countries, entering the group of countries where substantial Information is available about the central state's budget, it was stated in the press release.
Croatia has increased the availability of budget information by increasing the information provided in the Enacted Budget and Audit Report and by publishing the Pre-Budget Statement online in a timely manner, said the International Budget Partnership’s Open Budget Initiative on its website.
More economy news can be found in the Business section.
ZAGREB, May 1, 2020 - The Social Democratic Party (SDP) vice president Rajko Ostojić said on Thursday the SDP was ready for the forthcoming parliamentary election, adding that it would run in a coalition with the Peasant Party (HSS), the Pensioners' Party (HSU) and the Party of People's and Civic Activism (SNAGA).
"The SDP is ready for the election, In January and February we travelled through half of the country with our programme, The SDP has its programme, its team and its coalition," Ostojić told the press after a session of the party presidency.
He said the party presidency had unanimously supported the coalition with the HSS, the HSU and SNAGA, adding that the coalition agreement would be signed Monday.
Asked to comment on HSS leader Krešo Beljak's statement that the HSS had not ruled out the possibility of running alone in the election, Ostojić said Beljak would be at the signing on Monday.
SDP presidency member and Croatian MEP Biljana Borzan said European countries had postponed elections indefinitely as they believed it was too risky to hold them during the present pandemic.
Ostojić also said that next week the SDP would send to parliament a bill against corona profiteering, adding that the ruling Croatian Democratic Union (HDZ) was always leaving the same three things behind - isolation, recession and depression.
More SDP news can be found in the Politics section.
ZAGREB, May 1, 2020 - The three biggest trade unions in the INA oil group have asked Prime Minister Andrej Plenković to get INA owners - the government and the Hungarian oil company MOL - to give up the payment of the dividend for 2019.
The also urged the government to consider the possibility of including INA and its companies in a set of measures aimed at preserving jobs.
"The financial reports clearly show the gravity of the consequences of the economic crisis and its effects on the INA Group, jeopardising more than 9,000 jobs," one of the unions said in a press release.
Another union said that the proposal to cover INA with the government measures that already benefited 84,000 employers was reasonable.
The unions demand the preservation of jobs, investments and economic activity.
The INA Group generated HRK 3.95 billion from sales in the first quarter of 2020, which was down by 7% in comparison to the corresponding period of 2019, this leading oil and gas company stated on Thursday.
Furthermore, the company's financial statement shows that INA had a net loss of HRK 798 million in Q1 2020 as against a profit in the same period in 2019.
"Operations of INA, d.d. in Q1 2020 have witnessed unprecedented market dynamics, particularly at the end of the quarter. The outbreak of the COVID-19 pandemic coupled with the disagreement within OPEC+ have led to a parallel supply and demand shock on global oil markets leading to a massive drop in oil & gas prices," reads a press release on INA's web site.
Additionally, INA experienced a cyber-attack which created operational challenges but core operations and market supply were not interrupted and the business continuity was ensured, said INA.
INA, d.d. revenues recorded a 6% decrease in line with the mentioned market conditions while the reported result turned negative and amounted HRK 531 million, primarily due to inventory revaluation driven by external environment.
"Exploration and Production EBITDA excluding special items decreased by 22% to HRK 419 million mainly caused by 11% lower realized hydrocarbon price and the natural decline in hydrocarbon production, primarily Croatian natural gas volumes."
Refining and Marketing including Consumer Services and Retail EBITDA excluding special items, hit by external drivers, was negative in the amount of HRK (978) million. Consumer Services sale quantities were only down by 4% in Q1, as the biggest drop in demand occurred at the end of the reporting period.
CAPEX was significantly lower in Q1 2020 compared to Q1 2019 due to the high base effect, as a major turnaround in the Rijeka refinery in 2019 boosted investments last year, INA said in the statement.
More news about INA can be found in the Business section.
May 1, 2020 - SSBM Geneva took some time to interview a lecturer Aco Momcilovic, the owner of FutureHR about dealing with COVID-19 from an HRM perspective.
First of all, we would like to ask you, in general, how does COVID-19 affect the overall organization and its employees?
The first reactions were not that surprising. At first, shock, then denial, and finally anger. I think that some employees are already in the depression phase and some are rather in denial. On the organizational level, we will see how resilient some organizations are and how their management is prepared and willing to make swift changes. What some surveys discovered is that a significant proportion of companies is not able to survive the crisis that will last for more than 3 months. Similar answers are on the individual level. Employees are having reserves for only a few months. Collected data from the US and the UK show that these negative consequences are particularly harsher for younger workers, those with unstable employment relationships, and lower labor income.
How to maintain regular communication with the employees and ensure productivity/performance?
There is a clear division of companies and professions that can work from home and those who cannot. Therefore, some of them made the transition more easily, and then there are those who are forced to digitally transform in a short period of time. Thus, there was a joke that COVID-19 is the best Digital Transformation manager. However, a lot of companies are unable to respond in the short-term and therefore result in blockage. If we talk about those who are still working, the rise in the use of virtual meeting tools is significant. In some cases, we can even witness more productivity due to the higher focus and performance of the employees. While in some occupations a high share of tasks can be done from home (e.g. business and financial operations), this is not the case in other occupations (e.g. food preparation and serving). Also, individuals with a higher annual earnings report are able to do a much higher proportion of their tasks from home. They are also more likely to report that they have already switched to working from home over the past few weeks.
From an HRM perspective, how do you recommend companies manage employee absence?
If employees are unable to work because of the lockdown or other pandemic measures, the first priority of the management is to reduce the fixed costs. Hence, to negotiate with their stakeholders to postpone everything that could influence cash flows dramatically. As we witnessed in the USA, a large number of people got fired – they are now at more than 20 million unemployed people. However, the real challenge will be to hire those people again when and if this crisis will be over. This is the time when we will differentiate ethical and moral companies that really consider their employees as the most important asset of their company and those who do not. For example, medical insurance will be an important topic – the decision not to show up at work when feeling ill is particularly difficult for a person without paid sick leave and little savings to fall back on. For instance, in the UK more than half of the workers in ‘Personal Care and Services’ have no paid sick leave despite working in close proximity to others. Maybe this is the time to rethink some of the benefits for the employees.
What are some ways to ensure employee support during the COVID-19 crisis?
One thing is for sure, clear and transparent communication. In this uncertain time, people value strong leadership. So even if you have to deliver bad news, there are certain ways to do it properly. If there is motivation, there are many measures that can be implemented and through which the company can show flexibility and care about their employees. From flexible working hours, work from home, short time salary deduction to keeping the working places, upskilling employees, etc. Another important thing is to reduce policies and adjust guidelines. Employers should be empathetic, understanding, and flexible as workers try to navigate the unexpected changes to their lives. In the mid-term phase, employers should mitigate risk and educate their employees – for example, they should refrain from forcing employees from traveling to countries with a higher risk of infection.
How do you think that the workforce will adapt to the changes brought on by COVID-19?
This one is not that easy to predict. Some trends will for sure happen faster. Cards will be dealt with again, and some positions will emerge as a new essential role. First, there will be a change in consumer behavior, and as consequence companies and their strategies and products and services will adapt and transfer those changes to the employees. Some positions will be inevitably lost, but we should focus on the new and creative ways of doing business, so we can create new chances for the employees in the new economy. The need for constant education and improvement will be stronger than ever. Those who have the habit of learning will be a significant advantage. We can expect a permanently flexible future – there will be a significant, permanent, transition to a more remote workplace—even when COVID-19 clears, this new normal will be sustained by fears of the next pandemic. Polarization of work-life balance will happen – while working from home is both convenient and comfortable, it can be difficult for professionals to separate home and work life. Work will become more agile – as teams become more separate with remote work, many will begin collaborating with other employees, especially since online collaboration tools make connections easier.
What is your perspective on employees working remotely during the COVID-19?
We can only be thankful that these opportunities already exist. Laws regarding that will be changed fast and it is great to see that the number of professions is at least for the time being, transferring to remote/ online way of working. So, we have psychotherapists talking to their patients, doctors doing basic examinations, and teachers working with their students, all done remotely. Also, there is a sustainability angle – remote work takes the mental and physical stress out of going into an office, but it also has a significant impact on the environment, which people will begin to take note of. For example, there would be a 20% reduction in energy consumption by reducing the in-office work week down to four days. The majority (88%) of organizations now either encourage or require employees to work from home, whether or not they have shown coronavirus-related symptoms, according to Gartner research released on March 19, 2020.
Any recommendations from an HRM perspective? How do you think that COVID-19 will affect the employees/organization? What do you think will change in the organization or perhaps be implemented?
First of all, HRM should get involved in cash flow predictions. The second basic thing in which I was consulting some companies is to do the list of a key employees and succession plans. In this time of distress, many decisions are done in a hurry and are not optimal. Those simple procedures will enable any manager to do what is necessary, but with the long term vision. Depending on the severity of the problem, it will be critical to recognize and keep key performers in the company. If that does not happen, there is no amount of money or state subsidy that will save the company. And corporate culture shifts will be inevitable, as M. Beer said in a Harvard Business Review interview: “The coronavirus challenge, like any crisis, provides senior management a huge opportunity to develop a trust-based culture rapidly or, conversely, if not handled with an organization-wide honest conversation, to undermine their ability to develop a trust-based culture for years to come”.
May 1, 2020 - Beware the Croatian inspector - a new series courtesy of Glas Poduzetnika (Voice of Entrepreneurs), highlighting a Croatian business reality that helps kill growth, profit, and entrepreneurship. Contract With Myself.
I have seen them operating all over the country over the last 18 years, the most feared visitors to Croatia's cafes, restaurants, and other businesses - the Croatian inspector.
As with many corrupt countries, the role of the inspector should be to make sure that the rules are being adhered to in the particular area they specialise in - sanitary, fiscal, etc - but in reality, the prime motivation is to find ways to fill the State coffers and their own. Allegedly.
I heard SO many stories of inspections where perfectly run businesses end up paying thousands in fines, some of it justified, much of it grossly unfair. And there is an old truism here:
If the Croatian inspector comes to visit, he will find something, even if there is nothing there.
It is a subject that I have wanted to cover for years, but I never had quite the right material. Until now.
Huge thanks to those very proactive chaps at Glas Poduzetnika, who are really becoming a force for change to be reckoned with. A really great initiative. In one of their latest moves, they have been collecting some of their members' experiences with the Croatian inspector, to highlight the issue and the realities of doing business in Beautiful Croatia.
Story #6: Contract With Myself
In 2014 we had two directors in the company, and we had registered under the same OIB (PIN) the passenger transport and the tourist agency. My colleague had the certificate for the head of a travel agency, and I for the transport manager. Through the agency, we received an order for transport operations. I was doing the transport myself because the company had just started to work. I was stopped at Split airport by an inspector who was known to be corrupt, and against whom legal procedures had already been initiated several times. Still, each time it ended up with him being removed from the public for several months until things settled down, and then he continued his usual business. Articles in the media about his autocracy go back to the 90s. I had all the documents in order. After all, he asked me for an agreement that I had to sign with the Agency.
I do not have such an agreement, because we did not consider it necessary to draw up a contract that has the name of the Agency on both the left and right, under the contracting agency and performer. He issued a violation order of 30,000.00 kn because "it doesn't matter that the contract is signed with oneself, the law says that there must be a contract." (Once again, all other documentation was on point.) I started a discussion with him, which lasted for an hour, and he asks for the bribe. I'm not giving anything to him.
Moreover, I tell him, and I quote, "When you catch me in violation, I will pay whatever is necessary, but as long as I am legal, I will not give you anything but a kick in the a..." This was my cardinal mistake, which will be confirmed in the next few years. But even today, I don't regret it, and I would do the same again. Summary from the court: the judge confirms that the situation is banal and that it is pointless to sign a contract with oneself, but gives for the right to the inspector, because, nevertheless, "it doesn't matter that the contract is signed with oneself, the law says that there must be a contract." The company got fined by a minor fine and myself, as the responsible person. The total fine was 9,000 kn with a 1/3 reduction if paid in the next 8 days. Unfortunately, I paid.
Beware the Croatian Inspector is a new daily series (yes, there really is that much material) which you can follow here.
If you have a Croatian inspector story you would like to share with the Glas Poduzetnika team (in English or Croatian), you can do so via This email address is being protected from spambots. You need JavaScript enabled to view it. Subject TCN inspector.
You can follow the 55,000+ others on the Glas Poduzetnika Facebook page.
May 1, 2020 - Labor Day, better known among Croats as Prvi Maj, is the main reason you'll organize a barbecue with friends or family. Will it be the same in the time of the coronavirus?
Members of the Civil Protection Headquarters have approved barbecues, but physical distance should be respected. "Within a family, it is normal to socialize. However, more people cannot gather because the provision of five people is still valid to the maximum," Capak said for RTL Television.
A small poll conducted on Facebook with the question "How will you spend Labor Day this year?" collected 175 answers (6 of them were empty). 169 is not a large number but leaves enough room to think.
Out of 169 people, 16 people won't respect physical distance. Some of them will be in a group of two, five, six, or ten people. They commented they hadn't seen their friends in a while due to the coronavirus, so Prvi maj is the perfect chance to spend time with them. For some of them, a barbecue is a must-have; for others, this is a day like every other in quarantine, so why not enjoy it with friends.
Out of the remaining 153 people, eight will go to work. Some of them because they have to, one of them because, "I love my job, so I don't see any reason not to enjoy it."
One man who filled out the poll wrote that he works with people with special needs. On Thursday, a day before Prvi maj, he was working a night shift. He wrote: "They hear, know, feel that something is not okay. This affects their life, but they don't understand why. It's like a riddle for them - why should they be in some "punishment", that is, quarantine? One more thing would bother them: if they got pocket money, why aren't they allowed to go to the store and buy themselves a bag of chips? I struggle to explain everything to them in a way they will understand, but I don't know how to do that.
Maybe this isn't an answer you needed, but this is mine for Prvi maj."
Finally, 145 people will respect the social distance and other precautions. Although the coronavirus wasn't mentioned in the question, a lot of people wrote they will be at home with their family, because the virus is still here. A few of them even wrote #stayhome. A lot of people see this day as a chance to gather the family around the table with a delicious meal - although some of them will be riding bikes with their family because that makes more sense for them than a barbecue.
All in all, 153 people out of 169 will be responsible and won't endanger others. For the rest of them who will be enjoying the day with their friends, we hope they can avoid the coronavirus. In some parts of Croatia, it's currently raining. Maybe this will make people stay at home?
To read more about lifestyle in Croatia, follow TCN's dedicated page.