Monday, 14 March 2022

Šuica: With Present Trends, EU Will Represent Only 4% of World Population

14 March 2022 - If the present demographic trend continues, the share of Europeans in the world will fall from the present six per cent to four per cent, European Commission Vice-President for Demography Dubravka Šuica told Hina in Strasbourg where she attended a conference on the future of Europe in the European Parliament this weekend.

"If the present trend of our births and deaths continues, Europe will represent only four per cent of the world population, which is worrying," Šuica said, noting that specific measures for demographic renewal fall within the competence of member states.

Although she mostly deals with young people, and 2022 has been declared the European Year of Youth, Šuica said that the focus should be not only on young people, given that life expectancy is increasing.

"We need the knowledge of older people, their expertise and wisdom, and we should foster intergenerational solidarity," she said.

By 2070, average life expectancy at birth will be 90 years for women, up from the present 83.7 years, and 86 years for men, compared with the present 78.2 years, Šuica said in a report on the basis of which the Green Paper on Ageing was drawn up.

In 2070, 30 per cent of the European population will be older than 65 years, compared to 20 per cent in 2019, and 13 per cent will be older than 80, up from the present six per cent.

Šuica said that 80 per cent of European territory was covered by rural areas, where only a third of the European population live, which is similar to the situation in Croatia. She said that the smart use of regional funds and cohesion policy could improve Europeans' quality of life.

Šuica said that rural areas provide huge potential for children and young people, but unfortunately they often lack adequate services, health care, kindergartens and infrastructure. "Above all, there is no broadband internet, which has become a precondition for job creation. It is no longer a question of where you live, but are you well connected," she concluded.

Tuesday, 25 January 2022

Croatia's Exodus: What Some Cities in Croatia are Offering Young Families to Stay

January 25, 2022 - When the results of the 2021 Census were revealed on 14 January 2022, reactions were swift and varied. For the first time in over 70 years, Croatia’s population dipped below 4 million to hover around 3.88 million inhabitants (DZS). Since gaining independence in 1991, Croatia has been an exodus of almost 19% of its population, or 895,736 residents.

A closer look at the data reflects the greatest outflow of inhabitants are between the ages of 20-59, drawn to other European countries with richer labor markets and higher wages. This decline is exacerbated by lower birth rates and an aging population. Croatian women now have fewer children, with a birth rate of 1.44 children per woman, well below the 2.1 needed to grow the country’s population. Simultaneously, Croatia has also experienced a 13.6% increase in inhabitants aged 60 and up over the last decade.

To counter these effects, cities across Croatia have implemented a range of social and economic measures to entice citizens, particularly the younger generation, to stay and thrive. We take a look at a handful of cities across Croatia and the benefits they offer.

Zagreb

Over a quarter of Croatians live and work in Zagreb. Since 2009, the City of Zagreb has introduced a series of measures to make the city more attractive for its inhabitants. According to their model (“zagrebački model pronatalitetne politike”), parents receive financial support for newborns amounting to 3,500 kuna for every child. From the third child onwards, an additional monthly bonus is paid until the child turns 6 years old, amounting to a total of 54,000 kuna.

After-school care is subsidized and scholarships are awarded for gifted students and those of lower socio-economic backgrounds. All students up to a secondary school level are also provided free transportation and textbooks. The city is also looking to further extend these measures to include tax breaks for teachers and scholarships holders. Together, they cost the city approximately 1.072 billion kuna annually.

Rijeka

According to recent headlines, the City of Rijeka is increasing efforts to boost its population. Karla Mušković, the head of the city Department of Health and Social Welfare, said the City is doubling financial support to new parents by awarding them 3,000 kuna for the first child, 4,000 kuna for the second and, for the third child onwards, 6,000 kuna.

An additional 2,000 kuna in vouchers will be awarded to low-income families, single parents, as well as parents suffering from disabilities from the Homeland War. Students and children of veterans missing, detained or perished will also receive a one-off payment of 1,000 kunas in financial aid. The city has also set aside 12 million kunas in this year’s budget to subsidize rising electricity costs for the vulnerable. The total cost for these extended measures is 22 million kuna.

While generous, how do these measures stack up with smaller cities across Croatia?

Vis

Surprisingly, Vis offers one of the most generous policies in Croatia. As of 2016, Vis provides a bonus of 10,000 kuna for the first 2 children. From the third child onwards, parents are given a hefty 146,000 kuna. This is broken down to an upfront sum of 20,000 kuna, with a monthly annuity of 1,200 kuna until the child reaches 10 years old.

Novi Vinodolski

First-time parents are given a sum of 10,000 kuna per child. Additionally, the city also plans for additional subsidies to young families for repayment of housing loans, given the inflation of housing prices due to tourism.

Crikvenica

For Crikvenica, parents with 3 or more children receive 30,000 kuna per child. Mayor Damir Rukavina’s government also enacted a series of measures to combat rising housing costs. In 2007 and 2019, building restrictions were passed to limit construction zones and building plot sizes within the city.

Vukovar

The City of Vukovar rewards 1,000 kuna for the first child, 2,000 kuna for the second child, and 5,000 kuna for the third and each subsequent child. On top of this, Vukovar also co-finances housing costs for families with three or more children, subsidizing bills for water, electricity, heating and waste collection.

Imotski

In 2019, the City of Imotski increased the financial aid for newborns ten-fold. As of 2019, parents will now receive 10,000 kuna for the first child, 20,000 kuna for the second, and 50,000 kuna for the third and subsequent child. These measures make up almost 1.25 million kuna in the annual budget.

While government measures are certainly helpful to alleviate this situation, private businesses can also play a significant role. For example, DM has rolled out significant incentives to ensure their employees thrive in the workplace. In 2019, they increased the bonus given to new parents from 3,000 kuna per child, to 10,000 kuna, while new parents are encouraged to make use of their flexible shift system to ensure proper work-life balance.

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Sunday, 24 October 2021

Experts at Catholic Social Week Warn About Croatia’s Demographic Crisis

ZAGREB, 24 Oct, 2021- The Sixth Croatian Social Week, which was organised by the Catholic Church in the country, on Saturday adopted a declaration which underscores that Croatia is in a deep demographic crisis and calls on the authorities to take measures to halt negative trends.

The declaration, adopted at the end of the event that brought together about 200 participants, warns about a demographic failure in Croatia due to the intensive decrease in the number of newborns and demographic ageing.

The document says that the country lacks a long-term strategy and a supra-party policy to address the issue.

The declaration recommends that the population strategies should encompass pro-natalist and moderate migration policies.

The participants in the event concluded that in the future Croatia would have to cope to a greater extent with the issues regarding migrations.

They also call for more attention to be paid to expats coming back to Croatia.

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Tuesday, 2 March 2021

Will Lower Income Tax Rates Really Attract Croatian Emigrants Home?

March the 2nd, 2021 - Croatia has lowered its income tax rate and there are hopes that the move might attract a few Croatian emigrants home from Ireland. Just how realistic is such a hope? To some - it's even laughable.

As Novac/Ivan Zilic writes, there are fewer and fewer people in Croatia. According to demographers' estimates, up to 10 percent fewer people can be expected in the new census than in the 2011 census, a dramatic drop for an already very small country. If, by any chance, we lost 10 percent of Croatian territory in 10 years, and not 10 percent of the people, the alarm would likely have been louder, but in Croatia, land has a price, but people don't.

At the same time, even from a narrow-minded economic perspective, people are the most valuable resource any country has. Without people there is nobody to create, produce, spend, fill the budget, pay pensions, without people there can be no economy. This is something that has placed such a spotlight on Croatian emigrants as the country's demographic picture worsens.

Although demographic decline is a deeply layered problem, one of the important factors of Croatian depopulation is emigration, especially after the country joined the European Union back in 2013, when whole families headed off abroad in search of a better life. According to official data, in the seven years since joining the European Union, over 100,000 more people emigrated from Croatia than immigrated to it, but that number is actually higher, because official statistics fail to fully cover the scale of emigration.

Youth unemployment

Often when analysing the causes of migration, economists talk about the factors that encourage migration from a person's home country and the factors that attract migration to their destination country (push and pull factors). Analysing the causes of migration, the European Parliament's report Exploring migration causes - why people migrate, lists three basic groups of push and pull factors - socio-political, demographic-economic and environmental.

In the case of Croatian emigrants, these factors are often reduced down to the labour market, which gives migration an economic connotation. Indeed, looking only at the basic indicators of employment opportunities in Croatia and the countries to which Croats have emigrated in the last decade - Germany, Austria and Ireland - it's clear how unattractive Croatian economic optics are. For example, according to Eurostat data for 2019, the average annual net income in Germany, Austria and Ireland is more than three times higher than it is in Croatia, while youth unemployment (15-24 years) in Croatia is almost three times higher than in the aforementioned countries.

In addition to the labour market, a poor political economy also contributes to Croatian emigrants making the decision to jump ship. According to the Corruption Perceptions Index, Croatia is at the very bottom of the European Union, while when it comes to the Democracy Index, calculated by The Economist, the country has been falling in recent years. But perhaps the most important indicator of the poor state of the political economy and the general lack of perspective are the results of the Life in Transition survey, conducted by the European Bank for Reconstruction and Development. The results suggest that people in Croatia, but also in the entire former Yugoslavia, have record low beliefs that a decent life can be achieved through hard work and effort, and that political ties are a much more important factor.

Economic migration

It should be borne in mind that in the survey, Croatia is compared with post-transition countries and yet it still ranks low. By joining the European Union, the powers that be thought Croatia would become more powerful economically, but nobody counted on young, working age people going off to Ireland and Germany far more easily. They instead thought that Croatia would instead become as developed as Ireland and Germany. Not so.

Croatia's institutional and economic convergence with the European Union is a slow process, so emigration should be seen as a democratic act of "voting by foot". However, the emigration wave after Croatia's accession to the EU is a given situation. People who have left live in better and more responsible systems, and their return can be an opportunity to create the potential for social and economic change. Observing emigration to the Western Balkans, Ivlevs and King in their 2017 paper conclude that people who have a family member who emigrated have a lower propensity for corruption, and that emigration often causes the transfer of cultural norms from the place of emigration to the home country.

Additionally, there is evidence that the human capital that people acquire in migration in the event of return can have a positive impact on the economy. In a 2017 paper, Bahar and his co-workers looked at where refugees from the wars in the former Yugoslavia worked in Germany, and conclude that when these same people return to their countries, the sectors in which they worked begin to export more. Although the episode of war migration is different from the economic migration we're currently witnessing, some patterns can be revealed - people who have gone to more developed countries carry considerable human, financial and social capital, and an attempt should be made to bring them back.

Political will

Will many Croatian emigrants happily jump on a plane and return home from Ireland just because of a slightly lower income tax rate? In order to significantly eliminate the initial pressure on people to emigrate, Croatia needs to converge institutionally and economically with the European Union, and this requires more fundamental changes than changes in tax rates. We need to tackle the problems. Otherwise, existing worrying emigration and demographic trends will continue, and each new census will only bring worse news.

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Sunday, 31 January 2021

Much Anticipated 2021 Croatian Census Now Postponed Indefinitely?

January 31, 2021 – Long in preparation and last undertaken way back in 2011, media reports that the much anticipated 2021 Croatian census may now be postponed indefinitely

Preparations for the 2021 Croatian census have been long in the making. Plans have been ongoing since 2016. The last census was undertaken back in 2011 and the population has been impacted by both immigration and emigration since then. But, nobody is exactly sure by how much. This information was just some of the vital data people had hoped would be delivered by the 2021 Croatian census. But, now that may not happen. Some Croatian media is now saying the Croatian census has been postponed indefinitely.

Just one month ago the director of the Central Bureau of Statistics, Lidija Brković, said before the Parliamentary Committee for Local Self-Government that all preparations were being carried out with a view to the Croatian census taking place as scheduled. In an interview with N1 at the beginning of December, Boris Milosevic, Croatia's deputy prime minister (in whose department the Croatian census lies), also said the same.

But the census will not begin as planned on 1st April 2. N1 is currently reporting that it has been postponed indefinitely.

The coordinator for the census in the Central Bureau of Statistics, Damir Plesac, said that the main reason is the coronavirus. The Central Bureau of Statistics does not yet know for how long the Croatian census will be postponed because, as Plesac says, it will depend on epidemiological measures and the decision of the government and parliament, which must change the Census Act.

Croatian media ascertain from his answers that the census might not be expected to be completed before June 2021. To the question “is it weeks or months of delay?” Mr Plesac answered that it would be months.

Most of the Croatian census will therefore be moved until after the local elections in May. In their coverage of the census's indefinite postponement, the national portal Index reminds that some campaigning taking place in the run-up to these elections is focussing heavily on the numerical and demographical information that the Croatian census would provide.

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Wednesday, 3 July 2019

Montenegro Terrified of ''Croatian Situation'' and Lack of Workers

There are several burning Croatian economic issues, shaped primarily by a lack of qualified workforce and an increasingly bleak demographic picture, is causing concern for its immediate neighbours, most of which aren't members of the EU and therefore don't adhere to one of the EU's four fundamental freedoms of access to the single market - the free movement of labour.

Despite not being EU members, countries like Montenegro are beginning to bite their nails in fear of Croatia's dire situation leaking over into their country.

As Poslovni Dnevnik writes on the 2nd of July, 2019, concerned employers warn that even Croatia's neighbour to the south, Montenegro, will not remain immune to the outflow of labour that is negatively affecting the countries of the region and is continuing to spread, and the consequences of such a problem, being dubbed the ''Croatian situation'', are already being felt in Montenegro, regardless of the fact that this Southeastern European country is nowhere near anything like European Union membership.

The Employers' Union of Montenegro have stated that they believe the worst is yet to come for their country, which will likely be harder hit than Croatia.

''It's currently difficult to assess the impact of emigration as well as the serious threat of the aging of our population on economic development, as we don't have any official data. At the Employers' Union of Montenegro (UPCG), we believe that the outflow of workers, if we continue on at this pace, will be devastating for the Montenegrin labour market, especially given the fact that Montenegro has been struggling for years with a lack of adequate workforce and is replacing it by employing foreign workers, mainly with workers from other countries of the region, which is now turning to the European market and Croatia as the closest EU member state,'' the employers' association warned.

Just a few years ago, Croatia only allowed a few thousand foreigners to be hired by Croatian companies, and there has been an increase in this number to 65,100 (non EU nationals) this year.

In addition to the introduction of this particular measure, Croatia has also adopted a model for Croatian seasonal workers which enables things like insurance to be ensured throughout the year, beyond the summer tourist season, in which the work of seasonal employees takes place. All this is done in attempt to make sure Croatia's economic growth doesn't slow down and as such reduce the competitiveness of the Croatian economy, nor deal yet another negative blow to Croatia's demographic movements on the state's resources, the aforementioned Montenegrin association states.

''With the additional announcement of the opening up of the labour markets of certain European countries, the shortage of workers will soon become a key issue for the Montenegrin economy - not only in the field of hospitality, tourism and construction, but also many other areas, such as in healthcare, where we've witnessed the significant outflow of those who work in healthcare, which is perhaps the most sensitive issue for all of us.

Looking at Croatia's unenviable situation from within close quarters, the Montenegrins in particular are finding this economic situation more than alarming, forcing them to take measures to make sure that their country is more attractive not only to potential foreign investors, but also to Montenegrin employees.

In order to try to avoid what is considered to be an ''inevitable'' Croatian situation, Montenegro is expected to respond in a timely manner to issues at the state level by adopting responsible strategic decisions, starting with the labour market, which needs further assessment, improving the conditions for maintaining existing jobs and opening up new jobs, a faster and more efficient administration, ensuring a more predictable and stable business environment and a stable tax system that would eventually lead to adequately paid and more job satisfaction.

Montenegro is obviously looking at Croatia's constantly worsening demographic trends, dire economic situation and the outflow of qualified workers as a burning issue, and is expecting all state institutions to get on their feet to try to tackle such a situation in their country, before it's too late.

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Monday, 27 May 2019

Ludbreg Company Offers Workers ''German'' Pay and Benefits

As Sergej Novosel Vuckovic/Poslovni Dnevnik writes on the 26th of May, 2019, Sigetec Ludbreški, part of Ludbreg in Varaždin County, has a population of around only six hundred people, and every day there are more than a hundred workers coming to work at Inoxmont-VS, which deals with metalworking, the concrete assembly of industrial plants and equipment and more.

They manufacture and install industrial process equipment for steel, they perform pre-production and the mounting of brackets, and various other parts of industrial plants. It is definitely difficult and demanding work, but it's fairly paid

There are about 170 people in operation here and abroad as posted workers, and the average salary is about 9,000 kuna. And that's just the starting pay, experienced ''masters'' get up to 23,000 kuna, or 3,000 euros. So, we are not in Germany, where Croats are more than happy to keep heading to, but in the north of Croatia, a county where the average salary is less than 5000 kuna.

How is that possible?

''It's possible with us. And we should point out the fact that since May the 1st, our average salaries are even higher, we raised them by about five percent," said the co-owners of the aforementioned company, Mladen Vidović and Zlatko Sova. They believe that the workforce is the foundation of their business and strives to ensure them the best possible conditions because ''things can only develop in such a way''.

"We're constantly investing in technology, but even moreso in our workforce.For those who work as installers and welders on construction sites and under difficult conditions, we have implemented good work benefits, for a year we pay for fifteen months of their pensions and other allowances. Those who go abroad and work are provided with housing and transportation, only through the care of your employees can you deliver the quality service that is being sought from us,'' say the directors of this Ludbreg company.

Despite the already-described benefits and this Ludbreg company's almost magnetically attractive working conditions, Inoxmont still shares the same fate of many operating within the metal industry, and they're facing a deficit of workers. At the moment, they have open positions.

In the local ''pool'' of Varaždin and Međimurje County, where they have the largest number of workers, there still aren't enough of them, and even the ''production'' of staff from throughout Croatia doesn't look like its going to be promising any time soon. Before even enrolling in high school, minors seem to already be picturing themselves abroad, having run away from the ailing metal industry.

"We talked with the director of the Varaždin Mechanical Engineering School, only six students enrolled in the field of construction in the construction sector, they are the only ones in Croatia who have enrolled in this subject. In vocational professions, of course, there's a lack of qualified workforce, and we're also feeling it.

We also talked to pupils who are interested in the position of CNC operator from Ludbreg High School, and they said that they were going to leave Croatia immediately after completing their schooling, and we tried to explain that they had come out of school without the necessary practical knowledge, ans when they either go to Germany or wherever else, they'd be negotiating not as an equal partner with an employer but would be begging for jobs. Along the same lines, no matter how long they spend in another country, they will always be foreign,''

The co-owners are more than aware of the problems Ludbreg's Inoxmont faces, which, moreover, boasts workers from across the country, as well as from Hungary and Bulgaria.

Their attitude towards the import of labour is therefore clear.

"It's necessary to increase import quotas or just abolish them, but that's a fire-fighting solution, primarily to motivate people and stop them from permanently leaving the Republic of Croatia, but we all have to work on it, we give the maximum, we provide our workers with good conditions, but the Government must stand behind us,'' say Vidovic and Sova.

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Click here for the original article by Sergej Novosel Vuckovic for Poslovni Dnevnik

Monday, 20 May 2019

National Action to Keep Educated Youth in Croatia Held in Zagreb

As VLM/Poslovni Dnevnik writes on the 20th of May, 2019, two respected Croatian newspapers, Večernji list and Poslovni dnevnik, in cooperation with the University of Zagreb and the Faculty of Economics in Zagreb, are set to organise a round table entitled Future in Croatia and a ''time travelling'' exhibition through Večernji list's history.

After successful events already held in Osijek, Koprivnica, Rijeka, Zadar and Split, Zagreb will now play host to this national action launched by the Vecernji list group with the ultimate goal of retaining young educated people here in Croatia in the face of continuing and concerning negative demographic trends.

The event will be opened by Večernji list's Andrea Borošić, Prof. dr. sc. Lorena Škuflić and Prof. dr. sc. Damir Boras.

The Zagreb roundtable will discuss the vital importance of the retention of young and educated people here in the Republic of Croatia, and will be attended by numerous significant figures from across the spectrum of both politics and science in Croatia who have succeeded in standing out in their respective fields.

The first part of the program will conclude with the official opening of Večernji list's exhibition "We've been together for 60 years", which, through interesting and interactive content, will present the rich history of Croatia's media leader, along with an introductory speech from the curator.

At the very end of the program, an interactive forum will be held during which a student contest in writing projects will presented, and the present Večernji list group will reward the excellence of Croatian students.

Guests will be Podravka's dr. Sc. Jasmina Ranilović, PLIVA's Blagica Petrovac Šikić, UVI eSports d.o.o.'s Marko Komerički and the directors and founders of the company Hodajuće reklama Tino Vrbanović and Ante Starčević, who will present their encouraging and successful business ventures and projects which have been realised here in Croatia to all those gathered there.

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Click here for the original article by VLM on Poslovni Dnevnik

Sunday, 28 April 2019

More Than Third of Graduates with Diplomas in Croatia Unemployed

As Mirela Lilek/Novac writes on the 27th of April, 2019, Croatia's situation still isn't good: the country is continuing to ''produce'' graduates with the third lowest employment rate in the whole of the European Union, and as a result, taxpayers pay more and more money for them. According to new data from Brussels, based on a comparative survey of youth employment among Croats with diplomas earned in the last three years, a third of highly educated people aged between 20 to 34 in Croatia have no jobs. Only Italy and Greece are worse.

Of the 28 countries EU member states, Croatia ranked 26th with a 66 percent employability rate. Four positions above Croatia lies Romania, Bulgaria is six places above, and Slovakia is nine places above. Croatia's neighbour to the north, Slovenia, is eleven places above Croatia, Poland is thirteen places above (impressively right behind Ireland and Denmark), and the Czech Republic, with an 89.9 percent employability rate which has impressed the European Commission's experts - has risen to an enviable fourth place.

Malta is in first place in Europe as an employer of its graduates with diplomas, the employment rate of Maltese students stands at a very impressive 94.5 percent, even better than Germany, which boasts a rate of 90.9 percent, followed then by the Netherlands, the Czech Republic, and then Austria. The EU average is on the rise, back in 2014 it stood at 76 percent and in 2018 it stood at 80.2 percent. Unfortunately, the Croats have been close to the bottom for years, more specifically for fifteen years, as it has a below-average rate of employability in relation to the EU. Of course, rather than attempt to fix the problem directly, the Croats are doing what the Croats always do - continuing to debate and argue over who is (more) to blame for such embarrassing conditions.

Economists see the issue as being that the Croats aren't adapting easily to the market, and that Croatia also has an old education system. At Croatia's universities, they argue that the key issue isn't Croatia's higher education institutions, but an underdeveloped labour market, low personal income, and demotivating working conditions. Experts from the European Commission have given a relatively simple answer: Investing in education will benefit everyone in Europe.

Let's see how they explain their theories in some of the country's universities, starting with the largest "producers" of graduates in the entire country, the Faculty of Philosophy and Economics in Zagreb.

''We're aware of the importance of linking study programs and labour market needs. In this regard, the Faculty of Economics makes an effort to make it easier for students to access the labour market by establishing multilateral cooperation with companies and respectable institutions that enable students to perform high-quality professional practices,'' stated Sanja Sever Mališ, who deals with strategic partnerships and projects at the Faculty of Economics in Zagreb. The basic message from this particular Zagreb university is that "they connect students and employers so their best students can find work even during their studies." Therefore, there is no concern for them.

On the other hand, Vesna Vlahović-Štetić, Dean of the Faculty of Philosophy, admits that Croatia's humiliating placement at the bottom of the employability scale of graduates is still something to be very concerned about and therefore the causes of that need to be looked at.

''I assume that part of the problem lies in insufficient development and the ability of the economy and the public sector to absorb newly graduated students. On the other hand, the question is how many colleges and higher education institutions meet the needs of society with their respective programs. At the state level, in some professions there's hyper-production, and in others there is a lack of experts. Additionally, study programs should be regularly updated and developed to meet not only society's needs but also predict what competences professionals will need in the future,'' the dean says.

Data obtained through the HKO project of the Faculty of Philosophy shows that the employability of their students in the year after graduation is 75 percent. They believe this is the result of "the excellent professional and generic competences of their graduates".

"We're convinced at the Faculty of Philosophy that the study programs need to be further improved, so we have just started the study reform process and I'm sure the future employability of our students will be even better," says the university's dean.

The rector of the University of Rijeka, Snježana Prijić Samaržija, doesn't want to run away from the fact that Croatia's universities do hold a share of the responsibility for this issue but, again, she's convinced that Croatia's higher education institutions are't the key cause of the problem, but the underdeveloped labour market definitely is.

Rijeka University has eleven faculties and four departments. On their official page, they point out that they are a modern European university and a centre of excellence within the region and beyond, and that they are responsible for the social and economic development of the community. Samardžija claims that she doesn't want to relate the worrying data on the high rate of unemployed with higher education, but that "it should be borne in mind that higher education is a better job-finding guarantee, such as landing a permanent position,"

"Of course, it's possible to say that the employment rate would be higher if universities, by some automation, increased their quotas for the job-type deficit and reduced those profiles for which the employment bureaus take care of. In that sense, people often say Croatia's institutions and their enrollment policies aren't adapted to the labour market. However, the situation isn't quite that simple.

For example, the market seeks shipbuilding engineers, we have shipbuilding studies and a corresponding quota at the University of Rijeka, but there's a fall in interest for those studies. We can understand the students' fears about the situation with Croatia's shipyards, but the fact is that the need for this profession is still growing. Similarly, despite the lack of mathematics and physics teachers and the excellent studies we have, the interest doesn't match the employment opportunities,'' she explained.

The University of Rijeka decided to put seven studies ''into retirement'' this year, and isn't accepting students for them. Those are acting and media, dental hygiene, computer science in combination with professional studies of medical-lab diagnostics, mechanical engineering, shipbuilding, and electrical engineering.

On the other hand, there's a considerable level of interest in studies that don't guarantee quick and permanent employment at all, such as the arts, cultural studies, and psychology.

''Young people choose studies according to their personal interests, not just employment opportunities. They don't necessarily just want a permanent job, many of them are accustomed to gaining work experience in different institutions, at different places of work, and in different countries. More and more, they prefer to individually define the curriculum through courses and practical competences beyond their study program(s), which will make their expertise comparatively more special and desirable. In the midst of a sluggish and non-ethnological labour market, more and more students enjoy prolonged youthful relationships with their parents or rent apartments,'' says Snježana Prijić Samaržija.

"I don't want to run away from the responsibility of the university, we're constantly thinking about the jobs of the future, we're working on increasing the quota for the deficit professions and improving our students' competences to reduce the unemployment rate. However, time is needed to see the results of these measures because the higher education cycle lasts for at least five years. It should be understood that universities can't just simply increase quotas for occupations for which there's a labour market need because new employment is frozen,'' noted the Rector of the University of Rijeka.

As Croatia's paradoxical situation of having no work but plenty of jobseekers, yet plenty of work and no staff, it's hard to predict the outcome of education system reforms as the market and its needs can alter so rapidly. Will Croatian students simply continue to trickle away on the stream of a proverbial leaking tap out into Western Europe, leaving Croatia with the rather unenviable title of a country that educates its citizens for work abroad? It's likely such a scenario will continue at least for the foreseeable future. Whether or not Croatia will manage to make the necessary alterations to fix that aforementioned ''leaky tap'' in time remains to be seen.

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Click here for the original article by Mirela Lilek for Novac/Jutarnji

Wednesday, 17 April 2019

High Economic Expectations for Croatia's Brod Port Project

Despite the odd investment here and there, continental Croatia rarely gets a look in when compared to the coast, particularly when compared to Dalmatia. In Eastern Croatia, more specifically Slavonia, the situation is even more depressing, but it seems that not everything is as bleak as we sometimes like to imagine and even portray.

As Suzana Varosanec/Poslovni Dnevnik writes on the 16th of April, 2019, the economic expectations from the Luka Brod (Brod Port) project worth more than 100 million kuna are high. Through the construction of new port infrastructure, the project has become the driving force for the development of Brod-Posavina County, as was highlighted by the Croatian Government.

As stated, the much anticipated construction of new port infrastructure is the driving force for the development of this Slavonian county, this was highlighted at the eighth session of the Council for Slavonia, Baranja and Srijem, and according to the prime minister, it's essential for the Croatian Government and local self-government units to do everything to create the proper conditions for economic development that will end the mass exodus of citizens from Croatia.

Until now, contracted projects with EU funding amount to 9.7 billion kuna, stated the Minister of Regional Development and EU Funds, Gabrijela Žalac. Another 1.85 billion kuna are contracted investments from the state budget.

For the strengthening of the Croatian economy, the development and enhancement of competitiveness, projects such as Brod Port are of great importance, stated the Croatian Chamber of Commerce's Mirjana Cagalj. This is also an incentive for the development of a local environment that is particularly burdened with the exodus of the resident population who are leaving in their droves owing to the unfavourable economic situation, contributing to Croatia's worrying demographic crisis.

Its exceptional traffic position provides great potential for the development of the new port in Slavonski Brod in an intermodal logistics centre, which, according to Cagalj, would work to influence its future strategic role in international container traffic because Brod Port is located on the border of Croatia and Bosnia and Herzegovina, near the crossing of the railway corridor X and the road corridor Vc, which is an international entry port for the EU.

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Click here for the original article by Suzana Varosanec for Poslovni Dnevnik

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