ZAGREB, 6 Sept 2021 - Labor demand in Croatia has exceeded its pre-pandemic levels for the fourth month in a row, the Online Vacancy Index (OVI) of the Zagreb Institute of Economics (EIZ) for August 2021 shows.

"OVI’s latest values are in line with other positive economic indicators published in the last few weeks. Labor demand has exceeded its 2020 and 2019 levels – OVI for August 2021 shows that labor demand is 60 percent higher than in August 2020, and around 20 percent higher compared to the pre-pandemic August of 2019," EIZ said.

"When comparing labor demand levels in 2021 and 2019, this is the fourth consecutive month in which labor demand is higher than in the pre-pandemic months, which is a strong indicator of labor market recovery.

"Demand for the three traditionally most sought-after occupations – salesperson, waiter, and cook – is also higher compared to August 2019 and 2020, with drivers and construction workers also high in demand. Interestingly, the share of job advertisements mentioning working from home has risen to about 1.5 to 2 percent since the beginning of the pandemic, while before the pandemic working from home was mentioned in less than 0.25 percent of job advertisements," EIZ said.

OVI is a monthly index of online job advertisements developed by the EIZ in cooperation with the MojPosao job search website. It aims to provide timely information on current labor demand.

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July 1st, 2021 - The pandemic has irreversibly changed the labor market, especially in the hospitality industry. A search for waiters in Croatia, and diligent and loyal employees is tough to find as the season approaches. 

Caterers will remember 2020 and 2021 well. 24 sata reports, a year and a half after the start of the pandemic, it is clear that they are a vulnerable group to whom the crisis has brought great financial damage. Unconditionally closed, with only a slight shift in coffee to go, caterers have generally entered a cash deficit. Although things have been slowly returning to normal over the last month, caterers are facing new difficulties. In addition to the still current restrictions, there are problems with tax burdens and labor shortages, especially quality ones.

The season, they say, is ahead of them, and the labor market is almost empty. The biggest problem for caterers is the lack of total workforce needed to operate one restaurant, mostly the staff directly in charge of serving guests. Most waiters have moved to hotel complexes to do the season because they are guaranteed a salary there for several months, and many have found other jobs during the pandemic.

With easing measures, everything returns to normal at first glance, but the shortage of labor primarily felt in continental Croatia is growing. As a result, demand in the tourism sector is high, and people have gone en masse to the coast and islands, hoping to make some money in tourism. 

The pandemic has stopped freedom of movement, including the free labor market and the "import" of labor. Costs have been further increased due to Covid tests, and accommodation for workers has become a very high item in the budget. There are also fees for work permits, food, transportation, and transportation of staff to work. If the business tax were reduced for caterers, there would be more left for salaries, which would attract our people to stay in the sector and not look for seasonal jobs even outside their profession.

Employees are found through social networks and internal acquaintances, various employment portals, and private referrals. There are also various competitions for students, and there are those who come alone. They are hard to find and even harder to keep. Most of them fail while on probation, and among the key characteristics they seek are will, motivation, and interest in work.

Many employees ask for unrealistically high salaries because they know that there is a labor shortage, and at the same time, they do not have good enough qualifications for that. As a result, there are often situations in which workers are late and sluggish, and many do not speak foreign languages ​​or are rude.

"Of course, an employee should have qualifications for a certain job, but that is not crucial for us because we invest a lot of time, knowledge, and money to teach a quality person even better work. We motivate them with additional stimuli for good work. This should become the standard in all sectors anyway, because only in this way can the quality of work be increased.

We are interested in a combination of human and professional qualities. It is important to us that our employees are good people with a cheerful spirit, and on the other hand, dedicated to work and diligent. Also, contact with guests is important to us; they are not just one in a row but people to whom we dedicate ourselves." said Saša Žerajić, owner of the Program Bar. 

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