Saturday, 6 February 2021

New Voice of Entrepreneurs Association Protest on February 26 if Nothing Changes

February 6, 2021 - The Voice of Entrepreneurs Association protest gathered at least 5,000 people on Wednesday in Zagreb, according to estimates. Executive Director of the Voice of Entrepreneurs Association, Dražen Oreščanin, announced the continuation of similar actions if nothing changes, most likely at the end of February. 

Index.hr reports:

"At the end of the month, on Friday, February 26, we will again organize a protest at Ban Jelačić Square if the epidemiological situation improves and discriminatory measures against entrepreneurs continue. We are also asking the government for fair compensation for closing facilities because all they give us now is only 25 to 30 percent of the revenue we have lost. In contrast, Germany and Austria's governments, for example, give their entrepreneurs compensation of 70 to 75 percent of the lost revenue and thus save them. This does not only apply to cafes, which are closed, but also in activities such as the event industry, occasional transport, travel agencies, and tourist guides, which can work but due to the measures, they have practically no one, which puts them in a challenging situation," explains the executive director of the Voice of Entrepreneurs Association, Dražen Oreščanin.

He adds that entrepreneurs are asking the government to finally adopt a "corona traffic light" based on which it would be determined which epidemiological measures are being adopted in which conditions. He notes that something like this should be adopted at the regional level, which would enable entrepreneurs and citizens to prepare for certain measures.

Oreščanin emphasizes that entrepreneurs are not against epidemiological measures, but they are against their selective application, so some entrepreneurs are denied the right to work.

"We do not interfere in epidemiological measures; we respect them. We also called at the protest that all those gathered adhere to epidemiological measures. However, we demand that the government treat us all equally and that we all have equal rights," Oreščanin said.

He also criticizes the government for insufficient communication with entrepreneurs and calls out the Voice of Entrepreneurs for politicking, which he strongly rejects. Entrepreneurs, he says, are on the brink, and their situation is deteriorating. In such conditions, they have no choice but to take to the streets and warn of problems.

"We expect the government to start behaving like governments in democracies finally. Instead of communicating with us, it tries to discourage and discredit us and throws spins to portray us as enemies of the Headquarters and the state. But that's not the case, the government doesn't communicate with us," points out Oreščanin.

But all this comes at a price, and in the crisis, which continues this year, the state treasury will hardly have enough money to feed all appetites. Especially if it turns out that the recovery will go much slower than expected.

In such conditions, economic analyst Damir Novotny warns that the straw of salvation for Plenković's government should be provided by money from EU funds. But, he says, the government will have to work harder for that. First, it should quickly adopt a program to use Union funds and speed up its withdrawal, rather than procrastinate, as before.

"Croatia has a lot of money at its disposal, allocated by Brussels, a total of over 20 billion euros, and that money should be used. The government must not bureaucratize and delay but should adopt a plan for using that money. That money can save us from social collapse because the implementation of the projects financed by it will stimulate economic growth and demand for labor," Novotny explains for Index.

Novotny also sees a chance to hire an increasing number of unemployed in the reconstruction of Zagreb and other areas affected by the earthquakes. Reconstruction projects will require a lot of manpower and various profiles.

He also says that he does not expect major social unrest in Croatia for the time being. Still, he also warns that the continuation of the corona crisis also means the collapse of some companies, which will result in higher unemployment. The domino effect could also be social unrest.

"If the crisis continues, there will be social problems," Novotny said.

However, Croatia should also start working on the challenges that await it even after the corona crisis. Namely, it is already clear, Novotny points out, that it will take years for tourism to return to the levels before the outbreak of the coronavirus pandemic, and companies will have to survive in that period as well. He also believes that several activities, including catering, should work on digitally transforming their business. Besides, companies should no longer be put in a position if they have not accumulated enough capital for future crises.

"Changes in the structure of the Croatian economy can be expected. The importance of modern industry and construction will increase, and the role of tourism and catering will decrease. Also, we will have to try to attract more foreign investment," Novotny concluded.

To read more about COVID-19 in Croatia, follow TCN's dedicated page

Friday, 5 February 2021

Croatian Business Owners Don't Believe Protest Will Have Desired Effect

February the 5th, 2021 - Croatian business owners have had their say, but many believe it will be ineffective. The recent protest was covered across the country, but what will actually come of it?

As Poslovni Dnevnik/Marija Crnjak writes, several thousand protesters, mainly Croatian business owners, gathered on Wednesday at Zagreb's Ban Jelacic Square to attend a rally organised by the Voice of Entrepreneurs Association (UGP) over dissatisfaction with the Croatian Government's measures to stop the spread of the pandemic and properly compensate business owners who have been banned from working, such as gym, sports centre, cafe and restaurant owners.

The main demand of the gathered Croatian business owners, who were mostly from the catering and hospitality sector, as well as gym owners who have been banned from working since November, is fair compensation for the ban on their work, but the protesters are also bothered by discrimination in the imposed measures. Most of them are also asking for the re-opening of cafes, which have not been confirmed as places where the virus has spread more rapidly or more efficiently, but a decent number of those protesters still don't expect the move to bring about the changes they're asking for.

"Our action is not directed against the epidemiological measures, we just wanted to show that we're dissatisfied with the economic measures that aren't sufficient or adequate. Measures to preserve jobs of 4,000 kuna are intended for employees and can't be a measure of assistance for business owners. We aren't living, we're simply surviving. We want quality economic measures and a plan for how the government will help the economy. We're seeking compensation for all Croatian business owners who have had to close their doors.

We believe that it's now high time to think about the activities that are closed almost all year round. The event industry, travel agencies and the occasional transport of passengers are recording huge losses, and there's no help for them,'' said Drazen Orescanin, Executive Director of UGP. He added that Croatian business owners need clear announcements of any new or altered measures in time, and that they don't want to hear about the new measures in the media and wonder what they're going to be as if it's a lottery.

Andrija Klaric, the owner of a Zagreb gym who was arrested on Monday after opening it that morning, also addressed those gathered. Marin Medak stepped in as the former president of the National Association of Caterers, now a member of its supervisory board, saying that the state is treating those in hospitality and catering as if they're mere third-class citizens. At a press conference held almost at the same time, members of the National Civil Protection Headquarters told the protesters that the measures would be eased when the conditions were met, which is something that is being monitored continuously.

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Thursday, 4 February 2021

My First Protest: What I Learned at UGP Entrepreneur Protest in Zagreb

February 4, 2021 - Organised by the Voice of Entrepreneurs Assocciation (UGP), a protest against what are allegedly discriminatory epidemiological measures was held yesterday on Ban Jelačić Square in Zagreb. Through loud chanting, thousands of people supported the abolition of parafiscal levies and mandatory membership fees. They even demanded the departure of Economy Minister Tomislav Ćorić. However, as I talked to the protesters, I realised those were not the only reasons people showed up on Zagreb's main square yesterday. Here's what I learned at yesterday's UGP entrepreneur protest in Zagreb.

As I was at a protest for the first time, I expected it to be more organised, moreover due to the ongoing coronavirus pandemic. But since I can’t compare this protest to any other, I just continued to watch what happened.

IMG_20210203_100024.jpgProtesters with the banner saying "Let us work" / Donatella Pauković

In the first few minutes, after the first speaker started to talk, it was clear to me that the protest was not only about entrepreneurs being deprived of work during the coronavirus pandemic, but a lot of people used the opportunity to gather and show their dissatisfaction with many other problems that Croatia faces.

"Why can't Croatia be economically strong?" read one of the most significant banners of this protest, which indicated that Croatia has all the conditions to be a prosperous country, but it is not. The epidemiological measures owing to which entrepreneurs (most of them caterers) are at risk were clearly just a trigger for expressing dissatisfaction that goes much further.

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Banners saying "We are entrepreneurs, and you?", "It's enough", "Entrepreneurs are partners, not a burden!", "Why Croatia?" / Donatella Pauković

A historic day?

I met a young and energetic guy. Is he a young entrepreneur, a caterer? I wondered. I was interested in what brought him to the protest.

"I came to say that I don't agree with the direction in which this country is going. I don't agree with the Government's economic and social policies. I don't agree with what the Government, the ruling majority, and the Croatian Democratic Union (HDZ), led by Prime Minister Andrej Plenković, are doing," said 21-year-old David Lisica, a computer science student at the Faculty of Electrical Engineering and Computing in Zagreb.

He doesn't plan to leave Croatia. However, he wants us all to build Croatia together, and I identify with him. Therefore, one of the motives for his coming to the protest was the hope for a better tomorrow.

"I think it's bad politics and I think I have the right to say it. I'm not here to cause destruction but to say that something is wrong. When something is wrong, it should be said that it is not right, and it should be changed," this young student clearly pointed out.

He was bothered by the discrimination towards entrepreneurs and the private sector, which has only been deepened by this coronavirus crisis. In addition, he couldn't believe that there was so much contempt for the opposition by the ruling party, and he considered it shameful.

That's why he made a banner saying "Andrej, it's enough." As David said, the famous banner, seen on many photos from the protest, will even be included in the historical material of the Croatian History Museum!

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Student David Lisica with his banner "Andrej, it's enough" / Donatella Pauković

According to some estimates, the protest gathered five thousand people, if not more. Given what Croatia needs, said David, every protest that has been organised in Croatia so far has attracted too few people.

"We don't need a rebellion, a revolution. No anarchy, no demolition! We need people who will say 'It's not right - change this and that!' Economic policy, uhljebljivanje, mandatory membership and contributions to the Croatian Chamber of Commerce and the Tourist Board – we do not need that. Entrepreneurs and craftsmen should not be whipped with parafiscal levies – these are not taxes, they are levies," David says, pointing out that it would be fine if that money would be invested in something useful, but it isn't.

I watched the gathered crowd. Both older and younger people were all protesting. At one point, social distancing fell into the background and then I got a little scared for my health. I was surrounded by people shouting, and some of them didn’t even wear masks, against which the organisers explicitly warned, but without much success. Luckily, I quickly got out of the way.

Expectedly, there were even some drunk people, using the situation to relax at least a little and thus experience the "old normal." Gathering at the protest was even an opportunity for some to see each other after a long time, which, understandably, they took advantage of. So, for example, maybe some fellow caterers from Slavonia and Dalmatia finally saw each other and chatted.

Apart from chanting and whistling, applause even broke out for a man breaking through the crowd with a tray in his hand, offering protesters coffee to go in cups designed specifically for the occasion. "It's enough," read the inscription on it.

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Symbolic coffee to go with the inscription saying "It's enough" / Donatella Pauković

'Instead of law, justice must be introduced'

When those gathered had already begun to disperse, and the most persistent continued to protest, my attention was drawn to a sympathetic and seemingly accommodating man with a large banner. However, what he told me has specially taken me aback.

Tomislav Vukorepa, an entrepreneur from Šibenik, besides coming to Zagreb to support all entrepreneurs who are in a very difficult situation, came to point out one big problem.

"We lost five citizens in a shooting in Šibenik, our citizens of Šibenik," Vukorepa began his story, explaining his banner that read "Pleković, enough of the harrowing, kill me now."

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Entrepreneur Tomislav Vukorepa with his banner "Plenković, enough of the harrowing, kill me now" / Donatella Pauković

"I wrote this because the direct cause of the shooting in Šibenik, in which five people were killed, is a catastrophic judiciary. Who knows how many more such cases are 'cooking' in the whole of Croatia! We have to open our eyes because there's no point in being brutally warned in such a way every now and then. Something urgently needs to change here. Instead of law, justice must be introduced. And that’s a big difference, because the one who is stronger always takes the right to himself and oppresses the one who is weaker. Therefore, justice and truth should come to power in Croatia," Vukorepa said.

He believes that it's time for the citizens of the whole of Croatia let it be known that this is not the way to go.

"Those in power should listen a little better to what the citizens tell them, because this country exists because of the citizens, not because of them," concluded Vukorepa, whose business of sound systems for concerts and festivals has died out in the last six months.

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UGP entrepreneur protest in Zagreb / Donatella Pauković

As I have already said, and in the few minutes of talking to this man I confirmed, this was not only a protest against epidemiological restrictions, but also against a system in which the voice of the little man is hardly ever heard.

After two hours on the main Zagreb square, I thoughtfully left the protest. What seemed at the beginning to be an inarticulate presentation of views on the current situation in Croatia, actually proved to be well-founded. What seemed like a protest against the impossibility of drinking coffee for hours, which is the Croatian national sport, has, unfortunately, a much deeper foothold.

I realised that if you want to warn someone about something, a protest is one of the few places where someone will hear or notice you, if you have a banner with a good inscription. You might end up in the headlines as well.

All in all, the real effects of the Croatian entrepreneurs' protest in Zagreb will only be seen in the coming months. We're waiting for new steps to be made by those in power, hoping that this time the majority will be satisfied. And that we will soon be able to sit down and have coffee somewhere, which may, at least for those few hours, ease our souls.

To read more news from Croatia, follow TCN's dedicated page.

Wednesday, 3 February 2021

Bujas and Oreščanin: Why Should You Come to Zagreb Protest? Because There are Two Croatias

February 3, 2021 - On Wednesday at 10 am, a protest of entrepreneurs and caterers will be held at the main square in Zagreb. Voice of Entrepreneurs President Hrvoje Bujas and Executive Director Dražen Oreščanin on why you should attend the Zagreb protest. 

The Voice of Entrepreneurs Association initiated the action. It was planned to warn of the inequality of epidemiological measures and insufficient economic measures for companies affected by the corona crisis. It gained an extra dimension after the repression of several entrepreneurs and caterers who opened their premises in protest on Monday, culminating in the detention of gym owner Andrija Klarić.

Index.hr asked the key players of Voice of Entrepreneurs why they think people should come to Ban Jelačić Square on Wednesday at 10 am.

Oreščanin: The main reason for coming to the protest are the statements of Plenković and Ćorić
UGP Executive Director Dražen Oreščanin says that the key reasons in recent days have been given by the Prime Minister Andrej Plenković and the Minister of Economy Tomislav Ćorić.

"I think the main reason why every citizen should come to the Square could be heard in recent days from Prime Minister Plenković and Minister Ćorić. The way they talked about UGP, a citizens' association, and the way they talked about political opponents shows that they have no understanding of what democracy is and that they have no understanding of the people, to whom power belongs in democratic regimes."

"We don't know if we should laugh or cry; we can understand their statements as a threat."
He once again referred to the statements of Ćorić and Plenković.

"One does not know whether they should laugh or cry at their accusations. Minister Ćorić's statements last night during Otvoreno and Prime Minister Plenković's statements can be read as an open threat. The first concrete action to show that the threat is serious is the arrest of gym owner Andrija. It is a serious derogation from democratic principles; we as a nation must fight for our rights," Oreščanin said.

"We are fighting for a country of happy citizens that will not be held hostage by politics."
"We are fighting by absolutely legal means for the rights of entrepreneurs, employees, all citizens, and for Croatia 2.0, a country of happy citizens that will not be held hostage by politics," he added.

Several thousand people are expected to protest.

"Over 3,200 people signed up on Facebook, over 1,200 through official registrations, and at least 800 caterers and about 200 people from Rijeka should arrive. It is realistic to expect from 1,000 to 5,000 people, and maybe more," says Oreščanin.

An appeal to all who come to protest
He appeals to everyone who comes to the Square to adhere to epidemiological rules and general rules of conduct.

"It is necessary for everyone at the Square to adhere to epidemiological measures and for everyone who will make a statement to be polite, to express their opinion in a dignified manner. It is essential to keep in mind that people may be involved as provocateurs even after these threats from the top authorities. That is why we appeal to people not to fall prey to any provocations," he noted.

"Andrija Klarić said he would come and invited everyone to come."
He said that the detained gym owner was also coming, who was released last night.

"Andrija Klarić said that he would come and he invited everyone to come, we will help him in the legal battle," said Oreščanin.

"We believe that it will be the day when the government will finally start listening to the citizens and working in the interest of the citizens."

He sent a clear message ahead of the protest.

"Our message is in the entrepreneurial sense that there must be no discrimination, that people should be fairly compensated and that measures should be fair, but it is also broader than that. The message to Plenković is that we are not a small group of instigators; there are people in this country who have the right to rule. In democracies, the government is there to serve its people, not to humiliate, insult and drive them into pens like sheep. We believe that tomorrow will be the day when the government will finally start listening to the citizens and working in the interest of the citizens," Oreščanin concluded.

Bujas: It is crystal clear that staying at home or acting on Facebook has not achieved anything all this time
Index also asked the President of the Voice of Entrepreneurs, Hrvoje Bujas, the same question - why does he think that people should come to the protest at Ban Jelačić Square?

"It is crystal clear that nothing has been achieved by staying at home or acting on Facebook all this time. We have not received any adequate economic measures or a clear plan when it comes to epidemiological measures.

We demand that others who are on their knees and who have a large drop in traffic be compensated, but also that the implementation of all this is far, far more efficient. It is up to two, two and a half months late with the compensation of 4,000 kuna, which is actually paid to the employees," Bujas said.

He said that their message was much broader than economic measures for the corona crisis and aimed at changing Croatian society for the better.

"All of you who dream of a fairer Croatia - come to the square."
"We are looking for key reforms; we can't say it doesn't matter because we are all very concerned. Let all the people who come to the Square say what they think, we will set up a camera, and everyone will have thirty seconds to say what they have. Let the government see that there is a Croatia that is thrown to its knees that does not know what will happen tomorrow. We expect from the government a clear plan for vaccination and measures, which we never received, and we expect reforms.

All of you who want to hear a clear plan, who are looking for efficient economic measures, who dream of a fairer Croatia, come to the Square," Bujas said.

He says they have been treated as enemies by the authorities in recent days.

"It is not clear to me why Plenković tolerates Ćorić, who is the main reason for the failure of the negotiations."
"The Voice of Entrepreneurs has been giving a hand to those in power since day one, which is normal if we want to achieve some changes, but we cannot be manipulated, and it bothers them. I can even publicly praise most ministers, except one - Tomislav Ćorić. He never answered our email, he did not want to be found, and de facto interrupted the negotiations that were going in the right direction. My question is why Plenković tolerates Ćorić. I can't figure it out. We remain persistent in demanding Ćorić's resignation. We are looking for a man who can give a solution, not deepen the crisis. The direct culprit for the termination of negotiations and for our taking to the streets is Minister Ćorić. In a way, we are also endangering our health, although everyone at the Square will adhere to all measures. I received a positive rapid test for COVID-19, and I will certainly not come to the Square tomorrow to endanger anyone's health, but that is the only reason I will stay at home. I call on everyone who comes to adhere to epidemiological measures and to be responsible people; I understand the frustration, but let us show an example of how to behave in a public space and how to keep healthy," Bujas told Index.

"There are two Croatias. In one Croatia, people go to the stock market, and in the other, everything is fine, and salaries are still rising."
But he says that doesn't mean people at the protest shouldn't say what they think.

"Say everything that is on your mind because they obviously live in another Croatia, where everything is fine. There are two Croatians. In one Croatia, people go to the stock exchange, and in the other, everything is fine, and salaries are still rising. Why don't they hear that there is also that Croatia where everything is not right, where people are on their knees? Who are we insulting when we tell the truth? " Bujas wonders.

"Any repression at the protest would be the twilight of democracy."
He hopes there will be no problems with the police at the protest, which reacted rather repressively on Monday when some entrepreneurs and caterers opened their facilities in protest.

"Any repression at the protest would be the twilight of democracy; these are people who want to say everything they think."

Mate Janković: Why will I be at the Square? Because I don’t want to play under these rules anymore
The famous chef Mate Jaković, who has been cooking in Banija with other volunteer chefs in recent weeks, also announced his arrival at the protest.

He explained why he was coming to the protest.

"Why will I be at the Square on Wednesday at 10.00? It has nothing to do with Covid or the measures. The business climate in this country was bad before Covid. We were backward, corrupt, and a bad society before, and there is a huge chance that we will stay that way after Covid. That's the main reason I'm coming. Nothing in my life has motivated me enough to go out on the road and express dissatisfaction, but grumbling on Facebook is no longer an option. I can no longer stand by and act like I don't care because it's just not true. I've had enough. I'll either try to change as much as possible, or I'll go to another country and build my life there. But under these rules, I don't want to play anymore," Janković wrote.

The protest announcement 
The Voice of Entrepreneurs Association previously published an announcement of the protest in which it explained its reasons for the protest.

"If entrepreneurs and workers are banned from working, which is a constitutional and human right, they should be adequately compensated. Why is Croatia not a country equal for all, for those in the public and those in the private sector? Why are entrepreneurs second-class citizens who are not cared for by their government? It is time to hear the voice of the people, the voice of reason, and the voice of entrepreneurs! We invite all entrepreneurs, craftspeople, employees, and citizens to join us. Each of them will say, from 10 am on the Square, one by one, and through live stream: Enough is enough! Enough bad crisis management! It is enough that entrepreneurs and employees in the private sector are second-class citizens. Why is Croatia not a country of equals?" reads the beginning of the protest announcement published by the Voice of Entrepreneurs.

"The Government of the Republic of Croatia and the National Civil Protection Headquarters have been destroying micro, small and medium enterprises for months with inconsistent, discriminatory, and bad decisions. Many entrepreneurs have had their constitutional right to work revoked without any compensation. Unlike many European countries, Croatia has not taken a single step to compensate entrepreneurs. If the right to work is prohibited, it should be adequately compensated. However, the Government of the Republic of Croatia does not seem to want to understand that. Entrepreneurs care about their health and respect the government's decisions, even when they are illogical and discriminatory. But this action is a painful cry with which we want to say: The Government of the Republic of Croatia, you have forgotten those who feed you. Recall, job preservation measures are helpful for workers, not for companies. Fixed costs will be reimbursed in just two months to those who are formally closed, while for all others, some of which have a drop in turnover of more than 90 percent, no one cares, not even our Ministry of Economy. If this continues, there will be no jobs to be saved at all," they write.

They added that they had enough of the highest taxes in Europe.

"Well, we have had enough of the injustice that entrepreneurs have suffered since the beginning of the crisis, we have had enough of the highest taxes in the European Union, we have had enough of double standards, and we have had enough of discriminatory decisions. We believe that we have everything we need to be a prosperous and competitive country. Still, it is time for the Republic of Croatia's Government to listen to experts and entrepreneurs finally.

For these reasons, we are organizing an action to show that citizens are dissatisfied with the poor management of the crisis and to make their voices heard. Entrepreneurs and their employees in times of greatest crisis seek help to survive from a system that they have been financing for decades and in which they are paying billions of kuna. It is time for that same system to start taking care of them in an adequate way.

We see the crisis as an opportunity to reset a system that has not served society for years. It is also time to abolish the hundreds of parafiscal taxes that burden the citizens of this state. Also, we believe that now is the opportunity to abolish the payment of mandatory membership fees in the Croatian Chamber of Commerce and the Croatian Chamber of Trades and Crafts, which are just another in a series of taxes for entrepreneurs," the statement said.

To read more about business in Croatia, follow TCN's dedicated page.

Tuesday, 2 February 2021

Minister Coric and UGP's Orescanin Clash on COVID-19 Measures on 'Otvoreno'

February the 2nd, 2021 - The Croatian TV show Otvoreno was the recent stage for a fierce battle of opinions regarding the current lockdown and the struggling Croatian economy as the coronavirus pandemic rages on.

As tportal writes, will prolonged closures of restaurants, cafes and other such facilities lead businesses and their workers to total ruin? While the general level of extreme dissatisfaction is only growing stronger, the government says Croatia has milder epidemiological measures than other EU member states. How effective are the existing economic measures: fixed cost compensation, money to maintain jobs, the so-called packages of COVID credit/loans? Should things be opened up?

Attempts to open a gym in Zagreb this Monday ended in a way that prevented it entirely. The show "Otvoreno" saw the issue of closed gyms and cafes etc dragged up in full force, as well as the fact that these economic entities are not covered by the latest easing of anti-epidemic measures.

''What happened is a crime and the use of a repressive apparatus against people who are just trying to do their jobs. The claim that the gym owner violated the law isn't true, he violated the decree passed by the National Civil Protection Headquarters and in no way can it be proven that the work of fitness centres and gyms are the cause of the spread of the virus. He was taken to prison without any background checks done, all just because he wanted to work. Davor Bozinovic and Krunoslav Capak assumed without any evidence that the virus is spreading in gyms, which apparently doesn't spread elsewhere,'' said the executive director of the Voice of Entrepreneurs Association (UGP), Drazen Orescanin at the show's beginning, adding that a mere 0.5 percent of the total number of cases can be linked with gyms, and a total of two percent with catering and hospitality facilities, which are of course also closed currently.

The Minister of Economy and Sustainable Development, Tomislav Coric, often replied to the above comments, and during his responses, Orescanin laughed at his statements, also laughing at his mask with his initials (tć) on them.

''I don't believe any information that will be presented by either Bujas or Orescanin. We're talking about people who have taken advantage of this situation for their political engagement. Neither of them is responsible for what they do, neither of them is a caterer or hospitality worker, but yet they're calling for the rebellion of all responsible citizens and business owners who have abided by the law. Those who didn't do so should be sanctioned for not doing so. You can laugh as much as you want, you hide behind other people, you incite them and put everyone in a situation where Croatia as a society is wondering whether it should be responsible or listen to people like you. That won't work out very well for you,'' Coric said to Orescanin.

Mladen Vedris, a professor at the Department of Economic Policy at the Faculty of Law in Zagreb, said that Croatia reacted well in the first phase of the pandemic back at the beginning of 2020, but he was not sure that this was the case now.

''There are fixed costs, loans, company-level liabilities. It's precious that we work to preserve companies, the potential that represents the wealth of Croatia, we quite simply cannot talk about them as if they're a burden. How do we find the right measure? It's something that needs to be answered, and that needs to be discussed by the people on this show,'' he said.

The President of the Croatian Chamber of Commerce (HGK), Luka Burilovic, pointed out that it is difficult for caterers and hospitality sector workers, but there are also traffic, creative industries and tourism to think of: ''Let's remember that a lot of things were opened up back in November, when many other countries had closed facilites down. Then, we had questions going around about what we were waiting for, why were we not closing things, do we think we're just an island of our own, etc. We introduced one lockdown of sorts, we're one of the most liberal countries in Europe,''

''For entrepreneurs and business owners, whatever compensatory measures are adopted will not be good enough because the best measure for these companies is the ability to work freely, and everything else is against the very nature of entrepreneurship,'' said the director general of the Croatian Employers' Association Damir Zoric, adding that this key need has now been taken away.

Dragutin Ranogajec spoke on behalf of the Croatian Chamber of Trades and Crafts and said that Croatian producers are very much tied to the catering and hospitality industry and added: ''They don't say that they will die of hunger, only the caterers and hospitality workers say that they're going to die of hunger. I know it's hard, I'd also prefer to earn 15 thousand kuna than to receive 4 thousand kuna from the state. But at the moment it's the only way to keep jobs and somehow survive all this.''

Minister Tomislav Coric reiterated that any gathering of people without masks is a potential hotbed for the spread of the novel coronavirus, responding to the statement made by Branko Nadjvinski that, for example, on Jarun in Zagreb there are places where people are gathering to buy coffee "to go". However, Coric said that there is a difference between such a gathering and the classic gathering to drink multiple coffees in cafes.

''In all those places where coffee sales still take place today you have a situation where people stand in line and then they leave that line. The terraces of the cafes are closed or semi-closed, the moment they buy coffee, they should all go somewhere else. How will this be controlled? How are we going to get into a situation where we can have a coffee and chat a bit with some with friends and not have that same terrace turn into a new coronavirus hotbed?''

Orescanin replied in a sarcastic tone: ''People are still sitting on these terraces, they're in shopping centres for hours, they're at work for hours, they're grouped together for hours working in factories, they go to school, they ride buses and trains for hours. But oh no, they can't have coffee in a cafe,''

There's been talk circulating of a possible new concession on February the 15th and the possible opening of, for example, the terraces of cafes and the already mentioned gyms.

''Look, I'm an optimist, in all the proposals that the Croatian Chamber of Commerce communicated with the government about the opening or closing of anything, they let us know that the measures will be a refund of funds for as long as the economy is closed down. I believe that "coffee to go" will be available on February the 15th, and I'd call it "Coffee to stay" because no one goes anywhere when they get the coffee, I believe that gyms will open,'' Burilovic stated.

Coric added that the worst-case scenario for Croatia would be to relax everything now, and that in a month before Easter, when the first significant groups of tourists arrive, our numbers will explode once again and we will have to go into a new lockdown. That is simply not an option, he pointed out.

At the end of the show, Luka Burilovic confirmed that he has a salary of 23,000 kuna for his work at the Croatian Chamber of Commerce. In addition, he receives remuneration as a member of the supervisory boards of INA and Podravka and funds as a member of the management board of the Fund for Environmental Protection and Energy Efficiency. The total amount of his income is about 55,000 kuna per month, something that is unimaginable to just about everyone in Croatia, let alone those who have now lost their jobs.

The Voice of Entrepreneurs Association (UGP) has called for a protest on Ban Jelacic square in Zagreb tomorrow at 10:00.

You can follow the UGP developments in the dedicated TCN section

Tuesday, 28 July 2020

Association Requests Lower VAT for Hairdressers and Fitness Studios

ZAGREB, July 28, 2020 - The Voice of Entrepreneurs association (UGP) on Tuesday called for lowering of the standard 25% Value Added Tax rate to 13% on services provided by hairdressers and fitness studios, explaining that this would be benefit the state budget in the long run and would also create more jobs.

The association presented the findings of an analysis showing that a lower VAT on those services would have multiple positive effects on employment and doing business.

The UGP said that hairdressing is one of the few occupations that have survived changes introduced by the Internet.

The association says that hair salons are mostly small businesses that have managed to remain on the market, but there are fewer and fewer of them and therefore it is necessary to address the issues bothering them in a serious manner.

The lower VAT, the less grey economy

The UGP said that a lower VAT for hairdressers and fitness studios would help reduce the grey economy.

By reducing the VAT rate, the authorities would encourage doing business legally, and consequently, there would be more revenues in the state budget, it added.

Friday, 17 July 2020

Entrepreneurs Call for Deferment of Taxes and Contributions Until September

ZAGREB, July 17, 2020 - The Voice of Entrepreneurs association (UGP) believes that it is necessary to write off income taxes and contributions until at least September, warning that rules are virtually being changed on a daily basis which does not contribute to stabilising business operations.

"We consider that tax and contribution write-offs should continue until September at least, particularly since this affects the most vulnerable companies in tourism, hospitality, transport and similar sectors," the head of the UGP, Hrvoje Bujas, told Hina.

"We see that the rules and concepts are being changed practically every day which, along with the uncertainty caused by the pandemic and two-month lockdown of business operations, is certainly not good for any attempt to stabilise and adapt business," said Bujas.

Finance Minister Zdravko Maric said on Thursday that more than 90,000 taxpayers had requested a deferment or write-off of their tax liabilities which amounted to a total of HRK 5.3 billion, saying that these measures referred to April, May, and June and would not be extended.

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