Comprehensive Guide on Initiating a Labor Market Test in Croatia 

In our previous discourse on the recruitment of foreign employees, we explored the intricacies of the work permit application process and eligibility criteria. In today’s discussion, we will delve into the intricacies of the labor market test, an essential step when considering the employment of foreign non-EU/EEA individuals, either on a part-time or full-time basis. This procedure, known as “test tržišta rada” (labor market test), is a prerequisite conducted by HZZ (Croatian Employment Service) before the hiring of foreign workers is sanctioned. 

The labor market test conducted by HZZ involves scrutinizing its list of unemployed individuals to determine if any match the specific requirements outlined by the Croatian employer. If there are no suitable candidates within the domestic pool of job seekers, the employer is granted permission to proceed with hiring the foreign worker. 

The timeframe for HZZ to complete the labor market test is 15 days from the date of the company’s request. Once approved, the company has 90 days to finalize the hiring process. However, prior to commencing employment, a work and stay permit must also be obtained for the foreign worker through the Croatian Ministry of Internal Affairs (MUP). 

Nevertheless, certain exemptions exist where a labor market test may be waived. Instances warranting exemptions include: 

  1. Deficient occupations 
  1. Extension of a work permit for the same employer and the same third-country national employee 
  1. Seasonal employment of third-country nationals in agriculture, forestry, catering, and tourism (for up to 90 days during one calendar year) 
  1. Groups listed in Article 110 of the Aliens Act (key staff in companies, EU blue card holders, persons transferred within the company, etc.) 
  1. Additionally, certain occupations are exempt from the labor market test under the category of “brz uvoz radnika” (rapid import of workers). Occupations falling under this exemption typically experience workforce shortages, resulting in sustained demand in the Croatian labor market. 

Now, let’s navigate the steps to perform a labor market test: 

Step 1: Create HZZ Account for the Company 

Initiate the process by creating an account for your Croatian company on HZZ’s website. If your company already has an account, log in to commence the procedure. The registration involves providing necessary company details, and the account becomes accessible after 24 hours. 

Step 2: Initiate a Labor Market Test 

Submit a request for a labor market test through the HZZ account by describing the future foreign worker’s job. The application form covers data on the employer, working place, working conditions, additional data on the working place, and the duration of the labor market test. 

Step 3: HZZ Provides You with an Advisor 

Upon submitting the request, HZZ assigns a personal advisor who will guide you through the labor market test process and inform you of any necessary changes. 

Step 4: HZZ Checks Their Database of Unemployed 

After confirming the completeness of your request, HZZ publishes the job ad on their site and checks their database for potential candidates fitting your job description. 

Step 5: HZZ Provides You with Results 

If no suitable candidates are found, HZZ grants permission to hire a foreign worker, with a notification sent by email detailing the deadline for hiring. 

Step 6: Apply for Work and Stay Permit at MUP 

After HZZ approval, apply for a work and stay permit for the foreign employee through MUP/Croatian police. 

Step 7: Hire Your Foreign Worker 

Upon receiving approval from MUP, proceed to hire your foreign worker, and they can commence their employment. 

As a bonus, consider contacting HZZ before initiating a labor market test to obtain the latest information and streamline the process. Additionally, ensure that your company meets the initial requirements, including performing a registered business activity in Croatia, having a full-time Croatian employee for at least 6 months, maintaining a clean legal record, and meeting specific employee citizenship ratios. 

While this process may seem intricate, Profesio is here to assist you. Contact us now for professional guidance and support at info@profesio.hr or janette.milinovic@profesio.hr

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