Dip in Unemployment Cheers Croatia

Croatia’s Employment Bureau, HZZ, on Monday reported that the number of unemployed adults fell to 296,094 in July and again to 294,988 on Monday, 11 August.

The last time the number fell below 300,000 was in July 2012, when the jobless total was 298,690.

The number of unemployed fell in July by 8,831 or 2.9 per cent compared to June, and by 20,152, or 6.4 per cent, compared to July 2013.

The fact that only 5,247 or 27.1 per cent of newly employed persons in July were employed in seasonal work is seen as a cause for optimism, since this is 1,155 people or 18 per cent less than in July 2013.

The unemployment rate has now fallen for the fifth consecutive month, or for a sixth, if August is included.

It remains to be sees how the numbers change after the peak touristic season ends, when the contracts of the bulk of seasonal workers will end.

The downward trend is partially attributed to a combination of new work in tourism, government measures such as paid vocational training and investment in public work. Erasing some people from the jobless registry also influenced the number.

Croatia’s unemployment rate in June, at 16.3 per cent, remains significantly higher than its EU neighbours Slovenia - 10.1 per cent - and Hungary - around 8 per cent. It is also higher than in its ex-Yugoslav neighbour Montenegro - 13.4 per cent.

However, the jobless rate in Croatia is slightly below that of  Serbia - 20 per cent - and is significantly better than in Bosnia and Herzegovina, where 46.6 per cent are jobless.