European Foundation
for the Improvement of
Living and Working Conditions

The tripartite EU agency providing knowledge to assist
in the development of better social, employment and
work-related policies

EU PolicyWatch

Database of national-level policy measures

Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for measure HR-2022-4/2764 Updated – measures in Croatia

Green and digital subsidy for self-employment

Potpora za samozapošljavanje - zeleno/digitalno

Country Croatia , applies nationwide
Time period Open ended, started on 21 January 2022
Context Green Transition, Digital Transformation, European Semester
Type Legislations or other statutory regulations
Category Promoting the economic, labour market and social recovery into a green future
– Active labour market policies (enhancing employability, training, subsidised job creation, etc.)
Author Predrag Bejakovic (IJF)
Measure added 18 August 2022 (updated 27 February 2023)

Background information

The Croatian Employment Service provides definitions and frameworks for determining business activities that are deemed as green and digital and gives information on various incentives for such jobs. One form of incentives for these activities is the Green and digital subsidy for self-employment.

The subsidy aims to provide funds for self-employment and to allow for the legalisation of existing work or to employ through a business idea for which they assumed had market potential, or they wished to start "privately" doing the job for which they had previous experience, i.e. which they previously performed for an employer.

Content of measure

The subsidy can be awarded to an unemployed person or to a group of unemployed people if they will jointly establish and start operations of a new business entity or continue with the business of the existing business entity that they have taken over.

Target groups are jobless persons registered in the register of unemployed persons maintained by the Croatian Employment Service. Applicants must meet the criteria of a green or digital workplace as defined by the Glossary. The subsidy for self-employment can be assigned to two groups of users.

The first group is eligible up to HRK 150,000 (€19,920). The subsidy is awarded for activities that belong to the following areas classified by NACE:

  • (B) mining and quarrying (sections 05-09);
  • (C) manufacturing industry (sections 10 - 33);
  • (D) supply of electricity, gas, steam and air conditioning (section 35);
  • (E) water supply; wastewater removal and waste management and environmental rehabilitation activities (sections 36-39); and
  • (F) construction (sections: 41-43).

The second group is eligible up to HRK 110,000 (€14,608). It is awarded for registration and future performance of activities that belong to the following areas classified by NACE:

  • (G) Wholesale and retail trade; repair of motor vehicles and motorcycles (all sections except 47.99);
  • (H) Transportation and storage;
  • (I) Activities of providing accommodation and preparing and serving food (only section 56);
  • (J) Information and communications; (M) Professional, scientific and technical activities (all sections except 69.1);
  • (N) Administrative and auxiliary service activities (all sections except 77, 78 and 79);
  • (P) Education;
  • (Q) Health care and social welfare activities;
  • (R) Arts, entertainment and recreation (all divisions except 93.19) and
  • (S) Other service activities (all sections except 94).

The stated amounts represent the maximum possible amount of support that can be granted, while the final amount shall be determined based on the evaluation of the justification of the initial investment accordingly needs expressed in the submitted business plan and cost estimate, which is an integral part of the business plan.

The employer is obliged to spend HRK 20,000.00 (€2,656) from the total amount of support on activities/purchase of equipment that contribute green/digital transition with a detailed explanation in the business plan.

Updates

The following updates to this measure have been made after it came into effect.

01 January 2023

As Croatia has entered the Eurozone since the beginning of 2023, the information on the available subsidies and conditions for their use available on the web page of the Croatian Employment Services are presented in Euro. The amount of subsidies for green and digital self-employment jobs has been divided and specified for three groups of beneficiaries. The first group can obtain up to €20,000 for registration and future business activities in NACE Sectors (C) Manufacturing (sections 25 – 33) and (F) Building (section 41- 43); the second group can get up to €15,000 for registration and future business activities in NACE Sectors (C) Manufacturing (section 10 - 24) and (J) Information and communication; while the third group is eligible for grants up to and €10,000 in (D) Supply of electricity, gas, steam and air conditioning (section 35), (E) water supply; wastewater removal and waste management and environmental rehabilitation activities (sections 36-39), (G) Wholesale and retail trade; repair of motor vehicles and motorcycles (all sections except 47.99), (H) Transportation and storage, (I) Activities of providing accommodation and preparing and serving food (only section 56), (M) Professional, scientific and technical activities (all sections except 69.1), (Q) Health care and social welfare activities, (N) Administrative and auxiliary service activities (all sections except 77, 78 and 79), (P) Education, (R) Arts, entertainment and recreation (all sections except 93.19), and (S) Other service activities (all sections except 94). All other conditions are mostly the same as earlier.

Use of measure

According to the Statistical Bulletin No. 7 (Mjesecni statisticki bilten) by the Croatian Employment Service (Table 25, page 52) in the first seven months of 2022, 147 persons got the Green and digital financial subsidy for self-employment, of which 47 obtained it in July 2022. It could be expected that the interest for the Subsidy will increase with time.

Target groups

Workers Businesses Citizens
Self-employed
Unemployed
Solo-self-employed
Start-ups
Applies to all citizens

Actors and funding

Actors Funding
National government
Public employment service
European Funds
National funds
National Recovery and Resilience Facility

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role No involvement No involvement
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • No involvement
  • Main level of involvement: N/A

Involvement

Although social partners were not directly included in the design of the measure, indirectly they participated because representatives of social partners are members of the Croatian Employment Service Governing Board which concludes on the characteristics of the active labor market measures.

Views and reactions

Social partners in Croatia fully support all measures directed towards the transition to green and/or digital economy.

Sectors and occupations

    • Economic area Sector (NACE level 2)
      B - Mining And Quarrying B5 Mining of coal and lignite
      B6 Extraction of crude petroleum and natural gas
      B7 Mining of metal ores
      B8 Other mining and quarrying
      B9 Mining support service activities
      C - Manufacturing C10 Manufacture of food products
      C11 Manufacture of beverages
      C12 Manufacture of tobacco products
      C13 Manufacture of textiles
      C14 Manufacture of wearing apparel
      C15 Manufacture of leather and related products
      C16 Manufacture of wood and of products of wood and cork, except furniture; manufacture of articles of straw and plaiting materials
      C17 Manufacture of paper and paper products
      C18 Printing and reproduction of recorded media
      C19 Manufacture of coke and refined petroleum products
      C20 Manufacture of chemicals and chemical products
      C21 Manufacture of basic pharmaceutical products and pharmaceutical preparations
      C22 Manufacture of rubber and plastic products
      C23 Manufacture of other non-metallic mineral products
      C24 Manufacture of basic metals

This case is not occupation-specific.

Sources

  • 21 January 2022: Potpora za samozapošljavanje - zeleno/digitalno (the Green/Digital Financial Subsidy for Self-Employment) (mjere.hr)
  • 01 January 2023: Potpora za samozapošljavanje - zeleno/digitalno (the Green/Digital Grant for Self-employment) January 2023 (mjere.hr)

Citation

Eurofound (2022), Green and digital subsidy for self-employment, measure HR-2022-4/2764 (measures in Croatia), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/HR-2022-4_2764.html

Share

Eurofound publications based on EU PolicyWatch

30 January 2023

 

Measures to lessen the impact of the inflation and energy crisis on citizens

Governments across the EU continue to implement policies to support citizens and businesses in the face of rising food and energy prices caused by the COVID-19 crisis and intensified by the war in Ukraine. This article summarises the policy responses as reported in Eurofound's EU PolicyWatch database from January to September 2022.

Article

12 September 2022

 

First responses to cushion the impact of inflation on citizens

Although the worldwide pandemic situation had already disrupted supply chains and triggered increases in energy and food prices in 2021, the situation deteriorated in 2022 with the Russian invasion of Ukraine.

Article

12 September 2022

 

Policies to support EU companies affected by the war in Ukraine

This article summarises the first policy responses that governments across the EU have started to implement to support companies affected by the rising prices, and those with commercial ties to Ukraine, Russia or Belarus.

Article

5 July 2022

 

Policies to support refugees from Ukraine

This article summarises the first policy responses of EU Member States, including those of the social partners and other civil society actors, enabling refugees to exercise their rights under the Temporary Protection Directive.

Article

Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.