The Role of Recruitment Agencies in Croatia’s Economic Growth
Croatia is a high-income economy that thrives in tourism and manufacturing. There is a growing need for skilled labour across various industries.
While staffing firms amid the emigration crisis are challenging, Recruitment agencies in Croatia play a vital role in the economy by supplying efficient staff to labour-deficient industries.
This article focuses on the role of recruitment agencies in overcoming labour challenges and, thus, contributing to the growth of the Croatian economy.
Croatia’s Economic Growth- An Overview
Croatia has been an EU member since 2013, and ever since, the country has been gradually progressing in its economy. The country also retired Kuna as its currency and adopted the Euro in 2023, further integrating into the EU economy.
In 2024, Croatia hit a robust GDP growth of 3.9%. At present, the GDP stands at $98.95 billion.
The service sector remains the biggest contributor to the GDP with a whopping 74% share. Tourism contributes 25% and agriculture shares 3%. Currently, Croatia is flourishing in construction, IT, and Tourism.
Labour Market Challenges In Croatia
Croatia is going through a demographic crisis. The population has shrunk by 4 lacs in the last decade following low birth rate, increasing elderly, and emigration. The outcome is-
- An acute skilled labour shortage in IT, healthcare, tourism, and construction.
- 3,00,000 workforce needed by 2030.
- Need of 70,000 seasonal workers ahead of summer 2025.
- Labour demand rate fell by 2.9% in March 2025.
- The labour participation declined after COVID-19.
How do Recruitment Agencies in Croatia Help in Economic Growth?
Recruitment agencies are now not limited to hiring only. They have become the key drivers of employment and functional sectors in Croatia. Here’s how-
Source International Workers when Needed the Most
The rate of emigration in Croatia has been high in the last decade. The current population is 3.8 million. In the face of emigration crises, building a workforce is hard.
Recruitment agencies access workers across the globe and help fill positions with international workers. In 2024, Croatia issued 1,43000 foreign work permits. Agencies also manage cross-border permits, assisting foreign job seekers and keeping growing industries functional throughout the year.
Staff the Tourism Sector efficiently
Croatia is rich in tourism year-round, but it usually surges in summer in coastal cities like Dubrovnik, Split, and Zadar. During seasonal peaks, tourist influx outpaces local supply, thus requiring pre-staffing solutions.
Recruitment agencies help in providing local businesses with temporary or seasonal workers in advance. Since tourism is one major contributor to Croatia’s economy, recruitment agencies indirectly play a vital role.
Sector-Specific Staffing
A large number of firms reported a lack of workers to fill open positions. Hiring agencies come to the rescue here.
Recruitment agencies have access to job seekers from different fields. Some of them also specialize in particular industries. They are pro matchmakers when it comes to accuracy. One such agency out there is Oman Agencies.
With hiring agencies, accurate staffing becomes possible. Especially when there’s a skills gap, getting the right candidate in the right position is crucial for optimal results.
Upskilling and Training by the Agencies
As a part of its economic growth, Croatia has passed several policies, like the Demographic Revitalization Strategy and the National Recovery and Resilience Plan (NRRP), to upskill its population and produce skilled professionals within the country.
Some Recruitment agencies in Croatia are also indirect participants in such initiatives by providing skill training to job seekers. They not only hire but also prepare candidates to ensure job success, ultimately assisting firms to get qualified workers.
Final Words
Besides the demographic decline and acute labour shortage, Croatia is rapidly progressing in the IT and renewable energy sectors, while Tourism remains the backbone of the Croatian economy.
Recruitment agencies in Croatia play a crucial role in bridging labour gaps in key sectors, helping the country navigate its labour challenges. If you’re looking for an agency that can fill the gaps and hire some of the best talent out there, Oman Agencies is the one to go for!
