AIM

Preservation of workplaces for employers whose economic activity has been disrupted due to the consequences of the earthquake disaster in the Sisak-Moslavina, Zagreb and Karlovac counties.

 TARGET GROUPS OF EMPLOYERS

Employers from the area of Sisak-Moslavina, Zagreb and Karlovac counties where disaster caused by the earthquake was declared, regardless of the activity and the decline in traffic, in case when due to objective reasons business processes are significantly reduced or disabled. Objective reasons are: significant damage caused by an earthquake at business or production facilities and / or the inability of employees to come to work based on which normal business or production process cannot be established. 

THE AMOUNT OF GRANT

HRK 4,000.00 per full-time employee, i.e., a proportion of the amount per employee employed part-time. Employers from earthquake-affected areas in Sisak-Moslavina, Zagreb and Karlovac counties do not need to prove that they had a drop in income / revenues and can use the grant for January and February 2021.

When submitting the application, the mentioned employers will declare under material and criminal liability that the circumstances from the criteria for obtaining grant have occurred. The Authorities may subsequently request additional evidence of the allegations in the statement.

PUBLIC ANNOUNCEMENT

The request is submitted through the online application at the web address mjere-orm.hzz.hr in accordance with the available instructions.

EMPLOYERS’ OBLIGATIONS

Immediately or within 8 days the latest, inform the Employment Service Fund in case the employment contract with an individual employee has been terminated with the exact date and reason for termination.

Retain all employees who were employed on the first day of the month for the month that the employer receives the grant, except for those whose employment contract is terminated in any of the following ways: expiration of a fixed-term employment contract, termination of an employment contract because of employees’ behavior, personally conditioned termination of the employment contract, extraordinary termination of the employment contract, termination of the employment contract given by the employee to the employer, retirement of the employee. In event of termination of the employment contract in any of the above ways, the employer is entitled to the payment of the grant according to the days worked by the employee in the month of dismissal.

The employer is obliged to submit to the Authorities the evidence of paid salary:

  • for the month of January, no later than 5 March 2021; and
  • for the month of February, no later than 5 April 2021.

Proof of paid salary is considered to be a financial document from which it is evident that the payment of salary is made (bank statement from transaction account), the code of the report on receipts, income tax and city surtax and contributions for compulsory insurance (form JOPPD) and OIB of each employee for which is paid grant for each month of salary payment.

An employer who has requested grant for 50 or more employees will be obliged to repay the grants if, from the moment of receiving the grant until 31 December 2021, he acts in one of the following ways:

  1. pays a dividend or share in profit or other equivalent receipts that are considered as distribution of profits of any tax period;
  2. if he allocates his own shares or own business shares to members of the management board and/or executive directors and/or procurators and/or other persons authorized to run all or part of his company;
  3. grant the right to the persons referred to in point 2 to the option purchase of shares or any other right based on the value of own shares;
  4. pay to the persons referred to in point 2 any amount such as: bonus for achieved results, reward for work results above the non-taxable amount prescribed by the regulations governing income taxation and other similar receipts which are taxed as income from self-employment or other income, in accordance with the regulations governing income taxation;
  5. acquires own shares or own business shares.

PAYMENT OF GRANT

Until the last day of the month for the previous month, and at the latest upon submission of proof of paid salary.