Croatia is on the brink of major changes in its pension system, but are these changes really what pensioners need? The new pension insurance law introduces five key measures that will take effect on July 1 this year. Among them are the removal of the age limit for working after 70, a 3% increase in the lowest pensions, and better alignment of pensions with wage growth. Officially, the goal is to reach an average pension of 1,000 euros by the end of the government’s term, while currently it is around 800 euros. But is that enough?
Srećko Vuković from the Croatian Pensioners’ Union points out that the law encourages people to stay longer in the workforce, but the new union president, Višnja Stanišić, warns that a 3% increase in the lowest pension is just cosmetic and many pensioners barely get by. She believes it is unfair to force people to work past 65, as many are already sick and exhausted. Economist Vedrana Pribičević adds that increasing the retirement age is a demographic necessity, but pensions grow slower than wages, increasing the risk of poverty among pensioners.
The law also increases parental leave from 6 to 12 months, which automatically raises parents’ pensions, and removes the upper limit on bonuses. Currently, about 1.1 million insured persons are working in Croatia, a historic high. However, the question remains how long pensioners can endure working past 65, especially those in physically demanding jobs.
While the government praises the law as a big step forward, unions and experts warn that deeper reforms and greater social justice are needed. Pensioners demand a dignified old age, not just symbolic increases. Will Croatia find the right balance between economic needs and human rights? Or will pensioners remain trapped in a system that forces them to work until they drop?
If you have thoughts on these changes, or are a pensioner feeling the impact, drop a comment below. Let’s hear from those who really live this story!
