Slovenian business urges free movement of labour from Croatia
By Marja Novak
LJUBLJANA, March 22 (Reuters) - Slovenia's Chamber of Commerce and Industry urged parliament on Thursday to reject a draft law proposed by the government that would delay the free movement of workers from neighbouring Croatia to Slovenia until mid-2020.
Croats should be able to work in Slovenia without special permits from July this year, in line with European Union rules. But weeks ahead of a general election, the centre-left government is seeking a delay to prevent what it calls potential labour market disruption.
The Chamber said in a statement that local labour could not meet rising demand for workers in Slovenia, and "therefore we are and will be dependent on employing foreigners if we want to retain economic growth and development".
"Prolonging limitations for Croatian workers is therefore entirely contradictory to the needs and expectations of the economy and particularly companies on the Slovenian-Croatian border," it added.
Parliament is expected to debate the draft law before the election, which is expected in late May or early June.
The government said on Wednesday that Croatia's geographic and cultural ties to Slovenia meant "the levelling of Croatian citizens with domestic workers could have a significant negative effect on the Slovenian labour market".
Slovenia's jobless rate was 5.8 percent in the last quarter of 2017, the lowest level in 8.5 years.
Slovenia and Croatia both declared independence from the former Yugoslavia in 1991. Slovenia joined the European Union in 2004 and Croatia followed nine years later.
The Slovenian government expects economic growth of 5.1 percent this year, boosted by exports and investments, after the economy expanded 5 percent last year, a 10-year high. (Reporting By Marja Novak Editing by Catherine Evans)
