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PREMIER AND UNIONISTS HARMONISE VIEWS ON COMPENSATION MEASURES

ZAGREB, April 25 (Hina) - Union leaders agreed on Friday with Croatian Prime Minister Ivica Racan on a model according to which senior employees should be compensated for the loss of some working rights however the finance ministry needs to give its opinion on the matter by next Wednesday.
ZAGREB, April 25 (Hina) - Union leaders agreed on Friday with Croatian Prime Minister Ivica Racan on a model according to which senior employees should be compensated for the loss of some working rights however the finance ministry needs to give its opinion on the matter by next Wednesday. #L# The heads of trade union federations previously came to an agreement with the premier that changes to the Labour Law (ZOR) would not involve a decrease in redundancy payments for employees with up to 20 years in service and that senior employees should be compensated for the loss of their rights. This involves increased unemployment allowances and an extension of the period of eligibility for allowances. Today it was further agreed that workers with over 20 years seniority should be paid double the redundancy payment dependant on their length of service. Following today's meeting between the union chiefs and PM Racan, Labour and Social Welfare Minister Davorko Vidovic said he expected a positive assessment from the finance ministry regarding the compensation measures because these would not burden the budget significantly this year. The costs of the compensation measures calculated by an expert working group are estimated at 200 million kuna (approx. 26.6 million euros). Vidovic announced that the government on Wednesday would define what should be amended from the package of labour welfare legislature as well as define deadlines when the series of laws in that area should be adopted, in order to provide a higher level of security to workers and employers. The entire story over the changes to labour legislation should be wrapped up by July 1, the minister said. (hina) sp ms sb

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