Unions support recommendations made by President Ivo Josipovic to relieve the loan repayment crisis facing citizens, but say that the president should convene a meeting of the cabinet and demand that these measures be implemented.
Union leaders on Monday unanimously welcomed the meeting organised by the President's Office on Saturday when he presented 20 recommendations that could assist citizens burdened by debt, particularly those stricken by poverty.
Currently between 20% and 24% of people in Croatia are living below the poverty threshold with incomes less than HRK 2,200 a month for individuals or HRK 4,400 for a family of three. At the same time virtually 250,000 citizens' bank accounts have been blocked, mostly because they cannot pay their bills for utility services.
We welcome the fact that the question of poverty in Croatia has been raised at that level as the voice of the president has some weight. Unions though have added that they do not agree with Josipovic not confronting the government with these issues as it is the government in fact that is responsible for the difficult situation in the country because it has not undertaken effective economic and social measures.
We regret that Josipovic did not support our initiative to convene the government and we will recommend this once again at the next meeting scheduled for March 27, the president of the HUS trade union federation, Ozren Matijasevic, told the media on Monday.
The unions particularly welcome the introduction of personal bankruptcy which could partially relieve the situation and which exists in many EU countries.
President of the Independent Union Federation Kresimir Sever believes that the most important recommendation is that foreclosures cannot be enforced on the residence someone lives in.
The unions agree that the Croatian National Bank should take responsibility as an independent regulator to monitor interest rate policies, particularly those concerning variable interest rates.