Report highlights challenges for Croatian women's workforce participation

Report highlights challenges for Croatian women's workforce participation
Banking & Financial Services
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Ajay Banga, 14th president of the World Bank | World Bank website

Over the past decade, the labor market situation for Croatian women has improved significantly, nearing European Union (EU) averages. However, challenges persist, particularly for young women aged 15–24 and older women aged 55–64. Their employment rates remain lower compared to men and their EU counterparts. In 2023, only 19.4% of Croatian women aged 15–24 were employed, compared to one-third in the EU. For older women, the employment-to-population ratio was 47.5%, compared to 58.0% in the EU.

The report titled “Breaking Barriers: Empowering Women in Croatia’s Workforce” identifies several barriers to female labor force participation. These include individual, sociocultural, structural, and institutional factors. Traditional norms often place caregiving responsibilities on women, leading to unequal sharing of family duties. Additionally, gaps in childcare coverage and inaccessible care facilities exacerbate gender employment gaps.

Despite these challenges, Croatian women outperform men in educational outcomes and have higher participation rates in tertiary education but are underrepresented in STEM fields. This underrepresentation risks worsening inequalities in employment and wages in the future. Furthermore, there are fewer female entrepreneurs than male ones in Croatia; they often lack access to systematic support such as skills training and suitable financial products.

To address these barriers and improve women's labor market outcomes, the report offers several recommendations:

1. Transforming social norms by promoting shared parental responsibilities and increasing parental leave compensation.

2. Improving childcare access by expanding early childhood education facilities.

3. Facilitating transitions to work by expanding flexible work arrangements.

4. Supporting women entrepreneurs by providing access to financial products and entrepreneurship training.

5. Expanding long-term care facilities by fostering women's entrepreneurship within the care market.

6. Designing gender-sensitive policies tailored to address unique barriers faced by women.

By implementing these recommendations, Croatia can advance towards gender equality in its labor market while contributing to economic growth and social progress.