2013 MBAA/NAMS presentation, "An Emerging Economy in the Great Recession: Croatia's Quest for Workplace Health and Safety" Melody L. Wollan, Eastern Illinois University; Foster C. Rinefort, Eastern Illinois University; and Joseph A. Petrick, Wright State University

1. An Emerging Economy
in the Great Recession:
Croatia's Quest for
Workplace Health
and Safety
Melody L. Wollan, PhD, SPHR
Associate Professor of Management,
Eastern Illinois University
Foster C. Rinefort, PhD, PE, SPHR
Professor Emeritus, Eastern Illinois University
Joseph A. Petrick, PhD, SPHR
Professor of Management, Wright State University

2. Introduction
• Recent history
• Yugoslavia
• European Union
• Political Instability
• Economics
• Financial Crisis
• Government
• Occupational Safety &
Health
Purpose:
An overview to inform further
data collection and analysis
on management issues in this
country, including health and
safety of the Croatia workforce

3. ECONOMY
Overview
 WWII – Market Socialism  Succession of Leadership
 1991 Independence  Pop. 4,480,000
Privatization of industry & business
 Exceptions  Commitment to workers &
 Agriculture and fishing (9.3% of holdings at end of 2001) Western business strategy
 Tourism (21% of holdings)
 Industry and mining (43% of remaining holdings).

4. Plitvice National Park
UNESCO World Heritage Site;
16 lakes

7. ECONOMY
Overview
 WWII – Market Socialism  Succession of Leadership
 1991 Independence  Pop. 4,480,000
Privatization of industry & business
 Exceptions
 Agriculture and fishing (9.3% of holdings at end of 2001)  Commitment to workers & Western business
 Tourism (21% of holdings) strategy
 Industry and mining (43% of remaining holdings).
Recession pressures
 Increasing foreign debt, exports stable
 Tight budgets
 Deterioration of capital investments
 Change in “tourism” to less profitable type

8. Table 1:
Principle Measures of Economic Activity in Croatia (CIA World Factbook, 2012 )
2010 2012
Gross Domestic Product $79 billion $81 billion
Population 4,416,000 4,480,000
Gross Domestic Product per Capita $17,500 $18,400
-6% 0%
Change in Gross Domestic Product
(from 2009 to 2010) (from 2011 to 2012)
Budget Deficit as % of GDP 2% 6%
Public Debt as % of GDP 58% 44%
Inflation 1.1% 2.3%
Labor Force 1,800,000 1,717,000
Unemployment 16% 18%

9. GLOBAL INFLUENCES ON
OCCUPATIONAL SAFETY & HEALTH
United Nations
 International Labor Organization (ILO)
 International Occupational Safety and Health Information Center
 Global Program on Occupational Safety, Health, and the Environment
 World Health Organization (WHO)
 2009 - Global Plan of Action on Worker Health (GPA)
 2010 - National workshop on worker health
 United Nations Economic, Social, and Cultural Organization (UNESCO)
European Union
 European Union Occupational Safety and Health system (Brussels)
 European Agency for Safety and Health at Work
United States - Media & diplomatic missions
 National Safety Council
 International accident facts
 National safety congress
 OSHA - Voluntary Protection Program Participants Association

10. OCCUPATIONAL SAFETY & HEALTH IN CROATIA
Ministry of Health and Social Welfare
 Croatian Institute for Health Protection and Safety at Work
 Croatian Institute for Insurance and Protection of Workers Health
 Croatian Institute for Public Health
 Croatian Institute for Retirement Insurance
 State Inspectorate - enforcement and statistical reports
 Private Organization: National Council for Occupational Safety of the Republic of Croatia
World Health Organization Conferences (WHO)
 “Health Promotion at the Workplace: The Goals and the Means”
Groznjan (2010) - WHO Collaborating Centre for Occupational Health
 "Healthy Workplaces for Health Workers“
Zagreb (2011) - SEE Network on Workers’ Health - Workplace Academy

11. OCCUPATIONAL SAFETY & HEALTH IN CROATIA
Most Recent Data - U.S. Department of State (2009)
 “…many industries often did not meet worker protection standards.”
 “In 2009 the inspectorate initiated 3,316 requests for misdemeanor
proceedings covering 6,635 violations of safety standards.”
 “During 2009 courts handed down 5,286 decisions for misdemeanor acts
involving work safety, a great number of which concerned cases from 2007
and 2008.”
 “…of the 11,932 misdemeanor cases reported over the past few years,
4,351 have been thrown out due to the statute of limitations."

12. OCCUPATIONAL SAFETY & HEALTH IN CROATIA
Accident/Injury reporting factors
 Reductions in reporting – Threat of loss of employment
 Increases in reporting - economic pressures, governmental
emphasis, reduced employer support, and decreased influences of
trade unions
Motor vehicle indications of safety & health
 6120 fatalities (13.6 per 100,000 people) reported in 2010
 More than triple the rate for most northern European countries.
 Probable causes include: economic pressure, increased traffic, poor
roadway maintenance, and increased numbers of immigrant and
younger drivers.

13. MANAGERIAL IMPLICATIONS
• Croatian Agencies to support workplace health and
safety are stabilizing and adapting European Union
standards
• Mechanisms are in place now for reporting violations
• Privatization of Croatian industry has increased foreign
ownership in companies and that will increase the
influence of global standards in safety
• Building expectations for managing health and safety
(weak managerial skills by Croatians in general)
• Building infrastructure nationally will aid worker health
and safety (new roads are not just for tourists)