The new Social Welfare Act has been in effect since the beginning of 2022, and one of the positive changes it introduced is an increase in the guaranteed minimum allowance (GMA).

This was good news for recipients of this benefit, especially as it concerns people in extremely difficult life circumstances, for whom any support is vital. However, the Act did not specify exactly when users would become entitled to the increased allowance, nor did it ensure that everyone would receive it at the same time, meaning some beneficiaries may have been placed at a disadvantage.

We pointed this out to the Ministry of Labour, Pension System, Family and Social Policy in the cases we handled, and more recently during the public consultation on the Draft Law on Amendments to the Social Welfare Act, including the Final Draft.

A Precise Deadline Is Needed

The new Act only states that the process of recognizing entitlement to the now-increased allowance for existing users must begin within six months of the Act coming into force.

This kind of deadline can lead to inconsistencies in implementation and inequalities among recipients—some might start receiving the increased benefit earlier than others. Namely, social welfare centers are not physically able to initiate all procedures on the same day, and the procedures themselves vary in duration.

For this reason, the law should explicitly state that existing beneficiaries are entitled to the increased amount as of the date the new Act came into force (17/02/2022).

That said, this is an issue of lack of precision in setting deadlines and the resulting inconsistency in implementation, not discrimination, since recipients were not treated differently based on protected grounds such as age, health, gender, or ethnicity.

Calculating the Difference – Example of a Four-Member Family

To understand the effects of this inconsistency, consider the following hypothetical example:

A four-member household with no income—consisting of two adults and two children—was entitled to 1,600 HRK per month under the “old” Act.

After the new Act and the accompanying decision that increased the base for calculating the allowance took effect, their GMA would rise to 2,800 HRK per month. While still not enough for the needs of a four-member household, this is a significant increase of 1,200 HRK, much needed in a time of rising daily costs.

But since the law currently provides that the entitlement is recognized from the date the procedure is initiated ex officio, i.e., any time within six months from the law taking effect, it’s possible that some households began receiving the higher amount as early as February, while others only got it in August.

For this reason, all GMA recipients who still qualify under the new law should have the increased amount recognized from the date the law took effect.

Registering a Claim – As in the Previous Act

We also proposed changing the way the law handles the registration of claims against recipients of GMA. It should be regulated the same way as in the previous Social Welfare Act: applicable only to second homes or houses (not the primary residence), which can be sold or rented to meet basic living needs, and to other properties not used for housing, owned by adult recipients.

This change is needed to prevent situations in which people—despite having no means of support—make the painful decision to refuse GMA out of fear of losing their home. This is especially true for individuals not well informed about how claim registration actually works in this context.

Welcome Improvements to Transitional and Final Provisions

As the Croatian Parliament’s authorized body for protecting and promoting human rights and for combating discrimination, we welcomed the submission of the Draft Law on Amendments to the Social Welfare Act, including the Final Draft, to parliamentary procedure—especially since it improves the transitional and final provisions of the 2022 Act.

These amendments aim to standardize the start date for benefit recognition and payment for those who had the status of parent caregivers or caregivers, as well as for users of the personal needs allowance for recipients of residential or supported housing services.

However, the same should also be applied to recipients of the guaranteed minimum allowance.

Finally, this Draft Law is justifiably being fast-tracked, given that the deadlines for these procedures have already passed—and every increase or timely payment of the allowance means a lot to these vulnerable users.

In addition to highlighting the issues faced by GMA recipients, during the consultation we also proposed amendments to clearly define the responsibilities of local and regional authorities in crisis situations, such as when families with minor children lose their homes.

You can find the details of this proposal [here], and all our comments on the Draft Law on Amendments to the Social Welfare Act, including the Final Draft, are available [here].

For more information on social welfare, poverty, and human rights, refer to the Ombudswoman’s 2021 Annual Report.