Labor market is one of the most complex and sensitive markets. Basic indicators on the labor market include working age population, labor force, employment rate and unemployment rate. The labor market of the Republic of Croatia is characterized by a low employment rate, the lack of labor force, discrepancy between education and labor market, workers' uncertainty and dissatisfaction, as well as high unemployment of the young. There are numerous causes of unemployment and we differentiate between cyclical, frictional, seasonal and structural unemployment. Due to discrepancy between supply and demand there is a continuous presence of structural unemployment and weak efficiency of Croatian labor market. The Republic of Croatia is confronted with the process of population ageing and the assumption is that by the end of 2050 the structural population pyramid will turn in the opposite direction, i.e. population over sixty years of age will overcome. Young labor force is forced to seek work and a better life in other countries which results in low birth rate and brain drain. Students do not have great expectations after graduating from school and the majority of them are planning to move away. An online survey of Croatian labor market has been conducted. The aim of the research was to confirm given assumptions about the condition of Croatian labor market.