The topic of the diploma Thesis is the movement of the costs of employees in Bjelovar Hospital before and during Covid. The paper analyzes the costs of employees in the Bjelovar General Hospital in the period from 2018 to 2022. The main sources of data used in the work are the official websites of the Croatian Health Insurance Institute, financial reports of the Croatian Health Insurance Institute, financial reports of the Bjelovar General Hospital, and works dealing with the financial efficiency of the health care system. By analyzing the state of healthcare through its history, organization and financing, the main problems of the healthcare system are presented in the paper, which are also reflected in the work of hospital institutions. By describing the operations of the Bjelovar General Hospital, the aim of the paper is to analyze the movement of employee expenses before and during the Covid pandemic with the aim of better resource management, improvement of service quality and financial stability, as key elements of business sustainability. The paper confirms through discussion the hypothesis that the Covid pandemic influenced the growth of employee costs in the observed period. The contribution of the paper is in the recommendation for future research on the pattern of growth in the costs of employees in hospital institutions in order to find solutions to improve the efficiency of the health system to the satisfaction of employees and users.