Employees in the Czech Republic

Overview by Globlatrade.net:

Working Conditions

Opening Hours
  • Legal Weekly Duration
40 hours
  • Maximum Duration
40 hours
  • Night Hours
Not limited if maximum duration is fulfilled.
Working Rest Day
Saturday, Sunday
Paid Annual Vacation
After 3 month of testing period workers have the right for vacation in duration of one-twelfth each worked month. The minimum annual holiday is four weeks (20 working days)
Retirement Age
Men 63 years, Women 59-62 years depending on number of children. In order to reach retirement age it is necessary to pay pension insurance (to be employed or to do own business) for at least 25 years. It is planned to change retirement age for 65 Years.
Child Labor and Minimum Age For Employment
15 years are minimum age for employment of young people, but they may not work overtime and do night shifts.
Informal Labor Market
Informal labor market is more important than EU 27 average, but due to tax reform will probably decrease to average values.

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The Cost of Labor


Minimum Wage
8000 CZK (2007), i.e. 300 Euro
Average Wage
Average monthly gross earnings in Czech Republic is CZK 21,470 (1,100 USD).
Other Forms of Pay
  • Pay For Overtime
25% over the basic rate
  • Pay For Rest Days Worked
10% for overtime work completed on weekends or on days not stipulated in the original employment contract.
  • Pay For Night Hours
10% for overtime work completed between 10 pm and 6 am
  • Pay For Overtime at Night
25% over the basic rate for overtime work.

Social Security Costs

The Areas Covered
Companies must contribute to state social security and health schemes for each employee. The total contribution amounts to 35% of an employee?s gross wages: 21.5% for pension insurance, 9% for health insurance, 3.3% for sickness insurance and 1.2% for employment insurance.
Contributions Paid By the Employer: 35%
Contributions Paid By the Employee: 12.5%
Competent Organization
Social Security Administration

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