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Employment Law in Czech Republic

Employment Law in Czech Republic

Updated on Friday 04th March 2016

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Employment-Law-in-Czech-Republic.jpgForeign investors who want to establish a company in Czech Republic in which personnel will be employed should be familiar with the labor legislation applicable here, as it states the relationships between the employer and employee and it establishes the main rights and obligations to which parties agree upon by signing a contract.
Our Czech lawyers can provide you with assistance on the labor legislation or can represent you if you need to draft an employment contract

Czech employment legislation applicable to foreigners 

Employment relationships are established under the Labor Code and it is applicable to both national and foreign entities (companies or individuals). The provisions stipulated by the Labor Code are also available if the parties involved are both foreigners, as long as the employment terms have been agreed upon in Czech Republic
At the same time, foreign entities are allowed to choose the employment legislation applicable in their home country; our lawyers in Czech Republic can provide you with further information on the labor relationships established between foreigners and local employers

Amendments to the Czech Labor Code 

The Czech government has recently introduced new regulations to the Labor Code, created to support both the employer and the employee. The employment legislation was modified on 1st October 2015 with the following provisions:
the government will offer a 20% subsidy for the salary of the employees if the company is affected by various financial crisis and has to reduce the level of payments allocated to the employees;
the new Labor Code provides new compensations for work injuries and occupational diseases;
the Code offers a new termination period for contracts signed between employees who are enrolled in a second job outside their primary full time job;
the minimum wage, which became effective from 1st of January 2016, was increased from CZK 9,200 to CZK 9,900. 
 If you need further information on the employment law in Czech Republic, please contact our team of Czech lawyers, who can provide you with assistance on this matter. 


  • Christian 2016-03-02

    Could you please provide me with more information on the types of employment contracts available in Czech Republic?

    Yes, we can. Please send us an e-mail and our specialists will answer you as soon as possible. 

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