Staff - Czech Republic

Updated 07/2012

Legal requirements

In the Czech Republic, employment issues, employment law issues and related questions are handled under the Act on Employment, the Labour Code and the Collective Bargaining Act.

Employment Code
Employment Act
Collective Bargaining Act

Hiring staff

Your duties as an employer are set out in the Labour Code.

Guide to staff and pay issues

The recruitment and selection of employees, their motivation to the desired level of performance, education and personal development are important areas of human resources management.

Special conditions apply to specific groups of employees: children, young people, women and people with disabilities.

Employing women
Employing people with disabilities

Employment contracts

There are two main types of contract:

employment contracts;
contracts for work performed outside an employment relationship.
Employment contract
Contract for work performed outside an employment relationship

Remuneration of employees

The Labour Code defines common remuneration principles and protects employees against unfair treatment, such as unreasonably low wages and pay discrimination.

Remuneration of employees in the corporate sphere
Payment system principles

Laying off employees

Employment contracts can be terminated:

by agreement;
by notice, after a specific notice period of a least two months;
by immediate termination;
by termination within a trial period.

Employment contracts for fixed periods of time terminate with the end of the period for which they were concluded, unless decided otherwise in accordance with the Labour Code.

General conditions for notice validity
Notice served by an employer

Employing foreigners

Citizens of the EU/European Economic Area (EEA) and Switzerland are not considered foreigners. They enjoy the same rights as Czech citizens and do not need a work permit (i.e. an employment permit or Green Card).

Employment relations between employers and foreigners are regulated mainly under the Labour Code, in the same way as for employees who are Czech citizens. In the case of employees who are foreigners, however, relations between employer and employee may also be regulated under the Act on International Private and Procedural Law.

When employing a foreigner in the Czech Republic, the following are required:

a work permit and a reisdence permit;

a Green Card, which combines within it an employment and residence permit;
a written employment contract;
payment of social and health insurance contributions by the employer.

Foreigners may be employed in the Czech Republic only on the basis of a vacant position advertised at an employment office, which cannot be filled by a citizen of the Czech Republic /EU/EEA or Switzerland.

There are minimum social rules to follow, especially about non-discrimination, gender equality and health and safety.

Staff welfare — Czech Republic

Administrative procedures

Employing EU/EEA and Swiss citizens
Employing third country nationals

Work permits for foreign workers

A foreigner may be employed in the Czech Republic on the basis of 2 types of permit:

Employment permit;
Green Card.

Employment permit

An employment permit is issued by the employment office in the district where the foreigner will pursue the employment. A foreigner will usually apply for an employment permit before travelling to the Czech Republic, or the employer or other person may submit the application on his/her behalf, based on a power of attorney. An administrative fee of CZK 500 must be paid.

An employment permit is issued for a fixed period of up to two years, although it may be extended repeatedly. A foreigner may perform work only in accordance with the information stated in the employment permit (or Green Card). If, for example, he/she carries out work other than that which is stated, for a different employer or in a different location, he/she will be working illegally, and the employment office will impose a penalty for this.

Employment permits

Green Card.

The Green Card is a permit for permanent residence for the purposes of employment in the Czech Republic, which is issued by the Ministry of the Interior of the Czech Republic. It may be issued only to citizens of the following selected countries:

Australia, Montenegro, Croatia, Japan, Canada, South Korea, New Zealand, Bosnia Herzegovina, Republic of Macedonia, United States of America, Serbia, Ukraine.

There are 3 types of Green Card:

Type A: for highly-qualified workers educated to university level and key personnel - may be issued for up to 3 years with the possibility of extension;
Type B: for workers in jobs having at least some training requirement - may be issued for up to 2 years with the possibility of extension;
Type C: for other workers - may be issued for up to 2 years but without the possibility of extension.

A Green Card may be issued only for a specific vacancy in the Czech Republic recorded in a specific register that is freely accessible on the Internet. Foreigners interested in working in the Czech Republic first search for an appropriate job in the list.

They must submit an application for a Green Card at the embassy of the Czech Republic in their own country and the application will then be forwarded to the Ministry of the Interior for a decision. The fee for submitting an application at an embassy is CZK 1,000. The embassy will inform the foreigner of the decision and if a Green Card is issued the citizen will receive a visa to travel to the Czech Republic, where he will collect the Green Card. In the Czech Republic he will report his residence to the Police Inspectorate for Foreigners in his place of residence.

The Employment Act also sets out cases where a foreigner does not need an employment permit or a Green Card.

Green Card
When is a work permit / Green Card not needed?

Record-keeping

An employer must keep records of citizens of the EU/EEA and Switzerland and their family members and of all foreigners he employs or who are posted to him by a foreign employer to perform work. The employer must report the commencement of employment by a foreigner, or a foreigner's failure to commence employment, as well as any termination of employment to the employment office before the validity of the foreigner's employment permit or Green Card expires.

In the case of citizens of the EU/EEA and Switzerland and their family members and citizens who do not need an employment permit or Green Card, he must report only their commencement of employment and termination of employment.

Resources

The following government web portals offer further information and useful services in relation to employment issues.

Ministry of Labour and Social Affairs of the Czech Republic
Integrated portal of the Ministry of Labour and Social Affairs
Public Administration Portal of the Czech Republic

EURES, the European job portal, offers employers information and support on recruiting across the EU. As well as assisting jobseekers, it helps entrepreneurs find workers from across the EU. In border regions, EURES provides information on cross-border commuting and helps workers and employers with problems that may arise.

Check also the legislation on this topic in:

Staff - Czech Republic