* Playroll continues to analyse immediate opportunities and fulfilled roles by recruitment partners, contractors and employers to identify in-demand jobs.

Capital City

Czech Koruna (Kč)


CET (GMT +1)

Employment Cost


Annual Leave

20 days

In-demand Specialties*
Software Engineering , Data Engineering , Product Design

The Ultimate Guide to Hiring Employees in The Czech Republic

Simplify hiring employees in by partnering with Playroll. Our Employer of Record (EOR) handles hiring, onboarding, payroll, taxes, immigration, benefits administration, and compliance. While you maintain control of day-to-day tasks and responsibilities.

hiring-in-The Czech Republic-guide

Key Considerations Before Hiring In The Czech Republic

Employing in The Czech Republic requires employers to own a legal entity in the country and manage payroll, tax, benefits and compliance through their own in-country resources. Grow your team in The Czech Republic with our Employer of Record solution, ensuring streamlined, compliant business expansion with no entity.

Playroll allows you to hire employee's in The Czech Republic quickly, easily and we even automate tax document collection, benefits, payroll and more.

Good To Know

The Czech Republic boasts a well-educated and skilled workforce, particularly in engineering, technology, and manufacturing.

Situated in the heart of Europe, the Czech Republic provides easy access to neighboring European markets, making it strategically located for businesses with regional or international operations.

The Czech Republic has a reputation for being business-friendly with a stable economic and political environment, making it conducive to long-term investments.

The Czech Republic stands out as one of the world's leading producers of exceptional developers. Its robust talent pool is consistently invigorated by the annual addition of over 8,000 IT graduates, ensuring a continuous supply of highly skilled professionals.


Fundamental Aspects of Employment in The Czech Republic

The legal structure in the Czech Republic requires both employers and employees to enter into a written employment agreement when hiring. This agreement must, at a minimum, encompass the following fundamental details:

  • Identification of both parties
  • Date of commencement (and employment duration for temporary contracts)
  • Workplace
  • Job type, duties and responsibilities
  • Basic salary as well as other compensation or benefits and detailed payment information
  • Working hours
  • Notice periods for employment termination
  • Reference to collective agreements
  • Health and safety measures at the workplace and company rules

Probationary Period in The Czech Republic

Probation periods in the Czech Republic are set at three months for non-managerial employees and six months for managerial employees. It's important to note that these probationary periods are fixed and cannot be extended beyond the initially stipulated duration

Working hours in The Czech Republic

The Czech Republic adheres to a standard workweek of 40 hours, which translates to eight hours per day.

Overtime in The Czech Republic

Overtime work is permissible but subject to restrictions, allowing a maximum of eight hours per week and 150 hours per year. For each overtime hour worked, employees must be compensated with an additional 25% of their standard hourly wage.

Navigating Key Aspects of Payroll in The Czech Republic

the Czech Republic has a robust and complex payroll and tax system, and as an employer, it pays to understand payroll process basics.

1 January - 31 December

Fiscal Year in The Czech Republic

1 January - 31 December is the 12-month accounting period that businesses in The Czech Republic use for financial and tax reporting purposes.

Payroll Cycle in The Czech Republic

The payroll cycle in The Czech Republic is usually monthly, with employees being paid on the same day of each month as stipulated in contract.
110.70 CZK p/h

Minimum Wage in The Czech Republic

The minimum wage for employees in The Czech Republic is typically 110.70 CZK per hour, amounting to ~17,300 CZK per month for a typical 40 hour work week.

Minimum wages and salaries in The Czech Republic

In the Czech Republic, the national minimum wage is 17,300 CZK per month. To provide equitable compensation for employees without collective agreements, a "guaranteed wage" system classifies work into eight groups based on factors like complexity, responsibility, and strenuousness, with each group having a minimum guaranteed wage ranging from 110.70 CZK per hour to 221.40 CZK per hour.

Bonus Payments in The Czech Republic

In the Czech Republic, there is no legal obligation to provide a 13th-month salary. Nonetheless, numerous employers choose to offer a 13th-month salary bonus, often tied to performance metrics.

Comprehensive Overview of Employment Taxes in The Czech Republic

Understanding the tax obligations for both employers and employees is crucial when operating in The Czech Republic's business landscape. This section explains how taxes and statutory fees affect payroll and individual earnings in The Czech Republic.

Employer Tax Contributions

Employer payroll contributions are generally estimated at an additional 33.80% on top of the employee salary in The Czech Republic.

Tax Rate Tax Type

Employee Payroll Tax Contributions

In The Czech Republic, the typical estimation for employee payroll contributions cost is around 11%.

Tax Rate Tax Type

Individual Payroll Tax Contributions

Czech employees are subject to an individual income tax, calculated at 15% of their gross salary up to 141,764 CZK and 23% for the portion of the gross salary exceeding this threshold.

Tax Rate Income Bracket

Pension in The Czech Republic

Participation in pension insurance (důchodové pojištění) is mandatory in the Czech Republic.

The tax-related information provided in this guide is intended for general guidance and informational purposes only. Reach out to our dedicated team for insights on remote hiring in The Czech Republic tailored to your needs.

Easily navigate payroll, taxes and contributions with Playroll.

Grow your distributed workforce today!

Understanding the Protocols for Termination of Employment in The Czech Republic

When it comes to terminating employment in The Czech Republic, understanding the legal obligations regarding severance pay and contributions is essential. Below is a detailed overview of the key considerations for both employers and employees.

Termination Process

In Czech Republic, termination must be put in writing if the employer initiates the termination with the minimum notice period. In the case of indefinite-term contracts, the employer must provide a clear explanation for ending the employment. Employment may only be terminated for one of the following reasons:

  • Organisational reasons
  • Health reasons (where the employee can no longer carry out their present work due to loss of medical capacity)
  • Employee no longer meets the requirements outlined for the work
  • Gross breach of duty
  • Convicted of a crime
  • The employee has seriously, or less seriously but repeatedly, breached their duties relating to their work performanc

Notice Period

In the Czech Republic, the notice period for both dismissals and resignations must be at least two months.

Severance Pay

Severance pay is dependent on the employee’s length of service as specified below, and is only applicable in instances where contracts are terminated due to redundancy:

  • 1 year of employment: 1 month’s gross salary
  • 2 years of employment: 2 months’ gross salary
  • 3+ years of employment: 3 months’ gross salary

Annual Leave Entitlements and Company Policies in The Czech Republic

The annual leave entitlement in The Czech Republic is 20 days for a full time worker. These can include public holidays on top of that or within those days, which would otherwise be unpaid.

Public Holidays in The Czech Republic

There are 13 national holidays in the Czech Republic:

Holiday Date

Paid Time Off in The Czech Republic

Maternity Leave in The Czech Republic

Paternity Leave in The Czech Republic

Sick Leave in The Czech Republic

Care Leave

Wedding Leave

Jury Duty

Jury Duty

Parental Leave In The Czech Republic

The Czech Republic's Benefits Built Into Playroll

Competitive benefits package in The Czech Republic

Playroll is committed to providing tailored, competitive benefits packages that are designed not only to attract but also retain top talent worldwide. Our global team of benefits experts build custom local packages to ensure your employees in The Czech Republic's needs are met. Typically our packages contain some or all of the following benefits.

Health Insurance
Pension or 401k
Life and Disability Insurance
Vision Insurance
Dental Insurance
Discounts & Perks

Playroll Supplementary Benefits For Employment In The Czech Republic

Make your benefits package in The Czech Republic a talent magnet with Playroll's local plans. We offer benefits that are compliant, comprehensive, and flexible — all at competitive rates. Speak with our local territory experts to explore the localized benefits we can offer you, while you scale your team.

  • Health Insurance
  • Pension
  • Short-Term Sickness Insurance
  • Background Checks
  • IT Equipment Sourcing

Statutory benefits for employment in The Czech Republic

Playroll allows you to provide localized benefits for employees in The Czech Republic within minutes. All in one manageable online dashboard. If you'd like specific information about our benefits packages in The Czech Republic create an account or contact our global expansion team, today.

Playroll Benefit Services

Playroll's Expertise in Facilitating Work Visas for The Czech Republic

At Playroll we're all about empowering employees to work anywhere, making mobility possible for global teams. We sponsor visas and hire the employee for you, so you don’t have to worry about payroll, taxes, and more.

It's important to note, visa support can be complicated. There are many variables that affect whether sponsorship is possible, including one’s nationality, education, marital status, and the immigration policy for the country in question.

Unfortunately, this means we can’t support visas everywhere - with that being said, we handle the entire visa process in-house, and dig into your situation to give you an overview of what to expect if we're able to help with visa sponsorship in The Czech Republic.

Playroll Immigration Support

Integrated EOR Platform

Legal and compliance experts are readily available to provide guidance and case-by-case Q&A support.

Accelerated Immigration Timeline

By leveraging dedicated support from in-house legal and compliance experts for case by case questions and more.

Hire in 50+ Countries

Accelerated Immigration Timeline

Acquiring a visa without an entity has never been easier, leverage Playroll's global coverage to sponsor and hire employees.

Playroll Visa Services

Hiring International Employees is Complex.

Playroll makes it easy!