28th February 2016

ILO: Unemployment in Czech Republic to fall in 2016, 2017. More employment issues, news.

According to the International Labour Organization (ILO) recent World Employment Social Outlook, although global unemployment rates will rise globally, the unemployment will continue to fall in virtually all the Eastern European countries belonging to the European Union, and especially so in the Czech Republic, Poland and Slovakia. Conversely, joblessness is projected to increase until 2017 in the Russian Federation, as well as in neighbouring economies, such as Belarus, which are negatively affected by the economic contraction in the Russian Federation. Click here for more data.

The Statistical Office of the Czech Republic published data on employment for January 2016, with the rate of employment reaching its record high of 71%, the best result since 1993. Read details in Czech and English.

Hays Global Skills Index 2016 shows that even the long-term unemployment in the Czech Republic has been dropping. Within the CEE region, the country has the best econoimc results and is therefore the most attractive place for potential investors. The index shows, however, that the Czech educational system does not generate work force suitable for the jobs/positions that are currently in demand. There is a lack of specialists and employers are therefore pushed to motivate them with higher salaries.Generally, wages do not show accelerated increase. The Czech labor market is relatively stable. The talent/skills gap is not wide in the Czech Republic right now, but could widen in the future and lead to income inequalities. View a video summary.

Also, wages are going to grow in the long term, rewards for employees are back, says an article by the businessinfo.cz server. At the end of 2015, 35% of Czech companies paid employee rewards. ​

Read also an article by the Czech Statistical Office on the wage rise, saying that the era of human resource policy is coming and also that the economy is creating jobs that are difficult to fill. High-tech industry offers high salaries, but employees in the Czech garment industry have a different experience due to cheap imports. More details on working conditions in a survey conducted by the NaZemi NGO (summary in Czech and English).

Also, according to the WEF Future of jobs report, some 65% of children entering primary schools today will likely work in roles that don’t currently exist. These days, companies find it more difficult to find employees than at times of financial crisis, Dana Havlíčková Lišková of Můj Personalista says in an interview for Radio Zet. Employer are also generally unwiling to offer part-time employment. In 2014, part-time employment amounted to 6.4% of the total employment, compared with 5.9% in 2010. Similar trend can be observed in neighbouring countries, e15.cz writes

Eurostat published data on minimum wages across the European Union.

Read also an article posted on the World Economic Forum server Wealthier countries have more leisure time – with one big exception.

The Czech Republic experienced an increase in labor productivity per hour worked by 3.1% between 2010 and 2014. Between 1996 and 2010, the rise in Czech labor productivity reached 3.9%. More data on labor productivity in the Czech Republic and the EU are available here. Click also on the article published on the World Economic Forum server Are you too obsessed with productivity?




Members of the American Chamber of Commerce in the Czech Republic