Minimum Wage
Minimum wage is the minimum permissible amount of remuneration for work performed within a basic labour relationship. It guarantees that wages or agreed compensation do not fall below this threshold, excluding extra payments such as overtime, holiday work, night shifts, challenging working conditions, increased healthcare duties, and weekend work. The Government sets the national minimum wage rates through an official decree, keeping in view the cost of living and level of development of wages in the country and in consultation with the representative worker and employer organisations. The law guarantees a minimum wage in eight groups according to the complexity, responsibility and difficulty of work performed. The lowest rate, which corresponds to Group 01, is the reference level for the basic national minimum wage. The eight groups are then further divided into 16 grades, and every group includes two grades.
Minimum wage is also different for different age groups and for workers with different social conditions (disability). Employees aged 15-18 years are entitled to 80% of the basic minimum wage rate. Employees aged between 18 and 21 years are entitled to 90% of the basic minimum wage rate for a six-month period from the day when the employment relationship commenced. It is relevant to note here that these provisions have been repealed with effect from 2013, and now there is no difference in remuneration on the grounds of a worker’s age. Equal pay for equal work is also guaranteed under the Labour Code.
Government Regulation No. 561/2004 stipulates allowances for apprentices. The minimum amount of allowance is 30% of the minimum wage for an adult worker, while there is no limit on the maximum. The level of allowance also depends on a worker’s productivity, and there are no deductions from this allowance.
An employee who receives a disability pension is entitled to 75% of the minimum wage rate. An employee who receives the total disability pension or who is a juvenile and has total disability but does not collect the disability pension is entitled to 50% of the minimum wage rate.
If an employee’s wage falls below the minimum, the employer must supplement the difference between earnings and minimum wage, either monthly or hourly.
Compliance with the provisions of the Labour Code, including those on minimum wage, is ensured by the Labour Inspectorate. Sections 13 and 26 of the Labour Inspection Act lay down misdemeanours and administrative offences concerning remuneration. Depending on the seriousness of the offence, the Act imposes penalties ranging from CZK 500,000 to CZK 1,000,000 (or the maximum penalty of CZK 2,000,000). The most serious breaches are considered to be the failure to pay wages, salaries or remuneration pursuant to an agreement, unauthorised wage deductions, etc. Workers can directly file a complaint with the Labour Inspection Office or through trade unions.
Since 2025, the Czech minimum wage has been determined through an indexation method that considers a forecast of the average national wage along with a government-issued coefficient. The monthly minimum wage is determined by multiplying the projected average gross monthly wage by a government-defined coefficient, based on a benchmark of 47% of the average gross wage. The final figure is announced each year, and the two-year-valid coefficient can only be adjusted earlier if there are substantial changes in national circumstances.
According to the recent amendment, guaranteed wages for employees in the private sector have been abolished, meaning that wages will no longer be tied to skill-based wage levels but must simply meet or exceed the general minimum wage set through the indexation mechanism. Previously, guaranteed wages were structured into eight levels based on job complexity, responsibility, and exertion, with higher-skilled roles requiring pay significantly above the minimum wage. This system will no longer apply to private employers.
Sources: §111-112 of Labour Code No. 262/2006; Ordinance No. 567/2006 on minimum salary, minimum level of guaranteed salary, on determination of hazardous work environments and on salary supplement for work in hazardous work environments amended by Regulation 246/2012; §122 of the Education Law (561/2004); §13 and 26 of the Labour Inspection Act (No. 251/2005); Decree No. 285/2024 Coll.; Part I of the Law No. 230/2024, amending Act No. 262/2006 Coll.
For updated minimum wage rates, please refer to the section on minimum wage.
Regular Pay
Wages must be agreed upon in an employment contract, determined by the employer through internal regulations, or set by a wage assessment, unless otherwise specified. The wage must be established before the work it pertains to begins. Before work begins, the employer must provide the employee with a written wage statement detailing the remuneration method, payment date, and payment location, unless this information is already included in the employment contract or internal regulations.
In accordance with art. Section 141 of the Labour Code states that the wage for the work done must be paid in the month following the month in which an employee's entitlement to wages or salary arose. The pay period is set as one month in the labour Code; however, it does not require the employer to pay wages by a certain date. The Labour Code requires that a regular pay-day for wages/salary payment must be agreed between the parties. The Labour Code also requires that wages must be paid to the employee in legal tender, at the workplace and within working hours.
Wages in kind require employee consent, mutual agreement, and must meet the employee’s needs. The employer must also pay at least the minimum cash wage as per Section 111 of the Labour Code. Acceptable in-kind wages include products, services, work, or performance, but not spirits, tobacco, or addictive substances. Their value must be in monetary terms based on market prices or standard rates.
Wage deductions refer to amounts withheld from an employee’s wage, salary, or related income, and can only be made under specific legal conditions. These include mandatory deductions such as taxes and social contributions, repayment of unearned advances, and agreed deductions for obligations or union fees. Deductions for penalties or damages require a written consent and cannot be imposed unilaterally. The order of deductions is determined by the date of agreement or enforcement and remains valid even if the employee changes employers. Employers must keep records of all deductions alongside regular payroll documentation.
According to the amendment of 2025, where an employment relationship has a foreign element (e.g., employee is a foreign national, work is performed abroad, or employee has obligations abroad), wages may be paid in foreign currency if agreed, provided the currency is listed by the Czech National Bank. Payment is made by bank transfer to the employee’s nominated account unless the employee submits a written request for cash.
Source: §113, 119, 141, 142-150 of Labour Code No. 262/2006; Act No. 120/2025 Coll., amending Labour Code No. 262/2006, 2025
