Employer of Record Czech Republic
Hire staff and expand your business in Czech Republic with our fully-managed EOR Service
How we can help
Unrivalled Employer of Record Service in Czech Republic designed to expand your business seamlessly
Agility EOR delivers services for business’s looking for an Employer of Record in Czech Republic. We help clients hire new employees or transfer existing employees into a fully-managed EOR service.
Employer of Record in Czech Republic
A Brief Guide to Czech Republic
The Czech Republic is a country in Central Europe, known for its rich history, diverse culture, and stunning architecture. It has a parliamentary system of government and is a member of the European Union, the United Nations, and various international organizations. The nation has a growing economy driven by various industries.
78,866 square kilometers
Approximately 10.7 million
Czech Koruna (CZK)
Brno, Ostrava, Pilsen, Olomouc
$246 billion USD
Human Development Index (HDI):
0.900 (very high)
Automotive, engineering, electronics, chemicals, and pharmaceuticals
Business Culture in Czech Republic
Business culture in the Czech Republic values professionalism, relationship-building, and respect for hierarchy. Punctuality is important, as well as appropriate attire and courtesy. Decisions are often made by top-level executives, and personal connections play a significant role. Engaging in small talk and socializing is common before discussing business matters.
Being well-prepared and demonstrating expertise is crucial when conducting business in the Czech Republic. A proper work-life balance is appreciated, and adhering to business etiquette, such as exchanging business cards and using proper titles, is expected.
Payroll and Taxes
Payroll and Taxes in Czech Republic
There is no statutory requirement to pay a 13/14th month in Czech Republic.
Income tax rates in the Czech Republic are progressive:
Gross Annual Income
Tax Rate (%)
Up to CZK 1,701,168
Over CZK 1,701,168
Employer costs in the Czech Republic extend beyond the gross salary paid to employees. Employers are also responsible for various costs, which may include:
Employer Costs in Croatia
Approximate % of Gross Salary
Social Security Contributions
Public Health Insurance
Employment Law in Czech Republic
Employment Contracts: In the Czech Republic, employment contracts should be written, outlining essential details such as employment duration, working hours, salary, and termination notice periods.
Working Hours: The standard maximum working time in the Czech Republic is 40 hours per week or 8 hours per day. Overtime work is regulated, with compensation for extra hours.
Leave: Employees in the Czech Republic are entitled to various types of leave, including paid annual leave (minimum of 20 working days per year), maternity leave, paternity leave, sick leave, and family care leave.
In the Czech Republic, overtime occurs when an employee works beyond their standard working hours, as specified in their employment contract. Employers are required to compensate for this additional time, typically by offering extra pay or compensatory time off.
Termination: Termination of employment in the Czech Republic requires proper notice, which varies depending on the length of employment. Unjustified termination can lead to claims for damages or reinstatement.
Employees Rights: Employees in the Czech Republic have various rights, such as the right to equal treatment, protection against discrimination, and freedom of association. Regulations address working conditions, workplace safety, and employee representation.
Czech Republic Public Holidays
New Year’s Day:
Saints Cyril and Methodius Day:
Jan Hus Day:
Czech Statehood Day:
Independent Czechoslovak State Day:
Struggle for Freedom and Democracy Day:
St. Stephen’s Day:
Pension and Healthcare
Czech Republic Pensions
In the Czech Republic, there is a mandatory state pension system funded by social security contributions from both employees and employers. The contribution rates, as a percentage of an employee’s gross salary, are as follows:
- Employees: 6.5% for pension insurance
- Employers: 21.5% for pension insurance
Healthcare in Czech Republic
The Czech Republic has a public healthcare system that provides basic medical services to its residents. The system is funded through social health insurance contributions from employees and employers, as well as government subsidies and general tax revenues.
Work Permits in Czech Republic
In the Czech Republic, immigration is a regulated process, just like in any other country. To immigrate, you’ll generally need to apply for a specific type of visa or residency permit based on your purpose for moving, such as work, study, or family reunification.
Work visas typically require a job offer from a Czech employer, while student visas require enrollment in a recognized educational institution. Family reunification visas may be available to those who have family members living in the Czech Republic.
To obtain a residency permit, you’ll need to meet certain criteria, such as providing proof of sufficient financial resources, having valid health insurance, and passing a background check. Since the official language in the Czech Republic is Czech, learning the language may be helpful for navigating the immigration process and integrating into the local community.
Once you’ve obtained a residency permit, you’ll need to renew it periodically and adhere to the specific conditions tied to your permit. If you’re interested in becoming a permanent resident or even a citizen, you’ll have to follow additional steps and meet certain requirements, such as living in the Czech Republic for a specified number of years.
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in Czech Republic is right for you?
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Czech Republic Employer of Record Benefits
When you choose Agility EOR to expand in Czech Republic, we guarantee an Employer of Record Service tailored to the needs of your business