A sweeping overhaul of the Czech Labor Code鈥攌nown as the Flexible Work Amendment鈥攊s set to reshape how employees are hired, paid, and dismissed. Taking effect in June 2025, the reform targets both local and international workers. If you've recently relocated for work or are planning a move to Czechia, here's what you need to know.
Extended probation periods
Probation periods will be longer across the board. For most employees, the trial period will increase from three to four months. For executives and senior managers, it will rise from six to eight months. The government argues this extension gives employers more time to evaluate new hires. However, for foreign nationals, the change may delay job stability鈥攁 crucial factor for securing or renewing residence permits.
Simplified dismissal procedures
The reform simplifies the dismissal process, aiming to speed up re-employment for those who lose their jobs. From June 2025, the notice period will start on the day the dismissal letter is delivered, rather than the first day of the following month. In cases of serious misconduct, the notice period may be cut to just one month.
Despite these changes, employers must still provide a valid reason for dismissal. Proposals for 鈥渘o-cause termination鈥� were considered but ultimately dropped after pushback from trade unions and the public.
Salary payments in foreign currencies
The law introduces new flexibility in salary payments for expatriates. Employees working in international contexts鈥攕uch as those collaborating with foreign partners or operating abroad for Czech-based companies鈥攎ay now be paid in foreign currencies. The same applies to cross-border workers.
Flexible working hours
The reform enhances workplace flexibility. Employees will be allowed to set their own working hours, regardless of whether they work remotely or on-site, as long as they obtain written consent from their employer. Previously, this level of flexibility was available only to remote workers.
Increased but time-limited unemployment benefits
Unemployment benefits will increase to 80% of the average net salary during the initial compensation period鈥攗p from 65%. In the final phase of support, the rate will decrease to 40%, down from 45%.
Eligibility criteria will also change. Employees must have worked at least nine months (previously six) to qualify for benefits. However, those aged 52 and over will be eligible for extended compensation periods. These specific changes take effect in January 2026.
Protected parental leave
Employers will now be legally required to guarantee the position of any employee on parental leave until the child reaches two years of age.
Youth employment
Minors aged 14 and above will be permitted to work part-time during summer holidays, as long as they have parental consent. While the measure is designed primarily for Czech youth, it may also benefit expatriate families.
Workplace injuries and disability
In cases of workplace injury or occupational illness, severance pay will be covered by the employer's insurance provider, not the employer directly. The compensation must equal at least 12 times the employee's average monthly salary.
