Ee would like to inform you about the upcoming changes to the mandatory minimum wage in the Czech Republic that have been implemented into the Government Regulation No. 567/2006 Coll., on minimum wages, on the lowest levels of guaranteed wages, on the definition of difficult working environment and on the amount of wage supplement for work in a difficult working environment. From 1st January 2022, the minimum wage will be set at CZK 16,200 and will therefore reach approximately 41.7% of the average wage.
Together with the increased minimum wage, the guaranteed wage will also be increased. The guaranteed wage determines the lowest possible remuneration for work, considering its complexity, responsibility, and strenuousness in a working time of 40 hours per week divided into 8 groups according to the difficulty of the work.
For your better understanding of the guaranteed wage for each group from 1st January 2022, we attach a link to the Table of the Ministry of Labour and Social Affairs, depicting each guaranteed wage per category (in Czech language):
The increase in the minimum wage also has other implications, such as changing the annual income threshold for entitlement to the tax bonus, changing the amount of the applicable maximum tax credit for placing a child in pre-school and other tax implications.
Please feel free to contact us if you have any questions regarding the amendment of the minimum wage.