November 27, 2021
  • November 27, 2021

Czech government approves increase in minimum monthly wage to CZK 16,200

By on November 5, 2021 0

The Czech government has approved an increase in the minimum gross monthly wage from CZK 1,000 to CZK 16,200 from January, Deputy Prime Minister Karel Havlicek said.

The minimum wage is paid to around 150,000 of the country’s four million employees, but it is also used as a benchmark for determining higher wages in a number of occupations.

The average monthly gross salary was 38,275 CZK in the second quarter.

Finance Minister Alena Schillerová (for ANO) ruled out in September an increase in the minimum wage to 18,000 crowns per month, as proposed by the Social Democrats, the junior party of the ruling coalition.

Lowest guaranteed salary levels

The minimum wage determines the growth of the lowest levels of the guaranteed wage. The lowest guaranteed wage levels apply to employees whose wages are not agreed upon in collective agreements and to employees in public services and administration and set the lowest price for phased labor according to its complexity, responsibility and effort.

For these purposes, jobs are classified into 8 groups and for each of them the relevant lowest level of guaranteed wages in hourly and monthly terms is determined. The following amounts apply for a determined weekly working time of 40 hours.

Group 1: occupations such as kitchen helper, small adjustments seamstress, housekeeper, courier or luggage rack

Group 2: professions such as excavator, scaffolder up to 10m, plumber, housekeeper or road finisher

Group 3: professions such as mason, plumber, heating engineer, waiter, bartender or barber and hairdresser

Group 4: professions such as guide with interpretation, specialist chef or tailor in model making and custom manufacturing

Group 5: professions such as a bus driver, dispatcher, paramedic, general nurse, midwife, payroll accountant, market researcher, or kindergarten teacher

Group 6: professions such as a salesperson, a specialist school teacher, a network administrator, a creator of information systems or a planner of large and demanding constructions

Group 7: professions such as financial expert, doctor, dentist, pharmacist, marketing expert, or software developer

Group 8: professions such as experts in financial and business strategy of organizations, brokers in the financial and capital markets and high-level scientists dealing in principle with new areas of scientific research

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