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Czech Republic to Pay Ukrainians More

Czech Republic increases quota for accepting workers from Ukraine

The authors argue that, despite seeming absurd, this measure is aimed primarily at protecting Czech citizens: companies will be motivated to seek personnel among local residents rather than chase cheap labor from the east. Officials are confident that guest workers from Ukraine will also benefit from the innovation, as Czech companies often underpay them, taking advantage of their vulnerable position.

The adopted measure obliges employers to pay Ukrainian employees no less than 120% of the so-called guaranteed wage (zaručená mzda). Depending on the specialty and qualification, at current rates this amount ranges from 16,020 to 32,040 crowns.

Using a specific example, the innovation looks like this: an employer will not be able to pay an electrician from Ukraine (under the fifth tariff) less than 23,820 crowns per month (before taxes). Meanwhile, a Czech of the same qualification is allowed to work for 19,850 crowns.

While trade unions unequivocally support the measure, the Chamber of Commerce of the Czech Republic has strongly opposed it. They believe that this initiative contradicts the labor code, the principles of equality, and competition. For the new rule to come into force, it must now be approved by parliament.

As Vinegret.cz notes, the initiative was adopted in connection with an increase in the quota under the simplified employment program for Ukrainians, "Regime Ukraine." Czech enterprises are betting on workers from this country amid an acute labor shortage. By the end of the year, 40,000 Ukrainians will be able to enter the republic under the simplified scheme, instead of the originally planned 19,600 people.

The Cabinet of Ministers also allowed the Czech Ministry of Foreign Affairs to send additional staff to the consulate in Lviv, which should speed up the processing of applications for work visas (work cards).

The Czech Republic launched the simplified employment project for Ukrainians in August 2015. It was driven by an acute shortage of labor at Czech enterprises. Initially, the quota was 3,800 people per year, but under pressure from companies, it was increased several times.