Working Time And Remuneration Of Overtime Work In The Czech Republic

Czech workers have experienced drastic changes in a working time throughout the modern history. In 1993 employed Czech people usually worked 43.1 hours a week. In 2015 they worked almost 3 hours less, 40.4 a week in terms of full-time employment. A total scope of overtime work required by the employer may not exceed 8 hours per week and 150 hours in the calendar year.


Fact & Stats: Working Time in the Czech Republic

  • 96% of working Czech population work full-time. 5-day working week with 8 hours per day is a norm.
  • Working time above the 40-hours standard is counted as overtime (read more about overtimes below).
  • Average working time in Czech Republic in 2015 was 40.4 hours a week for full-time workers.
  • Men workers spend more time at work than their female counterparts, 41.8 hours and 38.6 hours respectively.
  • From the European perspective, Czech people work a lot. The EU’s average in 2015 was 37.2, 3.2 hour less than in the Czech Republic every week (compared to average 46.7 hours a week in the US according to Gallop poll published in Forbes, Spt 2014).
  • Self-employed people work on average 5 hours per week longer than employees.
  • People under the age of 18 can’t work more than 30 hours per week and their shifts do not exceed 6 hours per day.
  • The Czech law guarantees at least 20 days of paid holidays per year, which may be increased to 25 days via collective agreements. The Czech Republic has 12 national holidays in 2016 (list of actual national holidays in the Czech Republic).

(CzechInvest 2016, Czech Statistical Office 2016)

Hours worked per head of population in 2015, selected countries

labour utilisation-colors
OECD Statisctics, 2016

Overtime Work

According to the Czech Labor Code, an employer can request overtime work when there are serious operational reasons for it. A total scope of overtime work required by the employer may not exceed 8 hours per week and 150 hours in the calendar year. In excess of this scope, the employer is allowed to require further overtime work only with a consent of an employee.


The total overtime work (ordered and agreed) may not exceed 8 hours a week on average in 26 consecutive weeks.


Only a collective agreement extends such period to a total maximum of 52 consecutive weeks.

Working Time And Remuneration Of Overtime Work In The Czech Republic

Remuneration

Premium (Bonus) Payments for Overtime Work in the Czech Republic

According to Czech law, an employee is entitled to a bonus payment of at minimum 25% of average earnings (or extra time off instead of such payment). When negotiating salary, Czech Labor Code allows to comprise an agreed scope of overtime for an employee. Such agreed salary includes overtime work at maximum of 150 hours in a calendar year for ordinary employees and within the total scope of overtime work (around 416 hours a year) for managers.

Remuneration for Work on Public Holiday and Weekends

An employee is entitled to the regular wages and (paid) time off (one hour of work on a holiday = one hour of time off) for working on a public holiday, or when an employee and company agree, such employee receives an extra payment for work on a public holiday in the amount of at least his/her average earnings (100%).


When a public holiday falls on a working day, an employee is entitled to compensation in the amount of average earnings for the lost salary.


The premium (bonus) payment for work on Saturdays and Sundays and for work at night is 10% of average earnings unless agreed otherwise.

remuneration-overtimes-czech-republicImage: Pixabay

The minimal guaranteed wage depends on the type of work and ranges from 9,900 to 19,800 CZK. For the purpose of calculating the wage rate, the wage shall not include any premium (bonus) payment for overtime, work on holidays, etc. (more about Changes In Minimum Wage – Czech Republic 2016).

Trade Unions

The Czech Republic recognizes the principle of free establishment and acceptance of trade unions. Trade unions’ representatives regularly participate in The Council of Economic and Social Agreement of the Czech Republic that was founded as an institutionalized platform for social dialogue among the government, trade unions and employers (tripartite body, “Tripartita” in Czech).

A minimum of 3 employees is needed to form a trade union, however establishing a trade union in the companies in the Czech Republic is not required by law. The role of trade unions in the Czech Republic has been traditionally perceived as social – there is no history of large-scale protests and strikes. The member base of the trade unions is steadily decreasing.

 

Sources:
Labour Code (Act No. 262/2006 Coll.)

Czech Invest 2016: Labour Regulation.
Czech Statistical Office 2016: Počet odpracovaných hodin v ČR je jeden z nejvyšších v celé EU, Češi tráví v práci průměrně 40,4 hodiny týdně
European Central Bank 2016a: https://sdw.ecb.europa.eu
European Central Bank 2016b: https://sdw.ecb.europa.eu
OECD STATS 2016a: http://stats.oecd.org/Index.aspx?DatasetCode=LEVEL#
OECD STATS 2016b: http://stats.oecd.org/Index.aspx?DataSetCode=PDB_LV#
Sádecká, K. 2014: Shorter working hours in the Czech Republic: good or bad idea?
VLADA.CZ 2004: Role and Objectives of the Council of Economic and Social Agreement of the Czech Republic (RHSD CR)
Title image: Pixabay

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