Czech President signs minimum wage rise into law

President Petr Pavel has signed amendments to the Labour Code, raising the minimum wage to 47 percent of the average wage by 2029, up from 41.1 percent.

The changes also permit healthcare workers to work entire 24-hour shifts with a special bonus, the Presidential Office announced.

Since January, the minimum wage in the Czech Republic has increased to CZK 18,900 per month.

The amendment stipulates that the minimum wage will be calculated based on the predicted average pay for the following year, as announced by the Finance Ministry by the end of August. A coefficient will be used to factor in purchasing power, cost of living, wage growth, and productivity.

The Ministry of Labour and Social Affairs will set the minimum wage by the end of September, using the expected average earnings and the coefficient. If the newly calculated minimum wage is lower than the current one, the existing rate will remain in effect.

The amendment also abolishes the guaranteed wage, which is the lowest wage based on expertise, difficulty, and responsibility. It is currently paid in eight stages, from the minimum wage to twice the minimum wage. This system will be eliminated in companies starting next year but will be retained in the public sector in a reduced form, with four levels ranging from the minimum wage to 1.6 times the minimum wage.

Parliament approved this change at the government’s suggestion despite criticism from trade unions, which argue it could lead to reduced income growth, lower living standards, and an increase in the informal economy.

Additionally, the amendment allows employees in healthcare facilities with round-the-clock operations, such as emergency services, to work 24-hour shifts. Workers will receive a bonus, legally set at a minimum of one-fifth of their average hourly earnings for each hour worked beyond 12 continuous hours.

This change follows agreements between the Health Ministry and doctors. While 24-hour shifts are now permissible, they do not require healthcare workers to be actively deployed for the entire period. Instead, the extended work duration supports continuous health service provision without affecting patient care quality.