Remote-work surge threatens Czechia with ‘digital brain drain’ as talent flows abroad

The rise of remote work in Czechia, accelerated by Covid-19, may pose serious problems for the Czech labor market in the near future. More people are now choosing to work remotely for international companies while staying within the country. Experts warn that this trend could lead to a “brain drain” in Czechia—where professional talent is lost to foreign employers without workers physically leaving the country.

Young professionals and parents seeking flexibility are the most likely to adopt fully remote work. Experts have noted a growing interest in working for foreign companies from home.

“Working from a couch in Czechia for a German salary—who wouldn’t like that?” Filip Mikschik, founder of the StartupJobs web portal, said in an interview with Czech media site E15.cz.

Human resources specialists acknowledge the benefits of remote work but caution that it may pose long-term risks for the Czech economy. Milan Rataj, founder of HR startup Sloneek, explains that when employees choose international employers, it has a similar economic effect to emigration.

To counteract this, Rataj urges domestic companies to focus on engaging employees and fostering development. “Employers need to identify talent early and involve them in shaping their professional paths,” he said.

Similarly, Ela Hornická, HR director at business firm Up Czech Republic, highlights the appeal of higher salaries, global prestige, and international experience for Czech workers. She recommends strengthening partnerships with universities and research institutions to retain local talent.

While Mikschik believes a significant talent exodus has not yet occurred, he warns that demographic shifts could worsen labor shortages. “Even small numbers of people working for foreign companies could add pressure to the Czech labor market,” he said.

The Ministry of Labor and Social Affairs is aware of the issue. Although it does not track the number of Czech residents working remotely for foreign firms, its spokesman, Jakub Augusta, acknowledges that remote work has become “essential” for retaining employees, especially those at risk of leaving the workforce.

“Remote work has transformed the labor market, and many experts see the hybrid model as the future of work,” Augusta said, predicting that younger workers will increasingly demand flexible schedules as a standard.

A survey conducted last year by recruitment firm Devire found that remote work is becoming one of the most important factors for job seekers and employees in Czechia. Most workers prefer a hybrid model, with 36 percent favoring three remote days per week, while four remote days ranked as the second-most popular choice.

However, Czech employers have been slow to adapt. Only 18 percent offer three remote days per week, and just 5 percent allow fully remote work. In contrast, a survey by real estate and consulting firm Savills found that Prague offices remain among the busiest in Europe, with a 61 percent occupancy rate.