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Czech Government Decides to Raise Minimum Wage

Representatives of the Czech coalition government agreed on Wednesday to raise the country’s minimum wage by CZK 1,250 to CZK 14,600 per month as of next January, according to local media reports.

Czech Prime Minister Andrej Babis later confirmed the agreement, calling it a “good compromise,” according to Czech TV.

The minimum wage, which currently stands at CZK 13,350, was last increased in January this year.

Trade unions demanded for the minimum wage to be increased by CZK 1,640 while employers suggested an increase of CZK 700.

The negotiations resulted in a pragmatic settlement which should see a modest minimum wage increase of 1,250 crowns per month.

The formal text of the new regulation will be prepared by the Ministry of Labor and then be submitted to the Cabinet for approval.

With a minimum wage of CZK 12,200 in 2018 and CZK 11,000 the previous year, the Czech Republic has been among the EU countries with the lowest minimum monthly wage.

Labour Minister Maláčová has been pushing for an automatic year-on-year increase in minimum wages.

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