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Wages

Wages

One of the main attractions of the Czech Republic is its skilled and well-educated workers available at a fraction of the cost of those in western economies (for instance, German employees earn nearly four times more than Czech workers).

Furthermore, the country’s attractiveness is rooted in its dense, high-quality infrastructure as well as its geographical and cultural proximity to Western Europe. Although the country’s labor costs are higher than in some Asian countries, the above-mentioned factors far outweigh any negative aspects and make the Czech Republic an attractive destination for foreign investors.

The national average gross monthly salary rose to CZK 34,105 (approx. EUR 1,328) in the second quarter of 2019, a year-on-year increase of 7.2%. Over the past five years, average annual wage growth has been in the range of 3%-7% and it is expected to remain relatively stable at that level.

Wages in the Czech Republic are characterized by regional differences. The lowest are in the Karlovy Vary, Ústí and Moravia-Silesia regions. Prague alone raises the national average wage by some 15%-20%.

Average gross monthly wages in the Czech Republic (in EUR), Q2 2019

Wages Czech Republic















 



Average exchange rate EUR 1 = CZK 25.711 USD 1 = CZK 22.106 (Q3 2018 average, Czech National Bank)
Source: Czech Statistical Office, 2019

Average gross monthly wages in selected regions (in EUR), 2018

Job Position / Region Prague region Pilsen region South Moravian region Moravian-Silesian region
Research and Development Managers 4,366 4,147 3,395 3,462
Manufacturing Managers 3,128 2,448 2,503 2,545
ICT Services Managers 3,830 3,763 3,708 2,898
Industrial and Production Engineers 2,170 1,572 1,744 1,841
Mechanical Engineers 2,130 1,952 1,886 1,828
Accountants 2,518 N / A 1,767 1,805
Software Developers 2,818 N / A N / A N / A
Database and Network Professionals 2,885 N / A 2,594 N / A
Mechanical Engineering Technicians 1,503 1,610 1,411 1,340
Secretaries 1,102 943 900 902
Accounting and Bookkeeping Clerks 1,295 N / A 1,026 930
Toolmakers and Related Workers 1,055 1,171 1,106 1,165
Note: Total labor cost = gross wage + 34% social and health contributions paid by the employer.
Average exchange rate 1 EUR = 25.642 CZK (year 2018 average, Czech National Bank)
Source: Trexima, 2019
 

Average hourly wages in the European Union (in EUR), 2018

Labour costs Europe

















 




Source: Eurostat, 2019