Czechia’s labour market has strengthened considerably over the past two decades, positioning the country among the OECD’s strongest performers on employment and unemployment. Yet this favourable aggregate picture masks several persistent structural challenges. Wage growth, although substantial, has not eliminated the earnings gap with the OECD average, while the minimum wage remains comparatively low despite the introduction of indexation in 2025. Gender disparities have also become more nuanced: differences in employment and unemployment have narrowed, but a sizeable gender pay gap persists. Moreover, limited job-to-job and geographic mobility, low employment among mothers with young children, and the prevalence of disguised self-employment point to underlying constraints on labour-market dynamism and inclusiveness.
Low unemployment and high employment mask deeper challenges in wages, mobility, and gender equality.
