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CZECH REPUBLIC – Facilitated access to the labour market for foreign workers.
August 6, 2024
By: Clara Excler
The Czech Republic amended the Employment Act in December 2023, introducing several changes affecting foreign workers. In order to attract new talent and develop a competitive workforce, two key changes have been implemented. 1) The rules on the labour market test have been relaxed, and 2) for a selected list of countries, free access to the labour market has been granted.
Relaxed labour market test rules.
The labour market test is the requirement to prove that is not possible to find a resident worker (Czech national or EU/EEA/Swiss national) to fulfil a position, before offering it to a third-country national. It is conducted by posting the vacant position on the Labour Office online platform for a duration of 10 to 30 days before proceeding to the next stage of the application. The labour market test is generally required for Employee Card and EU Blue Card applications.
Since July 1, 2024, the relaxed labour market test rules mean that:
- Employers will still be required to ensure that a job vacancy has been posted on the government online platform.
- Employers will no longer be required to advertise the opening for 10 to 30 days before beginning the hiring process of a third-country national worker.
- The third-country national can submit the Employee Card application as soon as the vacancy number is issued (within 1-3 days of the posting).
Please note that the Labour Office will now have the right to remove a position from the vacancy register after six months of posting. Employers who have posted vacancies in advance as a precautionary measure should adjust their practice.
Free access to the labour market for selected countries.
As part of a pilot scheme, nationals of selected countries have been introduced as a new category of beneficiary of the work permit exemption. The list of work permit-exempt countries includes Australia, Canada, Israel, Japan, New Zealand, Singapore, South Korea, the UK, and the USA.
It is possible that the list of work permit-exempt countries could be expanded, following a successful pilot of the scheme.
Effective July 1, 2024, the work permit exemption applies as follows:
- No work permit (and no vacant position posting) is required for nationals in work permit-exempt countries when working in the Czech Republic more than 90 days.
- Long term visa/residence permit requirements still apply.
- Local registration requirements still apply.
- Working whilst a visitor in the Czech Republic is still not permitted, unless an alternative exemption applies. If a national from a work permit-exempt country is required to work in the Czech Republic for fewer than 90 days (subject to the Schengen allowance), they will be required to obtain a work visa (referred to as a Schengen C visa for work purposes) before travelling to the Czech Republic.
- EU Blue Card and ICT categories are excluded from this exemption.
Newland Chase insight.
With these changes to the labour market test and the granting of free access to the Czech Republic labour market to nationals from certain work permit-exempt countries, employers should now benefit from a faster hiring process. However, employers are reminded to note that these changes do not grant permission for third-country nationals to work in the Czech Republic whilst as a visitor, unless another work permit exemption applies.
As always, don’t hesitate to reach out to your Newland Chase dedicated contact or submit an inquiry here should you have any specific questions regarding this announcement.
This immigration update is for informational purposes only and is not a substitute for legal or scenario-specific advice. Furthermore, it is important to note that immigration announcements are subject to sudden and unexpected changes. Readers are encouraged to reach out to Newland Case for any case- or company-specific assessments.