Nearly half of Czech employees saw their salaries increase this year, with most receiving raises of up to 5,000 crowns monthly. However, only 15% of workers are satisfied with their pay increases, with the majority hoping for larger raises.
The average nominal wage in the Czech Republic rose by 7% to 45,412 crowns in the third quarter of 2023. When accounting for inflation, real wages grew by 4.6%, marking the third consecutive quarter of growth. However, this increase hasn’t yet compensated for the previous two years of decline when the country faced one of Europe’s highest inflation rates.
Year-end bonuses paint a mixed picture, with 42% of employees receiving no bonuses at all, while 27% regularly receive them. These bonuses are most common in IT, financial services, and industrial production sectors.
Looking ahead to 2025, wages in the private sector are expected to grow by an average of 4.5%. Technical operational positions and specialists are projected to see the highest increases at 4.7% and 4.6% respectively, while top management will receive the smallest raises at 4.1%.
The labor market remains tight, putting employees in a strong negotiating position. According to the Chamber of Commerce, two-thirds of companies plan to increase wages, with about 32% of firms expecting to raise salaries by more than 5%.