After four months of increases, Czech unemployment saw a slight decline in March, reaching 4.3% – a 0.1 percentage point decrease from February. The Labor Office registered 322,140 job seekers, approximately 4,000 fewer than the previous month, while available job positions increased by 3,700 to nearly 92,000.
Regional disparities remain significant, with the Ústí Region recording the highest unemployment rate at 6.6%, followed by the Moravian-Silesian Region at 6% and the Karlovy Vary Region at 5.3%. Prague maintains the lowest rate at 3%, though it was the only region to see a month-over-month increase.
The labor market faces ongoing challenges as employers struggle to find qualified workers, particularly in technical professions, nursing, and social work. Martin Jánský, CEO of Randstad Czech Republic, notes that artificial intelligence is emerging as a potential solution, especially in the IT sector where it helps compensate for the chronic workforce shortage.
A positive trend emerges in professional retraining, with nearly 15,000 clients completing qualification programs in the first quarter of 2025, marking a 68% year-over-year increase. However, concerns loom over potential U.S. automotive tariffs, which could significantly impact the Czech economy given its strong ties to the automotive manufacturing sector.
Experts predict modest seasonal improvements in April and May, followed by a slight uptick in unemployment, with the total number of jobseekers likely to remain above 300,000 throughout the year.