In a positive turn for the Czech labor market, the unemployment rate in the country has decreased to 3.8% in October, returning to levels seen in August and July after a slight uptick to 3.9% in September. This data, released by the Czech Labor Office on Friday, paints a picture of a resilient job market despite ongoing economic challenges.
The number of unemployed individuals fell by 1,902 month-on-month, bringing the total to 289,003. Concurrently, the number of job vacancies increased by 1,318, reaching 265,972. However, it’s worth noting that while these figures show improvement from September, they still indicate a year-on-year increase in unemployment. In October of the previous year, the unemployment rate stood at 3.5%, with about 261,000 people out of work and over 280,000 job vacancies.
Regional disparities in unemployment rates persist across the Czech Republic. The Ústí Region recorded the highest unemployment rate at 6.1%, while Prague boasted the lowest at 2.8%. On a district level, Most topped the list with an 8.4% unemployment rate, closely followed by Karviná, both exceeding 8%.
In contrast, the Prague-East district reported the lowest unemployment rate at 1.4%, with Prague-West also maintaining a rate below 2%. These figures highlight the continuing economic divide between the capital region and other parts of the country.
The labor market dynamics show an average of 1.1 job seekers per vacancy nationwide. However, this ratio varies significantly across regions, with the Karviná district facing the highest pressure with 10.5 applicants per job opening, while the Mladá Boleslav district experiences a labour shortage with only 0.2 applicants per vacancy.
It’s important to note that the official unemployment figures include individuals who cannot immediately start working, such as those in retraining courses, unemployed women on maternity leave, prisoners, and those on sick leave. When considering only those available to start work immediately, aged 15 to 64, the number stands at 266,468 as of October.