Background information

This scheme is available for all employers (regardless of company size or sector) who are unable to assign work to employees due to inclement weather conditions, a natural catastrophe or a temporary reduction of demand for the company's products or services. The reduction of working time and wages is based on the agreement between the employer and the trade union organisation. In workplaces where no trade union organisation operates, this agreement must be replaced by internal regulations. As of 1 January 2011, the approval of the labour office is no longer necessary. This change was introduced to reduce the administrative burden for the employer. Partial unemployment is defined in the Act No. 262/2006 Coll. of the labour code.

Content of measure

The measure can be used in case of interruption of work due to inclement weather conditions or a natural catastrophe (section 207 of the labour code) or in case an employer cannot assign work to employees within the range of weekly working hours due to a temporary reduction of demand for the company's products or services (section 209 of the labour code), it is possible to pay to an employee a compensatory wage or salary in the minimum amount of 60% of their average earnings through an agreement in case of mentioned section 209 between the employer and the trade union organisation. In workplaces where no trade union organisation operates, this agreement must be replaced by internal regulations.

The measure in the section 209 of the labour code is not limited. The act No. 262/2006 Coll. says it is a temporary measure only, however, does not define what the 'temporary measure' is. This measures can be complemented by an additional instrument according to the employment act (see the support instrument 'Contribution at the time of partial unemployment'), whereby the employer can apply for a financial contribution provided by the employment office.

Use of measure

The number of partially unemployed in the years 2014 to 2016.

Year Number of employees 31 December 2014 58,739 31 December 2015 52,087 31 December 2016 40,933

Source: Labour office of Czechia

In case of obstacles to work on the part of the employer due to economic difficulties caused by the COVID-19 crisis The conditions for granting the contribution remain the same as in the previous period.

Target groups

Workers	Businesses	Citizens
Applies to all workers	Applies to all businesses	Does not apply to citizens

Actors and funding

Actors	Funding
National government Public employment service	Employer National funds

Social partners

Social partners' role in designing the measure and form of involvement:

	Trade unions	Employers' organisations
Role	Consulted	No involvement
Form	Any other form of consultation, institutionalised (as stable working groups or committees) or informal	Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

• Only trade unions
• Main level of involvement: Company level

Involvement

The reduction of working time and wages is based on the agreement between the employer and the trade union organisation. In workplaces where no trade union organisation operates, this agreement must be replaced by internal regulations.

Views and reactions

There are supportive view from the site of trade union.

Sources