Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.
Factsheet for measure CZ-2020-10/1564 – measures in Czechia
|Country||Czechia , applies nationwide|
|Time period||Temporary, 01 March 2020 – 31 December 2020|
Ensuring business continuity and support for essential services
– Remuneration and rewards for workers in essential services
|Author||Aleš Kroupa (Research Institute for Labour and Social Affairs)|
|Measure added||03 December 2020 (updated 26 January 2021)|
According to the Chamber of Retail Chains , Kaufland , Tesco , Albert , Lidl and Penny Market paid their employees exceptional remuneration for working under deteriorated working conditions during the spring wave of the COVID-19 pandemic. Moreover, these chains intended to repeat this positive approach towards their employees during the autumn COVID-19 wave. The total sales of these chains at the beginning of the pandemic, i.e. in March increased by up to one-half, characterised by an initial period of “panic-buying”. A similar situation occurred during the autumn wave of the pandemic.
Following the spring wave of the pandemic, the Lidl retail chain paid employees a bonus of approximately CZK 4,000 (€154) each, sharing a total of CZK 37,000,000 (€1,423,000) among its employees, Kaufland paid out CZK 50,000,000 (€1,923,000) in extraordinary bonuses entailing approximately CZK 4,000 (€154) per employee, Penny Market at total of CZK 40,000,000 (€1,538,000) and Albert CZK 3,000 (€115) per employee: Tesco increased staff salaries by 5% from July. Further rewards or wage increases are set to be announced by the retailers at the end of this year. The British chain Marks and Spencer paid out exceptional bonuses to its employees in the autumn in the sum of 15% of average hourly earnings.
In addition to such bonuses, employees of Kaufland and BILLA continue to be provided with hot drinks, fresh fruit and vitamin C free-of-charge in the workplace as part of their preventative health programmes.
Core employees of Lidl and Kaufland aged over 65 were provided with the opportunity to remain at home for a certain time period while still receiving their full salaries.
The extra remuneration is aimed at compensating the employees of retail chains for the more demanding working conditions associated with working on the so-called “first line”, in the same way as medical workers and other state rescue system employees. During the pandemic, retail chain workers have provided the usual range of services to the required standards in addition to complying with all the respective organisational, hygiene and other government-imposed measures.
The COVID-19 risk group at the workplace
Companies providing essential services
||Does not apply to citizens|
Company / Companies
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|Role||No involvement||No involvement as case not in social partner domain|
|Form||Not applicable||Not applicable|
Social partners' role in the implementation, monitoring and assessment phase:
|Economic area||Sector (NACE level 2)|
|G - Wholesale And Retail Trade; Repair Of Motor Vehicles And Motorcycles||G47 Retail trade, except of motor vehicles and motorcycles|
|Occupation (ISCO level 2)|
Eurofound (2020), The remuneration of retail chain employees due to worsened working conditions during the pandemic, measure CZ-2020-10/1564 (measures in Czechia), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/CZ-2020-10_1564.html
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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.