Hiring a new employee? Here’s what you need to take care of

Is a new employee joining your company? Here’s a quick overview of the administrative steps you need to follow.

Start by creating a personal file for the new employee from day one. This is essentially a folder where you store all key documents related to their employment. Having everything organized in one place will save you time and trouble later on.

What should a personal file include?

According to Article 312 of the Czech Labor Code, a personal file may contain only documents necessary for carrying out work within the framework of a standard employment relationship. The law also specifies who can access this file — including the employee’s direct supervisors, the labor inspectorate, the Czech Employment Office, the Office for Personal Data Protection, the courts, the public prosecutor’s office, and the police.

The employee also has the right to view their personal file, make extracts from it, and request copies of the documents it contains — at the employer’s expense.

One of the first documents you’ll likely add to the file is the employee’s signed CV. Next comes a completed personal questionnaire, the accuracy of which must also be confirmed by the employee’s signature.

Be careful with personal data

When collecting personal data, the employer must inform the employee how the data will be used and for what purpose. It’s a good idea to ask the employee to give written consent for the processing of their personal data. This consent should clearly state the reason the data is being collected and the duration for which the employee agrees to its use.

Since employers often need to work with some of this data even after the employment relationship ends, it’s best not to limit the consent to the duration of employment. For example, the agreement can specify that consent is granted for as long as necessary to meet the employer’s legal obligations related to HR, payroll processing, and other related activities.

Even after the employee leaves the company, the employer may still need to use their personal data — for instance, to calculate the final salary or prepare final documentation. Be sure to also let your employee know that if any of their personal details change, they are required to inform the employer immediately.

Signing a contract or agreement

An employment contract or agreement must be signed no later than the day the employee starts working. It’s important to clarify the terminology, as certain legal obligations apply only to formal employment relationships.

In the Czech legal system, “agreements” refer to contracts outside of a standard employment relationship. These include agreements to perform work (DPP) and agreements on work activity (DPČ). Employers usually use a DPP when they need to hire someone for a one-time task or short-term project, especially for temporary jobs. The Czech Labor Code limits the number of hours an employee can work under a DPP for a single employer in one calendar year — currently, the maximum is 300 hours.

In practice, this means that if an employee is expected to work more than 300 hours in a year, the employer must choose a different type of contract. If multiple DPPs are signed with the same employee during the year, the hours are added up — the 300-hour limit applies collectively across all DPPs with that employer.

Employment contracts are typically used for more regular and long-term work than DPPs. However, if an employee is hired under a DPČ, they can only work within the limits of reduced working hours. Legally, this means no more than half of the standard weekly working hours — an average of 20 hours per week. The average is calculated over the entire term of the DPČ, but no longer than 52 weeks.

If the job requires more than 20 hours per week, an employment contract must be used instead of a DPČ. Both DPPs and DPČs can be concluded for either a fixed term or indefinitely.

When setting up a formal employment relationship, the employer should also consider Section 74 of the Czech Labor Code, which states that jobs should primarily be performed by employees in standard employment relationships. In other words, employment contracts should be prioritized over agreements. Agreements are more appropriate for short-term, periodic, or seasonal work, to cover for absent staff, or when working hours vary significantly from day to day or week to week — they are also commonly used in project-based work.

If an employer enters into multiple employment relationships with the same employee — for example, a standard employment contract and an additional DPP during parental leave — they must proceed with caution. Section 34b of the Labor Code states that the employee cannot perform the same type of work under both agreements. The roles must differ in job content. For instance, an employer cannot legally sign one contract with an employee for cleaning the first floor and another for cleaning the second floor — both count as the same type of work. However, there is an exception for employees currently on parental leave. In that case, a DPP or DPČ can include the same type of work as defined in the main employment contract.

Employees should be informed about working hours and wages

From the very beginning of the employment relationship, employees should have a clear understanding of their working hours and how much they’ll be paid.

If they’re working under an agreement (such as a DPP or DPČ), they can calculate their hourly wage directly from the terms set out in the agreement. In the case of standard employment relationships in the private sector, the agreed wage is specified in the employment contract. This usually includes a base — or fixed — salary. Additional contractual terms may outline the conditions under which the employee can receive variable pay components, which may depend on individual performance or the overall financial results of the company.

For public sector employees, salary information is stated on the official pay scale, which is provided when the employment contract is signed.

Distribution of working hours is the employer’s responsibility

Organizing working hours is one of the key responsibilities of the employer. This must be done in advance and in writing.

For employees working under agreements (DPP or DPČ), the employer is required to inform them of their schedule or any changes at least 3 days before the start of the shift or the scheduling period — unless a different timeframe has been mutually agreed (see Article 74 of the Czech Labor Code).

For employees under a standard employment contract, the rules are stricter. In this case, the employer must notify the employee of the work schedule or any changes no later than 2 weeks (or 1 week when using a shift plan) before the beginning of the scheduling period — unless otherwise agreed (see Article 84 of the Labor Code).

The employer also sets the start and end times of shifts in the schedule and must include breaks for meals and rest. These breaks must be granted after no more than 6 hours of continuous work and must last at least 30 minutes. For young workers, a break is required after 4.5 hours. Meal and rest breaks do not count as working hours and cannot be scheduled at the beginning or end of the workday.

There are exceptions: if the nature of the job doesn’t allow for work to be paused, the employee must still be allowed adequate time to rest and eat — this time, however, is included in working hours. Note that this exception does not apply to young workers, who must always be granted breaks as required.

Don’t forget about mandatory training

When hiring a new employee, the employer must provide mandatory training on occupational health and safety, as well as fire protection. According to Article 101 of the Labor Code, the employer is responsible for ensuring the safety and health of employees, taking into account risks associated with their job. One of the most important steps toward a safe working environment is proper employee training.

Need help navigating employment compliance and onboarding procedures? Our team of experts is here to support you with HR documentation, labor law requirements, and employee onboarding in the Czech Republic. Contact us for a consultation.Source: https://www.podnikatel.cz/clanky/prijimate-noveho-zamestnance-radime-na-co-nezapomenout/?utm_source=newsletter-html-w&utm_medium=text&utm_campaign=2025-07-20