Which amendments to the Labor Code of the Czech Republic took effect on October 1, 2023?

 The amendments to the Labor Code have already been implemented, bringing forth several significant modifications affecting both employers and their employees. These changes are specifically tied to Amendment No. 281/2023. However, this is not the comprehensive amendment to the Labor Code, which is still in preparation by the Ministry of Labor and Social Affairs of the Czech Republic.

 At present, only the requirements outlined in the directives of the European Parliament and the Council of the European Union, set to take effect on October 1, 2023, have been incorporated into the Czech legal framework.

 Nonetheless, these changes hold substantial importance for employers. Below, we provide a brief overview of these modifications.

Employer’s Information Obligations

 If the employment contract does not include information regarding the employee’s rights and obligations stemming from the employment relationship, the Labor Code requires the employer to provide it to the employee in writing. This applies to both labor relations formalized by an employment contract and by the parties’ agreements.

From October 1, the employer is obliged to notify the employee of his rights and obligations within seven calendar days from the start of the employment relationship.

This time frame has been shortened. Until the end of September, information was provided within one month from the start of the employment relationship. It will be permissible (as previously) to replace written information with a reference to a collective agreement or internal regulations in some clearly defined situations.

A similar requirement applies to agreements made outside of the job relationship as well as when an employee is sent on a business trip for more than four calendar weeks in a row.

Contracts reached outside of the framework of labor relations

Employees working under an agreement are likewise subject to the new duties. For them, the employer must redraw the working time schedule in writing and notify the employee of any changes no later than three days before the start of the shift or the period for which the work is planned (it is possible to mutually agree on a different familiarization period, shorter or longer, but with sufficient predictability of work).

Employees conducting labor by mutual agreement now have the right to receive extra compensation for work under Labor Code Articles 115-118. They are entitled to compensation for work-related barriers from both the employer and the employee. They also have the right to individual growth if their employer provides it.

Such employees will be eligible for yearly leave under the same terms as in the employment relationship beginning January 1, 2024. The difference is that the length of the vacation is not determined by the employee’s actual weekly working hours. The 20-hour working week is established regardless of how much is actually worked for the purpose of giving annual leave under agreements signed outside of the employment relationship. Leave might be taken during the length of the agreement or rewarded at the conclusion.

Employee notification and letter delivery

The transmission of letters and notices to employees has been simplified, which is an important change. Employment termination letters must now be delivered in person only. Service is provided in line with Labor Code § 334a-337:

• notices of immediate dismissal or dismissal during the probationary period,
• other documents related to the termination of employment relations or legal relations based on a work contract or employment contract,
• notices of dismissal or resignation from a managerial position,
• notifications about the accrual of wages or salaries.

However, especially in the case of mutual agreements, simpler electronic services will be available without the need for a certified electronic signature. Delivery must be made to the employee’s address in this scenario.

Remote work

Employee work from home is similarly regulated by the Labor Code. If we are talking about government entities, the employer will even be able to order employees to accomplish it for the necessary period of time. In other cases, this is possible only with the employee’s agreement.

Compensation for remote employment should be governed in a different way as well. If the employer and employee agree on a single compensation rate, it must be at least 4.60 CZK for each hour of work in the home office mode, according to Ministry of Labor and Social Affairs Regulation No. 299/2023.

Other modifications concerning working vacations

However, the current revision of the Labor Code has made other changes as well. The ability to deduct sums from wages in agreements outside the scope of labor relations is regulated (e.g., for substituting annual leave), and there is now a mandatory requirement for employees to submit a written request for parental leave, among other provisions.

Additionally, there will be an increased focus on the correct utilization of daily and weekly rest periods during work. The alterations to the weekly rest periods will be gradually implemented, commencing on January 1, 2024.

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