The Flexi-Amendment to Czech Labor Code is now in effect: Key Changes to Know

The Czech Parliament has passed a significant amendment to the Czech Labor Code, commonly referred to as the “Flexi-Amendment,” which aims to enhance flexibility in employment relationships. The amendment went into effect on 1 June 2025, introducing sweeping reforms that will impact how companies operate in the Czech Republic.

Key Objectives: 

1. Longer Probation Periods
   
2. Immediate Start of Notice Periods 
3. Shortened Notice Period for Specific Terminations
4. Continuous Employment for Contract Changes
5. No Limit to Fixed-Term Contracts for Parental Leave Replacements
6. Strengthened Protections for Working Parents
7. Updates to Remuneration Practices
8. Salary Confidentiality Clauses No Longer Allowed
9. How Companies Should Prepare

It’s essential that companies engaging workers in the Czech Republic stay informed about these developments. In this blog, we outline some of the Flexi-Amendment’s most impactful changes and what they could mean for your workforce strategy.

Longer Probation Periods

The maximum length of a worker’s probationary period is extended as follows:

• Standard Workers: up to four months (as opposed to the current three-month maximum)
• Workers in managerial roles: eight months (as opposed to the current six-month maximum)
  
  

Immediate Start of Notice Periods

The Flexi-Amendment changed the start of notice periods for terminations so that the notice period will begin to run immediately after notice is delivered to the worker, not from the beginning of the following calendar month, as was the case previously. In other words, the notice period now runs from the same day the worker is notified. Furthermore, the length of a notice period may be adjusted by written agreement with the worker.

Shortened Notice Period for Specific Terminations

There was a reduction in the notice period from two months to one month in specific cases of Worker terminations. These include situations where the worker:

• fails to meet job prerequisites or performance requirements,
• delivers unsatisfactory work results,
• violates work duties, or
• breaches the treatment regime during temporary incapacity.

This introduces an exception to the standard rule requiring a full two-month notice period in cases where there may be serious misconduct on the part of the worker.

Continuous Employment for Contract Changes

A change from one contract to another (e.g., from a temporary to an indefinite employment contract) with the same employer of record is now considered uninterrupted employment, which avoids the need for payout of unused leave in such cases.

No Limit to Fixed-Term Contracts for Parental Leave Replacements

Strengthened Protections for Working Parents

Updates to Remuneration Practices

Salary assessments (unilateral determination of the amount of pay) must now be delivered to the worker prior to the commencement of the work for which the pay is to be provided. Electronic delivery of such wage assessments is permitted under certain conditions.

In addition, cashless payment of wages is now the default method of payment. However, workers still retain the right to opt out of cashless payments if they choose.

The amendment also modified how average monthly earnings are calculated in the event of changes to a worker’s weekly working hours. Under circumstances where the worker’s weekly working time has changed, the change will be reflected proportionately in the calculation.

Salary Confidentiality Clauses No Longer Allowed

There is an explicit prohibition restricting a worker’s handling of information about their salary. Therefore, a confidentiality clause prohibiting disclosure of salary information is no longer allowed.

How Companies Should Prepare

Given the wide scope of topics addressed in the Flexi-Amendment, it is critical that companies engaging workers within the Czech Republic are aware of how these changes may impact their options when engaging with talent moving forward.

Staying ahead of employment laws across borders can be tricky, but TCWGlobal can help. As an Employer of Record (“EOR”) assisting with workforce management, TCWGlobal serves as a trusted partner to our clients in staying informed on constantly changing employment and hiring laws around the globe.

Navigating the labor laws and regulations of different countries is made easy with our EOR services. Expand into new markets with confidence, knowing that you have a reliable EOR managing your international employment needs.

Explore our Country Hiring Guides for a breakdown of each country’s laws in hiring to stay up to date with the latest changes in legislation.

Let us help you hire with confidence, everywhere you grow.

Need Help?

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Whether you need expertise in Employer of Record (EOR) services, Managed Service Provider (MSP) solutions, or Vendor Management Systems (VMS), our team is equipped to support your business needs. We specialize in addressing worker misclassification, offering comprehensive payroll solutions, and managing global payroll intricacies. 

From remote workforce management to workforce compliance, and from international hiring to employee benefits administration, TCWGlobal has the experience and resources to streamline your HR functions. Our services also include HR outsourcing, talent acquisition, freelancer management, and contractor compliance, ensuring seamless cross-border employment and adherence to labor laws. 

We help you navigate employment contracts, tax compliance, workforce flexibility, and risk mitigation, all tailored to your unique business requirements. Contact us today at tcwglobal.com or email us at hello@tcwglobal.com to discover how we can help your organization thrive in today's dynamic work environment. Let TCWGlobal assist with all your payrolling needs!