Legal services · Czech Republic

Employment, tax and social security legal support in Czech Republic

Working or employing people in Czech Republic involves specific legal obligations: employment contracts, social and health insurance contributions, income tax, work permits and visa coordination for foreign workers.

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In brief

Czech employment law regulates the relationship between employees and employers through the Labour Code (zákoník práce) and related laws. Foreign employees typically need a valid residence and work permit in addition to a compliant employment contract. Czech employers must comply with payroll tax, health and social insurance obligations. Cross-border employment may involve coordination of double taxation treaties and social security agreements.

How we can assist

Review and drafting of employment contracts (full-time, part-time, freelance, managerial)
Advice on employee rights, notice periods, severance and dismissal procedures
Employment termination, redundancy and wrongful dismissal
Work permits and employee card coordination for foreign employees
Employer obligations, payroll compliance and workplace regulations
Czech income tax and expatriate taxation coordination
Social security and health insurance for expats and foreign employees
Double taxation treaty analysis and coordination with tax advisors
Remote work and cross-border employment legal advice
Employee benefits, non-compete clauses and confidentiality agreements
Employer and HR compliance and internal policy review

Typical situations we advise on

An expat receives a Czech employment contract and wants to understand the key terms

A foreign employee is being dismissed and wants to know their rights

A company is hiring foreign workers and needs to understand Czech obligations

A self-employed foreigner (OSVČ) wants to understand Czech tax and social insurance obligations

An internationally posted employee needs coordination of Czech and home-country tax obligations

An employer needs to review its employment contracts and HR policies for legal compliance

How it works

Document review and assessment

We review your employment contract, terms and situation and identify key legal issues, risks and missing clauses under Czech law.

Advice and strategy

We explain the Czech legal framework, your rights or obligations, and propose practical steps or negotiation points.

Action

We draft or amend contracts, represent you in dismissal or dispute proceedings, coordinate with HR or tax advisors, and handle Czech authorities where needed.

Ongoing compliance

We advise on changes in Czech employment or tax law that affect you or your business, and assist with renewals, policy updates and compliance reviews.

Documents you may need

Helpful to have ready

Draft or existing employment contract (in Czech or English)
Details of employment: role, salary, location, start date, term
Passports and residence status documentation for foreign employees
Details of any posted-employee or cross-border employment arrangement
Details of any non-compete, confidentiality or IP assignment clauses

Frequently asked questions

Can PEERS review a Czech employment contract in English?

Yes. We review Czech-language employment contracts and explain the key terms, risks and your rights in plain English. If the contract contains unfair terms or is missing required clauses under Czech law, we identify these and can advise on negotiating changes.

What are the rules for dismissing an employee in Czech Republic?

Czech employment law (zákoník práce) strictly regulates dismissal. Employees can generally only be dismissed for specific reasons set out in the Labour Code, and employers must follow notice periods and procedural requirements. Wrongful dismissal can result in significant liability. We advise both employees and employers on dismissal procedures.

Do foreign employees need a work permit in Czech Republic?

Non-EU employees generally need both a valid residence permit and a work permit or employee card (zaměstnanecká karta) to work legally in Czechia. EU citizens have the right to work in Czechia without a work permit but may need to register. Requirements depend on nationality, planned activities and employment type.

How is Czech income tax calculated for expats?

Czech residents are taxed on worldwide income; non-residents are taxed on Czech-source income. The current basic rate is 15% for income up to a threshold and 23% above it. Social and health insurance are payable in addition. Double taxation treaties may affect your overall tax position. We coordinate with Czech tax advisors for detailed advice.

Can I work as a freelancer (OSVČ) in Czech Republic as a foreigner?

In many cases, yes. Operating as a sole trader (OSVČ) with a trade licence (živnostenský list) is possible for foreigners, subject to residency and permit requirements. Self-employed persons must register for income tax and pay social security and health insurance contributions. We advise on the OSVČ option as part of a broader employment or business assessment.

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