A Guide to Employing Foreign Nationals in the Czech Republic

Employing Foreign Nationals: New Rules and Strategic Opportunities in 2025

The first and most fundamental change is the mandatory electronic communication with the Labour Office of the Czech Republic when fulfilling the information obligation, based on Decree No. 117/2024 Coll., on establishing electronic communication for fulfilling the employer's information obligation when employing employees from abroad. Paper submissions are a thing of the past.

From 1 July 2024, all reports (commencement, changes, termination) must be submitted exclusively digitally. Furthermore, from 1 July 2025, data sent from proprietary software must be in a specific XML format, otherwise it risks being rejected.

This transition to digitalisation carries a hidden risk. It is not just a change in process, but the introduction of a new technical barrier. An incorrectly formatted XML file or an error in transmission via a data box means that the office will not accept the report at all. For companies without strong IT support or an external partner, a simple administrative task becomes a potential source of non-compliance with legal obligations, which can lead to significant penalties.

Our lawyers at ARROWS will help you with both the legal and technical aspects of compliance. For an immediate solution to your situation, contact us at consultation@arws.cz.

Expansion of the Country "Whitelist"

A significant opportunity is the expansion of the list of countries whose citizens have free access to the Czech labour market. This so-called "whitelist" now includes countries such as Australia, Japan, Canada, the Republic of Korea, New Zealand, the United Kingdom, the USA, Singapore, Israel, and from March 2025, also Taiwan. For employers, this means a dramatic simplification of recruiting talent from these economically advanced countries.

Suspension of the Labour Market Test

The third key change is the possibility of suspending the so-called labour market test for standard employee cards, not just for blue cards. This test, which verifies whether a vacancy cannot be filled by a candidate from the Czech labour market, could previously extend the recruitment process by up to 30 days. In regions with low unemployment, the test can now be completely bypassed, allowing an application for an employee card to be submitted almost immediately after the position is reported.

Who is Who? Correct Determination of a Foreign National's Status is the Foundation of Success

Before you start any recruitment process, it is absolutely crucial to correctly determine which category your candidate falls into. A mistake in this first step can lead to choosing the wrong procedure, rejection of the application, and unnecessary months of delay. Under Czech legislation, employees from abroad are divided into three basic groups.

A. EU/EEA and Swiss Citizens: The Simplest Path

These employees have virtually the same status in the Czech Republic as Czech citizens and have free access to the labour market. Your only obligation as an employer is to fulfil the so-called information obligation. No later than the day such an employee starts work, you must report this fact to the relevant regional branch of the Labour Office using the digital "Information Card" form.

B. Foreigners with Free Access to the Labour Market: Who Belongs Here and What Does It Mean for You?

This group does not only include citizens of the aforementioned "whitelist" countries. Other categories of foreigners also have free access to the labour market, most often those with permanent residence in the Czech Republic or graduates of Czech secondary and higher education institutions. For them, only the simplified information obligation applies.

However, it is necessary to emphasize a key point where companies often make mistakes. Free access to the labour market does not automatically mean that the foreigner has a residence permit in the Czech Republic. These foreigners must also have their residence status resolved with a valid residence permit; otherwise, their work becomes illegal under Czech legislation.

C. Third-Country Nationals: This is Where the Real Complexity Begins

For all other foreigners (so-called third-country nationals), the process is significantly more complex and requires obtaining a specific work permit. Most often, this is an employee card or a blue card. These cards usually combine both the work permit and the long-term residence permit in the Czech Republic.

The decision whether to apply for a standard employee card or the more prestigious blue card for a highly qualified candidate is not a mere administrative choice. The blue card, intended for experts with a salary of at least 1.5 times the average wage in the Czech Republic, offers the holder and their family significant advantages – greater mobility in the EU labour market, a faster family reunification process, and longer validity. Choosing a standard card for such a candidate may reduce the attractiveness of your job offer.

At ARROWS, we will help you conduct a strategic analysis and choose the optimal type of permit for each candidate. Contact our Prague-based lawyers at consultation@arws.cz and get a tailor-made legal solution.

Employee Card and Blue Card: A Detailed Look at Key Work Permits in the Czech Republic

For most third-country nationals, the employee card and the blue card are the main paths to legal employment in the Czech Republic. Understanding their specifics is key to successful and swift processing.

A. Employee Card: Dual vs. Non-Dual – Do You Know the Difference?

Under Czech law, the employee card exists in two basic variants, and confusing them leads to automatic rejection of the application.

• Dual Employee Card: This is the standard and most common type. As the name suggests, it has a dual function – it serves as a work permit for a specific position and, at the same time, as a long-term residence permit. It is intended for most third-country nationals who do not have free access to the Czech labour market.

• Non-Dual Employee Card: This card serves only as a residence permit. It is intended for foreigners who already have a work permit on other grounds – typically graduates of Czech schools with free access to the labour market or foreigners to whom the Labour Office has issued a separate employment permit (e.g., in the case of posted workers).

Correctly distinguishing between these two types is absolutely essential. ARROWS provides clear legal advice to ensure you choose the right type of card for your candidate, avoid fatal errors in the application, and prevent unnecessary delays. Need legal assistance? Contact our Czech legal team at consultation@arws.cz.

B. Blue Card: When is it the Right Choice for Your Experts?

The blue card is intended for highly qualified employees. The conditions for obtaining it are stricter, but it brings significant benefits. Under Czech legislation, the applicant must meet the following criteria:

• Completed higher education or higher vocational education lasting at least 3 years.

• An employment contract concluded for a period of at least 6 months.

• An agreed gross monthly salary reaching at least 1.5 times the average gross annual wage in the Czech Republic.

The main advantage of the blue card is significantly easier mobility for the holder and their family within the European Union and an accelerated process for family reunification.

Step-by-Step Recruitment Process: What Do You Need to Arrange as an Employer?

The process of obtaining a work permit for a third-country national in the Czech Republic is a sequence of precisely defined steps that must be initiated by the employer. Each step has its specifics and requires careful preparation.

A. How to Correctly Report a Job Vacancy ("Hlášenka")?

The first and absolutely crucial step is to report the job vacancy to the relevant regional branch of the Labour Office of the Czech Republic. This document, known as a "hlášenka", is not a mere formality. It is a strategic legal document that defines the parameters for the entire subsequent employee card application.

The way you formulate the job vacancy report has a direct impact on the course of the entire process. If you write it too generally, the Labour Office may start sending you dozens of local candidates with whom you will have to formally conduct interviews to legally justify why you are hiring your chosen foreigner. Conversely, stating unrealistic requirements may arouse suspicion during a potential inspection by Czech authorities.

The key is to strategically align the requirements in the job vacancy report with the demonstrable skills and qualifications of your candidate. At ARROWS, we will help you formulate the job vacancy report to be legally sound under Czech law, minimize the administrative burden, and effectively target your chosen candidate. Our Prague-based lawyers are ready to help – write to consultation@arws.cz.

B. Labour Market Test in 2025: When Does It (Not) Apply to You?

After reporting the vacancy, the "labour market test" usually follows. During this period (typically 10 to 30 days), the position is offered to applicants from the Czech Republic and the EU. As mentioned, the amendment to the Employment Act has brought a fundamental change: depending on the labour market situation in the given region, this test for employee cards can be completely suspended. This means that a foreigner can apply for the card immediately after the vacancy is published, which dramatically speeds up the entire process.

C. Qualified Employee Programme: Can You Speed Up the Recruitment Process?

For employers seeking workers for positions classified in the main CZ-ISCO groups 4–8 (e.g., craft and related trades workers, plant and machine operators, and assemblers) from selected countries (e.g., the Philippines, India, Kazakhstan, Moldova, Mongolia, Serbia, Ukraine), there is a government "Qualified Employee Programme". This programme offers an expedited processing regime for employee cards in the Czech Republic.

However, the conditions for an employer to be included in the programme are very strict:

• Operating on the Czech market for at least 2 years.

• A minimum of 6 employees for at least 3 months.

• No debts to the Czech state (taxes, social and health insurance).

• Meeting the wage criterion (currently 1.22 times the guaranteed wage).

We will assess whether your company and candidate meet the Programme's conditions and help you prepare an application that can shorten the waiting time by months. To speed up your recruitment, write to us at consultation@arws.cz.

Agency Employment of Foreign Nationals: New Rules and Increased Protection from 2026

Agency employment is a flexible way for many companies to meet labour demand, especially in manual professions. However, statistics show that foreigners constitute the most significant and, at the same time, the most vulnerable group of agency employees. In response to unfair practices and labour exploitation, the Czech government is preparing a fundamental change that, if it comes into effect on 1 January 2026, should tighten the conditions for employment agencies.

Restrictions for New Agencies and the Fight Against Abuse

The main goal of the new regulation is to prevent the operation of unreliable, often purpose-built "ready-made" agencies that are sold and subsequently misused to circumvent Czech law. These entities often violate employee rights and damage the labour market.

From 1 January 2026, it is highly probable that only employment agencies holding a "repeated employment mediation permit" will be able to temporarily assign foreigners to jobs not requiring more than a secondary education with a school-leaving examination.

This permit is issued only after three years of problem-free operation on the market, which means that newly established agencies will not be able to mediate this vulnerable group of employees for the first three years at all. The aim is to ensure that agency employment of foreigners is carried out only by proven and reliable entities in the Czech Republic.

Commencement of Employment: Key Obligations for Ensuring Compliance

The process does not end with obtaining an employee card and the foreigner's arrival. On the contrary, a stage full of administrative duties begins, the neglect of which can lead to high fines under Czech legislation.

A. Information Obligation: How and When to Report the Start of Employment Fully Digitally?

As soon as a foreigner starts work, you must fulfil the information obligation towards the Labour Office of the Czech Republic. Since mid-2024, this is only possible digitally in one of three ways: by filling out a web form, sending an XML file to the Labour Office's data box, or by direct integration of your HR system with the interface of the Ministry of Labour and Social Affairs.

The deadlines are strict: for EU citizens and foreigners with free access to the labour market, you must report the start of employment no later than on the day of commencement. For holders of work permits, the deadlines vary, but their observance is crucial under Czech law.

B. How to Maintain Records of Foreigners to Withstand an Inspection?

The Employment Act (§ 102) imposes an obligation on employers in the Czech Republic to keep special records of all employed foreigners, including EU citizens. These records must contain precisely defined data:

• Employee's identification data, permanent residence address, and address for correspondence.

• Passport number and the authority that issued it.

• Type of work and place of work.

• Highest level of education attained and the education required for the position.

• Details of the work permit (type of card, period of validity).

• Date of commencement and date of termination of employment.

In addition to maintaining these records, you are obliged to keep copies of documents proving the legality of the foreigner's residence in the Czech Republic for the entire duration of the employment and for 3 years after its termination.

At ARROWS, our Czech legal team will help you create internal guidelines for keeping records of foreigners, ensuring full compliance with the law and preparing you for a potential inspection. Do not hesitate to contact our Prague-based law firm – consultation@arws.cz.

C. OHS Training: Why Clear Language is Your Legal Protection?

Every employee, regardless of nationality, must undergo occupational health and safety (OHS) training upon commencement of employment. However, the Czech Labour Code sets a key condition: the employee must be acquainted with the regulations in an understandable manner.

In practice, this means that training conducted only in Czech for an employee who does not understand Czech is legally invalid. In the event of a work-related injury, the Labour Inspectorate will investigate whether the employee truly understood the safety instructions. A signed attendance sheet in Czech will not protect you in such a case.

Failure to provide understandable training (e.g., with the help of an interpreter or translated materials) constitutes a serious breach of duty and can lead to the employer's full liability for damages. ARROWS offers expert training for management and HR, where we explain the legal pitfalls of OHS for foreigners and help set up processes that will protect you.

During Employment: How to Manage Changes and Termination of Employment?

The employment relationship with a foreigner is dynamic, and even during its course, it is necessary to be mindful of specific obligations, especially when changing employers or terminating the relationship under Czech legislation.

A. Can an Employee Change Employers? What Does It Mean for You?

An employee card holder can change employers, but strict rules apply. The first change can be made no earlier than 6 months after the first card is issued (with certain exceptions, such as organizational changes). The change must be reported to the Ministry of the Interior (OAMP) at least 30 days before the planned start date with the new employer, and the employee may only start after receiving consent.

After the termination of employment, the foreigner has a 60-day protection period to find a new job and report the change; otherwise, the validity of their employee card may expire.

B. How to Correctly and Timely Report the Termination of a Foreigner's Employment?

Just like the commencement, the termination of a foreigner's employment must also be reported to the relevant regional branch of the Labour Office. The deadline for this notification is 10 calendar days from the date of termination. This report is also now made exclusively in digital form.

When an Audit Occurs: Are You Prepared for the Czech Labour Inspection?

Inspections focused on the employment of foreigners are becoming increasingly frequent and stricter in the Czech Republic. They are primarily carried out by the State Labour Inspection Office (SÚIP), but also by the Customs Administration of the Czech Republic. The number of detected cases of illegal employment, especially of third-country nationals, has been growing in recent years, signaling increased pressure from Czech state authorities.

Inspectors focus on the complete documentation: the validity of work and residence permits, maintenance of statutory records, employment contracts, and compliance with reporting obligations under Czech law.

The consequences of being found to have engaged in illegal work can be devastating for an employer. Fines can reach up to CZK 10,000,000, with a minimum penalty set at CZK 50,000. The foreigner also faces a personal penalty (up to CZK 100,000) and may be expelled from the Czech Republic.

Our Prague-based lawyers will not only prepare you for an inspection through a preventive audit but will also represent you directly in dealings with inspectors and in subsequent administrative proceedings. For legal consultations that protect against fines, contact us at consultation@arws.cz.

Ensure Legal Certainty and Focus on Growth

Employing foreigners is a complex and dynamic agenda that requires constant attention and a deep knowledge of current Czech legislation. As this guide shows, mistakes are not just administrative oversights but represent serious financial and reputational risks.

At ARROWS, we deal with this issue on a daily basis. Thanks to our established ARROWS International network, we often handle cases with an international element. Our experience from long-term cooperation with more than 150 joint-stock companies and 250 limited liability companies allows us to provide not only legal advice but also strategic solutions that protect your business in the Czech Republic.

Do not leave a key area of your HR and compliance to chance. Connect with us at consultation@arws.cz and gain a partner who will ensure your legal certainty, so you can fully focus on the growth of your business.