Wednesday, 16 September 2026
Czech employers continue to face rising labour costs in 2026 even as conditions in the wider employment market become less tight, with shortages of technicians, engineers and other specialist workers maintaining competition for qualified staff. Average gross monthly pay reached CZK 51,966 during the second quarter, representing an increase of 6.4% compared with the same period of 2025. With consumer prices rising by 2.0%, average earnings increased by 4.3% in real terms.
The figures indicate that purchasing power is continuing to recover following the losses experienced during the period of high inflation. Across the first half of 2026, average wages reached CZK 50,650, increasing 6.2% in nominal terms and 4.3% after adjusting for inflation. Recruitment conditions, however, differ considerably according to occupation. Grafton Recruitment’s latest assessment indicates that companies are commonly raising salaries by around 4% to 6% this year, while positions where suitable candidates are particularly difficult to find can command larger increases.
Employers have more choice when recruiting for some administrative, marketing, human resources and junior positions. The situation remains considerably tighter for qualified technicians, engineers, automation specialists and experienced professionals in several technology and financial occupations. This imbalance is changing the way some companies approach remuneration, with employers placing greater emphasis on positions that are difficult to fill or considered important to maintaining operations rather than applying similar increases throughout their organisations.
Regional differences remain substantial. Prague recorded an average gross monthly wage of CZK 66,459 in the second quarter, almost 28% above the national average. Central Bohemia followed at CZK 55,218, while South Moravia recorded CZK 50,588. At the other end of the range, Karlovy Vary had the country’s lowest regional average at CZK 44,476.
These differences can be relevant for companies evaluating locations for offices, manufacturing and logistics operations. Lower headline labour costs can improve the economics of regional investment, but this advantage can be reduced if employers struggle to recruit workers with the necessary technical qualifications. The issue is particularly significant for industrial companies as production becomes more automated and technically complex.
Modern factories and logistics operations increasingly require engineers, maintenance specialists, automation professionals and employees capable of working with digital systems, making the depth of the local labour pool an important part of location decisions. For developers and industrial property owners, this means labour availability can be as important to prospective occupiers as rents, transport connections and the availability of suitable buildings.
Workers are also considering more than salary when assessing employment opportunities. Commuting time, flexibility, working hours, workplace conditions and opportunities for professional development are becoming increasingly relevant, requiring employers to consider the overall employment offer when competing for scarce skills.
This can also influence corporate real estate decisions. Accessibility, public transport connections, workplace quality and proximity to population centres can affect an employer’s ability to recruit and retain staff, particularly in regions where several large companies are competing for similar groups of workers.
The Czech labour market is therefore becoming increasingly differentiated. Overall employment conditions have softened compared with the exceptionally tight market of previous years, but this has not removed shortages in specialist occupations. Higher unemployment in an individual region does not necessarily mean that companies can readily find workers with the qualifications required for modern industrial, technology or financial operations.
For property investors, developers and occupiers, the distinction is important. A region with available workers on paper does not necessarily have the skills required by a new manufacturing plant, technology operation or distribution centre. As Czech companies continue investing in automation and higher-value production, access to specialised labour is likely to remain an important consideration alongside property costs, infrastructure, energy availability and transport connections.
Source: CTK
