- New scheme to reimburse 80% of net wages, capped at 1.5 average national wages
- Government will decide when to activate scheme, in consultation with social partners
- New scheme not to prevent layoffs, but employers will need to give at least a 3-month notice
- Projected monthly fiscal cost is a maximum of CZK 2.6bn in case of restricted business activity; base scenario suggests monthly cost around CZK 290mn
- Kurzarbeit scheme may take effect as of May, since ANO and CSSD requested emergency legislative procedure
Macro Analysis /
Czech Republic