Unemployment

Within the whole Czech Republic, South Moravia is a region with a long-term above-average level of unemployment. This is a trend that has been apparent since 1998–1999 when traditional pillars of the region’s economy – especially textile and many engineering companies started to go bankrupt. Also the leather and shoe-making industries faced substantial job-losses, as well as the brown-coal mining and metal working branches.

Within the whole Czech Republic, South Moravia is a region with a long-term above-average level of unemployment. This is a trend that has been apparent since 1998-99 when traditional pillars of the region’s economy – especially textile and many engineering companies started to go bankrupt. Also, the leather and shoe-making industries faced substantial job-losses, as well as the brown-coal mining and metal working branches. Since then, the negative tendency of unemployment growth has been partly offset by the foreign direct investment that has been flowing mainly to the electronics, engineering and automotive sectors. After its peaks in early 2004 (unemployment rate of 12.1 %) and 2010 (reaching 11.4 % due to a worldwide crisis) the unemployment rate decreased to 6.5 % in 2016 and to 4.0 % in 2018. And now is the lowest since 1997 1. The unemployment tends to fluctuate during the year with rates being the highest in winter months and the lowest during the late summer or autumn. In absolute figures it means between 30,000 (June 2018) and 39,000 (January 2018) jobless, of which little less than a half are usually women (48.8 % in winter, but up to 53.3 % in summer months). The share of unemployed is generally regarded as higher than national average (+18.5 %, 2017).

 

1 since 2013 the share of the unemployed in the population aged 15 – 64 years is monitored instead of registered unemployment rate (ratio of the number of job applicants out of work to the number of employment – annual moving average)

 

 

Unemployment rate trend 1994–2018

Source: Ministry of Labour and Social Affairs, Regional Development Agency of South Moravia

From the regional point of view the most affected areas are Hodonín district and Znojmo district with average year unemployment almost 6 % in 2018 (some 6,000 unemployed in Hodonín, 4,500 unemployed in Znojmo). The unemployment rate in the City of Brno during the crisis rose up from 5.5 % (2008) to 8.7 % and in the first half of 2014 the share of unemployed people was higher than 9.0 %. Current rate is steadily around 4.5 % (with some 12,000 unemployed) thereby has become the third highest in the region. Among the unemployed in Brno there is also the highest share of university graduates (almost 15 per cent in summer months in opposite to the regional 11.2 % and national 9.3 % average; 07/2018).

Average annual unemployment rate in the South Moravian Region (share of the unemployment rate in the population aged 15–64)

Source: Ministry of Labour and Social Affairs, Regional Development Agency of South Moravia

Tab. 8: Unemployment rate in individual districts of South Moravia

District

2005

2008

2010

2011

2012

2013

2014

2015

2016

2017

2018*

Blansko

8.4

5.5

10.2

8.7

8.8

7.1

6.9

5.8

4.9

3.5

2.8

Brno-city

9.5

5.5

8.5

8.1

8.5

8.3

8.9

8.0

7.2

5.8

4.6

Brno-district

6.9

4.2

8.3

7.7

7.6

6.6

6.7

5.6

4.7

3.7

2.8

Břeclav

10.6

6.0

11.1

10.8

10.1

8.1

7.7

6.3

5.3

4.1

3.4

Hodonín

14.3

9.9

15.0

14.0

13.9

10.7

10.4

8.8

7.8

6.4

5.2

Vyškov

9.1

4.4

8.9

8.2

8.3

6.8

6.3

4.9

3.9

3.0

2.3

Znojmo

13.1

9.5

13.2

12.6

13.4

10.2

10.3

9.1

8.1

6.7

5.6

South Moravia

10.1

6.2

10.2

9.6

9.7

8.3

8.3

7.2

6.3

5.0

4.0

Czech Republic

8.9

5.4

9.0

8.5

8.6

7.7

7.7

6.5

5.5

4.2

3.3

Source: Ministry of Labour and Social Affairs, Average annual data (* January–September average)

Tab. 9: Job opportunities

District

2005

2010

2011

2012

2013

2014

2015

2016

2017

2018*

 

Blansko

586

831

205

197

194

277

385

666

828

1,081

1,156

Brno-city

2,548

6,950

1,370

866

965

780

1,422

3,110

4,091

5,803

7,977

Brno-district

602

3,059

536

647

557

434

800

1,455

2,519

4,051

7,327

Břeclav

419

705

237

183

227

321

611

1,046

1,268

1,297

1,713

Hodonín

537

827

339

384

343

335

432

812

1,041

1,355

2,181

Vyškov

280

552

159

204

195

225

255

543

770

1,103

1,466

Znojmo

642

1,267

417

333

360

448

418

906

761

1,052

1,397

South Moravia

5,613

14,190

3,262

2,813

2,839

2,819

4,322

8,536

11,277

15,741

23,216

Czech Republic

54,677

133,485

32,992

36,982

39,597

39,874

51,396

96,038

131,191

189,282

290,390

Source: Ministry of Labour and Social Affairs, Average annual data (* 1Q – 3Q 2018 average)

  • Regional Development Agency of South Moravia
    Královopolská 139
    612 00 Brno
    Czech Republic
    www.rrajm.cz

    Jan Hladík
    +420 541 219 282
    +420 541 212 125
    jan.hladik@rrajm.cz