Wages

South Moravia can be rated as one of the most favourable locations in the Czech Republic from the employers’ point of view. Qualification levels are among the highest in the country (Brno itself having 37.3 % of the workforce with university education, in comparison to the 38.3 % in Praha) whereas the wages are still substantially lower than those in the capital city (approximately amounting to 75 %). This is the case with the managerial and middle management positions throughout the region. As for employees in manufacturing and related services, the wages in Brno tend to be slightly over the national average, but they are significantly lower in other parts of the region.

The Czech law stipulates that employees must not receive wage that is lower than the minimum wage. The minimum possible wage is declared by a decree of the government of the Czech Republic and published in the Collection of Acts. As of 1st January 2020, the wage for employees remunerated by a monthly wage is 14,600 CZK, for employees paid by hourly wages was 87.30 CZK/hour. This wage for that purpose does not include overtime bonus, premium for work in difficult and harmful-to-health working conditions, premium for night work and work on holidays (a premium for an hour of night work is amounting to 20 % of average hour income, it quotes at least 17.46 CZK). The minimum wage is valid for any employment (both for a fixed and indefinite contract for full and part-time employment), however, it does not apply to contract work agreements concluded outside the employment contract.

According to the national statistics, the average monthly gross salary in 2018 was 31,885 CZK in (annual increase +8.0 %), the average monthly gross salary in the South Moravia was 30,778 CZK (7.8 % growth) but two thirds out of all employees have their average earnings below this level. From the regional point of view the highest salaries have been paid in Prague (about 25 % higher than the nationwide average but 30 % above the South-Moravian average). The city of Brno achieves overall wage level just about the nationwide average but the rest of the region has wages lower than that.

Although the labour costs in the South Moravian Region are still distinctively under the Western Europe level, in general, neither the whole Czech Republic nor the region are no more indicated as low-cost. It is due to the progressive wage increase (wages have been doubled since 2000) and Czech currency strengthening (+36 % compared with EUR, 2000).

The actual labour costs, however, will depend on the overall remuneration policy and the benefit package offered to employees. People in South Moravia, just like anywhere else in the Czech Republic, are willing to commute to get a good job (normally up to 30 km a day; for managerial positions even more than 100 km. However, Czech people are quite reluctant to move permanently which is a fact that every investor should keep in mind.

Tab. 10: Average hourly wages in South Moravia by the educational level (CZK)

Level of education

2002

2005

2008

2011

2012

2013

2014

2015

2016

2017

2018

Primary education

63.09

68.74

89.04

97.94

103.56

102.92

104.35

112.39

115.87

130.71

139.36

Secondary without final exam

73.88

85.77

106.13

110.21

117.19

113.91

114.90

120.49

126.32

139.10

147.56

Secondary with final exam

95.54

113.48

140.93

143.82

153.74

150.50

150.75

155.05

162.55

173.36

182.53

Higher secondary and bachelors

103.77

125.36

156.97

164.82

177.10

178.62

179.43

189.11

200.07

214.25

226.96

University degree

172.83

191.75

239.95

237.21

261.72

248.90

252.86

254.37

264.10

276.51

280.91

Total – private sector

88.09

105.37

136.12

141.79

152.71

151.15

152.73

158.93

167.24

179.85

189.54

Source: Regional Statistics of Labour Cost – Ministry of Labour and Social Affairs; private sector data

Tab. 11: Average hourly wages in South Moravia by main employment categories (CZK)

Main employment categories

2002

2005

2008

2011

2012

2013

2014

2015

2016

2017

2018

Managerial positions

205.80

231.01

281.98

308.72

352.19

323.41

328.98

356.66

352.23

357.84

366.64

Researchers, specialised expert workers

134.28

161.02

201.57

217.72

238.25

239.43

241.78

257.98

271.03

287.35

295.15

Technicians, workers in health-care
and education

104.49

129.03

159.04

158.92

169.94

168.88

171.49

174.87

183.56

195.49

205.50

Lower administrative positions

73.96

88.00

107.93

121.81

132.54

131.33

132.10

133.01

139.90

151.43

158.02

Operators in services and trade

58.05

67.81

85.05

82.69

91.85

90.14

90.62

93.20

99.15

108.46

119.87

Craftsmen and manufacturing workers

76.37

87.17

112.48

118.99

127.06

122.65

127.98

136.63

141.92

153.89

161.18

Manufacturing operators

76.55

87.92

109.48

115.02

121.54

119.46

119.18

125.31

133.15

146.31

155.98

Unskilled workers

54.38

62.69

72.42

86.43

94.54

93.23

92.76

97.03

98.91

108.38

121.89

Total – private sector

88.09

105.37

136.12

141.79

152.71

151.15

152.73

158.93

167.24

179.85

189.54

Source: Regional Statistics of Labour Cost – Ministry of Labour and Social Affairs; private sector data

Tab. 12: Average hourly wages in South Moravia by gender and employment categories (CZK)

Employment categories

2002

2005

2008

2011

2012

2013

2014

2015

2016

2017

2018

Male

98.61

116.88

153.75

158.12

171.00

167.93

170.23

175.92

185.29

197.85

207.81

Female

72.56

85.09

108.24

117.99

125.38

125.33

126.08

132.18

137.82

150.12

160.23

Manual workers

71.75

81.43

101.39

105.73

113.27

110.62

111.91

117.98

124.84

137.09

146.25

Non-manual workers

117.50

144.71

178.39

182.67

197.65

194.53

195.81

197.81

208.40

220.65

229.39

Source: Regional Statistics of Labour Cost – Ministry of Labour and Social Affairs; private sector data

Tab. 13: Average month wages in South Moravia by employment categories in 2018 (CZK)

Employment categories

Average wage

Of which

Basic wage (%)

Other benefits, contributions (%)

Managerial positions in human resources

86,523

64.4

35.6

Managerial positions in marketing

81,206

64.3

35.7

Managerial positions in research and development

87,053

75.3

24.7

Managerial positions in manufacturing

64,189

69.0

31.0

Managerial positions in freight, warehousing and telecommunications

61,995

73.5

26.5

Managerial positions in ICT

95,082

70.2

29.8

Managerial positions in financial services

108,651

60.1

39.9

Mechanical engineers

48,372

78.0

22.0

Electrical engineers

51,425

77.0

23.0

Financial analysts, finance specialists

47,479

69.3

30.7

Programmers

61,985

74.6

25.4

System analysts

58,366

70.9

29.1

IT system administrators

53,143

79.3

20.7

Building technicians

33,321

72.3

27.7

Technical positions in electrical engineering

35,546

70.2

29.8

Technical positions in mechanical engineering

36,188

70.7

29.3

Technical positions in other industries

30,316

68.1

31.9

Specialists accounting, economics, human resources

30,966

73.7

26.3

Purchasing specialist

37,291

74.6

25.4

IT operators and maintenance

44,652

70.5

29.5

Secretaries

23,084

77.8

22.2

Emplyees in customers centres

31,383

69.7

30.3

Employees in accounting and budgeting

26,310

79.6

20.4

Warehouse clerks

27,225

71.4

28.6

Production clerks

29,562

76.3

23.7

Shop assistants

20,678

75.2

24.8

Bricklayers

21,121

73.0

27.0

Welders

31,049

57.5

42,5

Plumbers, locksmiths at construction works

24,949

71.7

28.3

Tool-makers and metal workers

28,367

64.6

35.4

Machinists, machine and device repairers

31,840

64.2

35.8

Electricians

30,027

68.7

31.3

Quality controllers, laboratory technicians

28,193

63.2

36.8

Skilled workers–metal tooling

31,031

62.6

37.4

Skilled workers – electrical engineering

27,575

64.7

35.3

Truck drivers

23,820

68.0

32.0

Unskilled workers

22,748

67.0

33.0

Source: Regional Statistics of Labour Cost - Ministry of Labour and Social Affairs, 4Q 2018; private sector data

No doubt, the concrete remuneration policy is a matter of your company’s strategy. Yet, we also present the information on wage factors based on direct experience with companies (mainly foreign-owned) that have already established their existence in South Moravia. On top of this, remuneration packages offered by multinational companies to their employees in South Moravia are also stated, as well as a few hints and points for consideration that your HR department may want to know about.

There are several important factors to be considered when considering the remuneration package:

  • Size of the company
  • Production/service sector
  • Location of the company (big cities, transport infrastructure accessability, unemployment rate)
  • Level of working and professional experience of an employee

Most companies offer salaries and benefits on the local labour market average level. We suppose the potential key motivators for the successful attraction and retention of quality candidates could be as follows:

  • All employees (both white and blue collars)
    • Realistic performance related bonus or premium
    • Company contribution for meals (vouchers)
    • Extra days of holidays
    • Training courses – language etc.
    • Sport, cultural benefits
    • Insurance other than provided by the State
    • A private or corporate pension fund
    • Full salary in case the employee is sick


Better working conditions and professional growth, housing facilities and company shuttle-buses for people who cannot commute every day can be considered other attractive factors.

  • Managers and Professional Staff
    • Realistic performance related bonus
    • Car
    • Mobile phone
    • Notebook
    • A private or corporate pension fund
    • Insurance other than provided by the State
    • Stock options
    • Business trips abroad
    • Training – MBA, ISO, VDA etc.
    • Relocation package where necessary with an accommodation, as well as possible work for family members (spouse), childcare support


Any combination of the above along with a competitive salary should help the investor to become a competitive employer in the region.

  • 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