Business & EconomyGuide
Hiring your first employee in Czechia: the checklist before day one
Registrations, contract basics and right-to-work checks come in a fixed order. Missing one is cheap to fix on paper and expensive after the person has started.
In this article 9 sections
The first employee changes a small business more than the second or the tenth. You gain someone to share the work, and from the day the contract is signed you also become a regulated employer with a calendar of obligations. In Czechia those obligations are manageable if you take them in order, and a payroll provider or employment lawyer is worth the fee for a first hire.
Decide the arrangement
A standard employment contract (pracovní smlouva) is the default for continuing work under the employer's direction. For short or limited tasks the Labour Code also provides agreements outside employment: the dohoda o provedení práce (DPP, agreement to complete a job) and the dohoda o pracovní činnosti (DPČ, agreement on work activity). They carry fewer entitlements and different insurance rules, with thresholds that have been revised in recent years (as of 2026; check the official source).
Using an agreement to dodge obligations that belong in an employment contract is a known risk. If the person works regularly, on your instructions, at your premises or with your tools, the law may treat it as employment whatever the paper says. A contractor invoicing as self-employed raises the same question, so decide honestly which relationship you have.
Register as an employer
Register as an employer with the Czech Social Security Administration (ČSSZ), usually through its online portal, within eight days of the first employee starting, and notify each employee's start to ČSSZ and to their health insurer within eight days as well. Companies have a data box by default for official post, and your tax office should know you will be withholding tax from wages.
On the day an employee starts, notify the ČSSZ and the employee's health insurer that employment has begun. The deadline is short (as of 2026; check the official source), and the notification identifies the employee by birth number or, for foreigners without one, other identifiers. Ask which health insurer they use before the first day.
The contract
The contract must be in writing. The Labour Code (no. 262/2006 Coll.) requires it to state the type of work, the place of work and the start date, and it should cover wages, working hours, leave and, if relevant, a probation period. Notice periods and grounds for termination follow the Code, and some of its provisions cannot be changed by agreement to the employee's disadvantage.
Probation can be agreed for up to four months, or eight for managers, since 1 June 2025, and a fixed-term relationship can last up to three years and be repeated twice (as of 2026; check the official source). Look at those before you offer a rolling series of short contracts. Employees are also entitled to written information about their terms, and the simplest way to satisfy that is to have the contract itself cover the list.
Right to work
Citizens of EU, EEA and Swiss states may work in Czechia without a work permit. Other nationals generally need a residence permit that allows employment, such as an employee card or an EU Blue Card, or another status with free access to the labour market. The permit is issued by the residence authorities, and the application usually names the job. Our residence glossary explains the card terms.
The employer must verify entitlement before work starts, keep copies of the documents and notify the regional Labour Office of the start and end of work by foreign nationals, EU citizens included, within the deadline in the Employment Act, which was changed in October 2025. Letting someone work without the right papers exposes the employer to substantial fines. The employee's assurance is not enough.
Safety and health
An employer must provide safe working conditions. In practice a new employee needs, for the categories of work where it applies, an initial occupational health check (vstupní lékařská prohlídka) and training in health and safety (BOZP) and fire protection before starting. Keep the records. Employers must also carry workplace accident insurance, as our piece on employer contributions notes.
Payroll
Payroll needs a system from the start: gross to net, income tax advances withheld, contributions paid to the social and health bodies, monthly reports sent. The process is laid out in Czech payroll for employers. Collect on or before day one the personal details, bank account, health insurer, relevant earlier employment documents, the signed declaration if the employee wants the basic tax credit, and records of any dependants for other credits.
The costs people forget
A first-hire budget usually starts with the wage and stops there. The full list is longer: the employer's social and health contributions, statutory accident insurance, the occupational health check where it applies, safety and fire-protection training, the payroll service and the time of whoever manages all of it. None is large alone. Together they change the answer to the question "can we afford someone?", which is why our piece on employer contributions is worth reading before you write the offer.
There is also the cost of getting the relationship wrong. A person who works regularly, on your instructions, at your premises and with your tools may be treated as an employee whatever the paper says. Settling that honestly on day zero is cheaper than a reclassification later.
Day one
The employee should leave the first day with a copy of the contract, an explanation of working hours and place of work, the safety briefing, information on leave and on how to report sickness, and the internal rules. Statutory minimum leave is set by the Labour Code (as of 2026; check the official source).
Keep a personnel file with the signed documents. Employee data falls under the GDPR and Czech data protection rules, so note the legal basis for what you hold.
A week before the start date, build a one-page checklist with a person and a date against each item: contract signed, right to work checked, social security and health insurer notified, health check booked, safety briefing scheduled, payroll ready. Send it to your accountant and ask them to confirm the items they handle. Then budget for the employer's contributions, accident insurance, the health check, training and the payroll service on top of the gross wage.
Finally, decide who in the business owns employment administration. In a company with one director and one employee it is usually the director, and the risk is that nobody notices a deadline because everyone assumes someone else has it. Name the person, put the dates in their diary and write down where the signed documents live.
Where to check
The Czech Social Security Administration explains employer registration and notifications. The Labour Code is the authority on contracts, probation, fixed terms and leave, and the Ministry of the Interior covers residence permits that allow employment. Employment law is an area where a single consultation with a Czech employment lawyer before the first contract is money well spent.
Frequently asked questions
Do I need a written contract?
Yes. The Labour Code requires it to be in writing, stating at least the type of work, the place of work and the start date.
Can an EU citizen start work without a permit?
Citizens of EU, EEA and Swiss states may work in Czechia without a work permit. Other nationals generally need a residence permit that allows employment.
Are fixed-term contracts unlimited?
No. They have limits on repetition and total duration (as of 2026; check the official source), so look at those before you offer a rolling series.
What must the employee leave day one with?
A copy of the contract, an explanation of working hours and place of work, the safety briefing, information on leave and sickness reporting, and the internal rules.
This is a general explainer, not legal or tax advice. Rules change; check the official source or a licensed adviser.
Sources
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