The Employment Act (No. 435/2004 Coll.) has  undergone considerable amendments in recent years. In July 2024, the employer’s information obligation report was first digitized, and then came a novelty in the form of a list of countries whose citizens have had free access to the Czech labor market since then. Links to articles on both topics can be found below. From 1 October 2025, an amendment to the Act will come into force, which introduces the concept of undeclared work.

Changes in employee onboarding reporting

The main change introduced by the concept of undeclared work is the adjustment of the deadline within which the employer’s information obligation in connection with the arrival of new foreigners is to be fulfilled in a timely manner. Compared to today, when it is sufficient for the employer to notify the Labour Office of the Czech Republic no later than on the day of the foreigner’s commencement of employment, from 1 October 2025 it will be necessary to report this event before the moment of commencement.  In practice, this means no later than the day before the employment contract comes into force. New employees starting on 1 November will therefore have to be reported to the Labour Office no later than 31 October. Other information obligations of the employer, such as reporting the termination of employment or other changes in the above data, are not changed by the amendment.

Significant increase in fines

At the same time, there is a significant increase in the amount of possible fines by the State Labour Inspection Office in the event of non-compliance with this obligation. Compared to the current maximum amount of CZK 100,000 for failure to comply with the information obligation, the SÚIP will be able to impose a fine of up to CZK 3,000,000 on an employer who allows undeclared work. This fine may be postponed by a resolution if the employer has fulfilled its information obligation within 5 days of the foreigner’s arrival. However, even in cases where the fine is postponed, this fact is still recorded in the inspection file. Therefore, during any further inspection, the record of the past inspection may be taken into account and any further fine may not be postponed. At the same time, the fine cannot be postponed if an inspection of the SÚIP is initiated in the 5 days in which the delay is tolerated, the subject of which is the control of the information obligation.

The new concept is intended to make inspections by the SÚIP more transparent and, above all, simpler. At the same time, it also comes in connection with the upcoming digitization of the portal of the Ministry of Labour and Social Affairs (MoLSA) and the announced Unified Monthly Employer Report, which will be introduced at the beginning of 2026.

Don’t forget to report changes to your data

In connection with the above, we would like to draw your attention to the already valid wording of the Employment Act dealing with the employer’s obligation to report changes in the identification data of foreigners to the Labour Office of the Czech Republic. The employer is obliged to keep a register of foreign employees to the extent specified in Section 102, paragraph 2 of the Employment Act. In the event that the foreigner’s data changes, such as the address of the registered residence or the number and validity of a new or extended residence card, the change should also be reported to the Labour Office of the Czech Republic within 10 days from the moment the employer learns about the change.

Thanks to the digitalization already in place, reporting changes is relatively simple. We always recommend that you keep the identifiers that are generated by the system after you enter your registration. If it is necessary to report a change, the Labour Office of the Czech Republic gives the opportunity to get into the registration using a previously generated identifier. The system then automatically reads the already submitted registration and the employer only has the option to change the relevant information, so they do not have to fill in the entire registration completely again.

In case of uncertainty, we will be happy to help you and answer your questions.

Links to the mentioned articles: