PRAGUE May 18 The Czech government plans to
raise the monthly minimum wage by 11 percent next year, Prime
Minister Bohuslav Sobotka told lawmakers on Thursday.
If approved by the cabinet, it would be the sixth increase
of the minimum wage in as many years, reflecting solid growth in
the Czech economy, which now has the lowest unemployment rate in
the European Union.
The pre-tax minimum monthly wage will be increased to 12,200
crowns ($509.48) from January 2018, compared with 11,000 crowns
now, government spokesman Martin Ayrer said on his Twitter
That would take the minimum wage to more than 40 percent of
the Czech average, which was 27,589 crowns a month last year, a
long-term goal of Sobotka's centre-left government.
Sobotka said the rise should be approved by mid-year. There
are slightly more than 100,000 people who receive the minimum
wage, or around 3 percent of the workforce.
Gross domestic product grew by 2.9 percent annually in the
first quarter, while unemployment dropped to 4.4 percent.
Czech companies had 159,072 job vacancies in April while
there were 327,199 people registered as unemployed.
($1 = 23.9460 Czech crowns)
(Reporting by Robert Muller)