The unemployment rate in Czechia rose slightly to 4.4 percent in July. The seasonal increase reflects the typical summer slump in new hires – many companies pause their recruitment efforts while graduates enter the labour market.
As expected, unemployment in Czechia rose slightly to 4.4 percent in July (4.2 percent in June). The seasonal increase is no surprise: during the summer months, many companies scale back their recruitment, while the activity of jobseekers also declines. Many postpone their job search until autumn. In addition, an increasing number of school leavers and university graduates are currently entering the labour market.
Despite the increase, the unemployment rate remains low in the longer-term comparison. “The slight rise in July is an annual recurring phenomenon. The situation on the Czech labour market remains stable and shows a long-term robust development,” explained Labour and Social Affairs Minister Marian Jurečka.
Clear Regional Differences
Regionally, unemployment remains very unevenly distributed. The highest rates are recorded in the Ústí (6.7%) and Moravian-Silesian (6.2%) regions. Compared to the previous month of June, the unemployment rate increased in all regions, most strongly in the Vysočina region with a rise of 0.3 percentage points. In South Bohemia and the Pilsen region, the increase was smallest at 0.1 points.
Year-on-year, the strongest rise in unemployment was seen in the Karlovy Vary area (+1.1 percentage points), followed by the Liberec district (+1.0 points) and the Moravian-Silesian region (+0.8 points).
A closer look at the districts reveals the hotspots: Most (9.6%), Karviná (9.3%), Chomutov (7.6%), Bruntál (7.3%), as well as Sokolov and Ostrava (each 7.1%) lead the list. On the other hand, the districts of Praha-východ, Praha-západ, Rychnov nad Kněžnou, Pelhřimov and Benešov continue to record unemployment rates below three percent.
The only exception in the monthly trend: in Jeseník, the rate fell slightly by 0.1 points. In two districts – Jindřichův Hradec and Domažlice – it remained unchanged. In 72 of the total 77 districts, however, unemployment rose. The strongest year-on-year increases were in Česká Lípa and Sokolov (each +1.7 points) as well as Ostrava (+1.3 points).
Demand for Workers Remains High – Especially in the Prague Metropolitan Area
The number of vacancies declined slightly in July: according to the Employment Office, 95,553 job vacancies were reported nationwide – around 3,100 fewer than the previous month. Demand remains steadily high in Prague with 23,439 advertised vacancies and in Central Bohemia with 14,831.
Currently, there are on average 3.4 applicants per vacancy. The mismatch is particularly pronounced in Karviná (24.4), Sokolov (16.5), Děčín (13.8), Hodonín (12.2), Louny (9.5) and Bruntál (9.2).
Builders, cooks, lorry drivers, forklift operators, warehouse workers, assembly workers and cleaners continue to be especially sought after.
