Minimum decent wage in Czech Republic reached CZK 45,865 in 2023

The minimum decent wage required to support an adult with a child in the Czech Republic was CZK 45,865 gross per month in 2023, according to a team of experts from the Platform for Minimum Dignified Wage. The figure rose by CZK 292 year-on-year and reflects the income needed to cover basic living costs, leisure activities, and modest savings.

Despite this benchmark, 63% of full-time employees across the country earned less than the calculated threshold. In Prague and Brno—where the cost of living is significantly higher—a dignified wage was determined to be CZK 53,953. Even at this higher rate, 59% of employees in those cities earned below the benchmark. Experts estimate that around 2.5 million workers across the country did not reach the minimum decent wage level in 2023.

The national minimum wage last year was CZK 18,900, while the average wage stood at CZK 46,165, according to data from the Czech Statistical Office. Economist Jan Bittner noted that the private sector saw higher wage increases, while stagnant wages in the public sector led more state employees to fall below the decent wage threshold.

The study found that 56% of employees overall, and 72% of women, earned less than the calculated decent wage. In the public sector, 56% of workers were below the threshold, compared to 65% in the private sector. Among employees under 35, about 32% reached the decent wage nationally, and 35% did in Prague and Brno.

The Platform for Minimum Dignified Wage, comprising over 20 experts in economics, sociology, and related fields, has been calculating these figures since 2016 based on data from national institutions and ministries. The wage is designed for a full-time worker supporting one dependent.

Key monthly expenses in the 2023 calculation included housing and utilities at CZK 14,373, food at CZK 8,199, clothing at CZK 1,496, transportation at CZK 1,846, healthcare and hygiene at CZK 1,412, telecommunications at CZK 1,323, leisure at CZK 3,996, and savings at CZK 4,856.

In Prague, the dignified wage rose by CZK 6,235 compared to the previous year, mainly due to a CZK 3,943 increase in housing costs. Food expenses remained steady at CZK 8,443. Experts applied the same decent wage benchmark to Brno, reflecting similar living cost trends in the city.

Source: CTK