The Czech labor market is attractive to investors for combining low business costs and skilled labor, according to the newly released Manpower Group Total Workforce Index which compares labor markets in 75 countries against 90 parameters.
The Czech Republic ranked 22nd out of 75 countries in the Total Workforce Index; in a survey of the European, the Middle Eastern, and African regions, the Czech Republic ranked 12th.
The index was compiled using data from individual nations’ labor laws, accessibility, cost, and labor productivity to compare the recruitment, retention, and management challenges of 75 countries, including the Czech Republic.
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In addition to traditional working hours, the index also takes into account flexible labor, alternative jobs, and the informal labor market. The parameters are divided into four areas: workforce availability, cost, productivity, and legislative restraints on business.
“The attractiveness of the Czech labor market lies primarily in the combination of relatively low business costs and a high qualification level of the population,” says Jaroslava Rezlerová, Managing Director of ManpowerGroup for the Czech and Slovak Republics.
“The share of employees in research and development, the share of highly qualified employees and digital literacy are among the advantages of the Czech labor market,” she adds.
“We could create a much better environment for doing business and creating well-paid jobs by focusing on reducing the complexity of doing business and setting up a business, promoting flexibility and alternative jobs […] and creating a business environment, public sector and politics, which will be more respectful of the individual needs of people, ” said Rezlerová.
New Zealand, Hong Kong, Singapore, the United States, and Canada ranked as the best-rated labor market countries; in Europe Ireland, Great Britain, Denmark, Austria, Estonia, and the Netherlands topped the index.
Compared with these nations, the Czech labor force was also ranked as lacking in the area of languages.
“27% of our employees speak English at work. Compared to 90% of people in the Netherlands, 73% in Austria, or 56% in Germany, this is a huge handicap, as English is currently required for about 40% of the positions that are now advertised on Czech job sites,” she says.