The Pay Transparency Directive should be transposed into Czech legislation by June 7, 2026. Although there is no public draft yet, it is likely that the Ministry of Labor and Social Affairs is working on it, with the first material potentially becoming available in autumn, before the national elections.
In May, however, the three largest employers’ associations addressed a letter to the Minister of Labor and Social Affairs, Marian Jurecka, inviting them to postpone the implementation of the directive by two years. While they acknowledge the directive’s legitimate objective, they challenge its timing, which, they argue, could affect the stability and competitiveness of Czech enterprises. They claim that companies are not ready for the new obligations, which could lead to a substantial increase in administrative burden, costs, and legal disputes.
In this context, it is worth noting that Czech law already strictly regulates equal treatment in the remuneration sphere. The Labor Code sets out detailed rules for equal pay for equal work or work of equal value, and only allows variations based on certain criteria. These rules apply to all employees of a specific employer and extend beyond gender equality.
This is reflected, for example, in the controversial case law dealing with regional differences in the pay of Czech Post employees, which was found to be illegal since socio-economic differences in various geographical regions are not legally recognized as grounds for different remuneration for the same or similar work.
Czech courts are also ready to apply other principles of the directive, such as comparing equal pay for equal work over time. A decision by the Supreme Court in April 2025 expressly challenged the practice of employers paying new employees a higher remuneration than their current, or ex-, employees performing the same work.
Employees are also becoming more aware of their rights in this area. They frequently raise questions and claims regarding equal treatment and equal pay. This tendency will only be accentuated by the ban on confidentiality clauses that prevent employees from disclosing their remuneration to third parties, effective from June. This new rule already reflects one of the duties resulting from the directive.
The emphasis on equal treatment, equal pay, and the prohibition of discrimination also stems from the recent annual report on the results of inspections by the State Labor Inspection Office. The report highlights the long-term disparity in the remuneration of men and women, the underrepresentation of women in senior roles, and the gender segregation of specific sectors where women often encounter the effects of the “glass ceiling.” It also mentions frequent and long work absences, as well as childcare or care for close relatives, which are often provided by women, as reasons for this gap.
As equal treatment is considered a fundamental topic at a national level, it is also reflected in inspection activities. It is one of the most frequently inspected areas. Last year, 640 inspections focused on equal treatment and discrimination; 245 violations were discovered, plus a further 63 relating to confidentiality clauses regarding employees’ remuneration. Specific inspections were carried out within retail chains to investigate regional differences in pay for the same work. The report also mentions alleged incorrect procedures when setting rules for granting benefits, which may have been discriminatory on the grounds of health or against parents and carers. Regarding the gender pay gap, 110 inspections were carried out across the country, mostly targeting larger employers, and 29 violations of equal treatment and discrimination were discovered. Several inspections involved experts from the Equal Pay Project, run by the Ministry, who used the LOGIB analytics tool. This tool enables employers to assess the degree to which gender remuneration is equal and fair.
Finally, implementation of the directive is mandatory across the EU. Some countries are more advanced in this area than others, and legislative activity will increase as the deadline approaches. This means that companies belonging to international groups will effectively be obliged to voluntarily adopt the directive’s rules to align with intragroup policies, even before they are enacted in their own countries.
Therefore, it is in the interest of Czech employers not to hope for a postponement but to prepare for the implementation of the directive now.
By Adela Krbcova, Partner, Peterka & Partners
This article was originally published in Issue 12.7 of the CEE Legal Matters Magazine. If you would like to receive a hard copy of the magazine, you can subscribe here.
