Foreigners can be found today in many Czech companies – from manufacturing to IT. But recruiting them is not just about signing a work contract. From October 2025, an amendment to the law comes into force, bringing stricter rules and harsher penalties. So it’s not just HR professionals who should know how the changes will affect their day-to-day practice. Failure to do so risks heavy fines.
Employers are now not allowed to let a foreigner enter the workplace before officially reporting him to the authorities. The law, which will come into force from October 2025, introduces a new offence of “undeclared work”. And it will not be possible to get around it with the excuse “we’ll sort the paperwork out tomorrow”.
In practical terms, this means that if a company brings in, say, a temporary worker from Ukraine straight onto a shift and doesn’t complete the paperwork until the afternoon, it risks being fined. Even small companies without an HR department must now ensure that all documentation is complete before the new employee starts.
The law thus responds to the common practice of employers first “needing someone in place quickly” and only dealing with the paperwork retrospectively. However, the new law will not depend on goodwill or completing the documents later – working without prior notification will automatically be considered illegal. This is regardless of whether it is a mistake, delay, or ignorance.
The employment of foreigners is increasingly topical nowadays. People are not and employers are therefore happy to reach out to foreigners. However, the increase in the number of Ukrainian war refugees has filled the Czech labour market and the rules for employing them are unclear to many.
The Labour Inspectorate is getting tougher. In the first half of 2025 alone, it carried out almost 10,000 inspections and issued penalties worth more than CZK 255 million. The amendment gives it a new tool – if an employer violates the reporting obligation, the inspector has a clear criterion to assess the situation.
While it was previously possible to “manage by agreement” and deliver the documents retrospectively, this approach is no longer valid. The authorities will be uncompromising. Thus, rigorous administration ceases to be a mere formality – it becomes a necessary safeguard against sanctions.
From the point of view of controls, it does not matter whether the company is a large company or a family business with one employee. The rules apply equally to all. Companies are therefore faced with a new reality in which it is no longer enough to “get it right on paper next time”. It is now essential to have everything sorted out in good time – ideally before an employee sets foot on the workplace for the first time.
Our team of experienced attorneys will help you solve any legal issue. Within 24 hours we’ll evaluate your situation and suggest a step-by-step solution, including all costs. The price for this proposal is only CZK 690, and this is refunded to you when you order service from us.
Employing foreigners has always required more paperwork than hiring a domestic employee. But the new rule is that mistakes will no longer be forgiven. Even a minor misstep can mean an unpleasant penalty – from a financial penalty to the loss of an important workforce.
Companies should therefore review their recruitment processes, strengthen internal control mechanisms and report any new foreigners in a timely manner. Working with external experts can also help. One overlooked document can cost much more than a carefully set onboarding process.
This is not just a legal obligation, but also about building trust with the employee. If a company is transparent, clear and consistent from the start, it increases the loyalty and motivation of new employees. And in the case of foreigners, this is doubly true – they often have to cope with language barriers, cultural differences or unfamiliarity with local customs. Well-managed administration thus acts as a basis for long-term and smooth cooperation.
At first glance, failure to report may seem like a minor administrative offence. But the reality is harsher. The law now defines it as a form of illegal work and the Labour Inspectorate has clear boundaries on how to deal with such misconduct.
Under the law, an employer who fails to report a foreigner on time risks a fine of up to CZK 100,000 – even if it was “only” a late report, not a deliberate circumvention of the rules. However, if the foreigner is actually working without the necessary permit or without valid registration, the fine can rise to CZK 5 million for individuals and even up to CZK 10 million for companies, with the minimum rate set at CZK 50,000.
In addition, from 2024, inspectors have also gained the possibility to impose a ban on activities – specifically employing foreigners – which can be effectively liquidating for some businesses. And it doesn’t end there. If a company receives a fine of over 50,000, it can be banned for up to four months from publishing job offers in the Labour Office’s records. In practice, it will lose access to a key recruitment channel.
Employers should therefore see the reporting obligation not only as a necessary evil, but as a tool to protect themselves from unnecessary sanctions and complications. Indeed, even one forgotten document can trigger an avalanche of problems that should not be underestimated.
Our team of experienced attorneys will help you solve any legal issue. Within 24 hours we’ll evaluate your situation and suggest a step-by-step solution, including all costs. The price for this proposal is only CZK 690, and this is refunded to you when you order service from us.
Ondřej is the attorney who came up with the idea of providing legal services online. He's been earning his living through legal services for more than 10 years. He especially likes to help clients who may have given up hope in solving their legal issues at work, for example with real estate transfers or copyright licenses.
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