Notice of termination in Czechia 2026 and 2027: notice period, grounds and severance pay
The notice period runs from delivery, lasts at least 2 months, and severance pay is 1 to 3 times average earnings. Grounds for notice, protected periods, delivery, severance pay and unemployment benefit. The Labour Code rules apply in 2026 and 2027; for unemployment benefit we flag the government bill for 2027.
Table of Contents
Ways to end employment
- by agreement,
- by notice,
- by immediate termination,
- by termination during the probationary period.
Notice period: when it starts and ends
| Notice delivered | Notice period | Employment ends |
|---|---|---|
| 15 Nov 2026 | 2 months | 15 Jan 2027 |
| 31 Dec 2026 | 2 months | 28 Feb 2027 (February has no 31st) |
| 31 Oct 2026 | 1 month (grounds under Section 52(f) to (h)) | 30 Nov 2026 |
Notice given by the employee
Notice given by the employer: statutory grounds only
| Ground (Section 52) | Notice period | Severance pay |
|---|---|---|
| a) employer or part of it is dissolved | 2 months | yes |
| b) employer or part of it relocates | 2 months | yes |
| c) redundancy due to an organisational change | 2 months | yes |
| d) long-term loss of medical fitness under a medical report | 2 months | no (for a work injury or occupational disease, compensation of 12 times under Section 271ca) |
| e) maximum permissible exposure reached | 2 months | yes, 12 times average earnings |
| f) not meeting requirements, unsatisfactory work results | 1 month | no |
| g) grounds for immediate termination, serious or persistent minor breaches of duties | 1 month | no |
| h) particularly serious breach of sick-leave rules (Section 301a) | 1 month | no |
- Redundancy (c) requires a genuine decision on an organisational change made before the notice. If the employer hires someone else for the same job shortly after the notice, it casts doubt on whether the redundancy was genuine and may lead to the notice being invalid in a dispute. What matters is whether the organisational change really took place and the employee became redundant because of it. Because the notice period runs from delivery, do not deliver the notice too early: employment should not end earlier than the working day immediately before the organisational change takes effect, otherwise the notice may be invalid for lack of a causal link (MPSV interpretation).
- Unsatisfactory results (f): notice is possible only if the employer asked the employee in writing in the last 12 months to remedy the shortcomings and they did not do so within a reasonable time.
- Persistent minor breaches of duties (g): the employee must have been warned in writing of possible dismissal within the last 6 months.
Deadlines for notice and immediate termination
Protected period: when notice cannot be given
- during sick leave or ordered quarantine (unless the employee caused it intentionally or it resulted from drunkenness or substance abuse),
- during pregnancy and maternity, paternity and parental leave,
- while caring for a sick child under 10 or another person, looking after a child under 10, or providing long-term care under the Sickness Insurance Act,
- during military exercises or operational deployment, and during long-term release for a public office,
- when an employee working nights is temporarily unfit for night work under a medical report.
How to deliver notice correctly
- by handing it over at the workplace or wherever the employee is found. If the employee refuses it, it is delivered at the moment of refusal.
- to the employee's data box. If the employee does not log in within 10 days, it is deemed delivered on the last day of that period.
- by e-mail only if the employee consented in a separate written statement and gave an address the employer does not control. The document must carry a qualified electronic signature. It is delivered when receipt is confirmed, at the latest on the 15th day after it arrives.
- by post only if delivery at the workplace is not possible. If the employee does not collect it within 15 days, it is deemed delivered on the last day of that period.
Severance pay 2026 and 2027
| Length of employment with the employer | Minimum severance pay |
|---|---|
| less than 1 year | 1 times average monthly earnings |
| 1 to 2 years | 2 times |
| 2 years or more | 3 times |
| ending while the working-time account procedure under Section 86(4) applies | additional 3 times |
| notice under Section 52(e) (maximum permissible exposure) | 12 times |
Contributions and tax on severance pay
- No social or health insurance is paid on severance pay. Statutory severance pay is excluded from the assessment base (Section 5(2)(b) of Act No. 589/1992 Coll. and Section 3(2)(b) of Act No. 592/1992 Coll.).
- Income tax is paid. Severance pay is employment income and is taxed in the month it is booked, together with other income. If the monthly base exceeds CZK 146,901 (2026) or CZK 154,989 (2027), the part above that threshold is subject to a 23% advance. Advances are settled in the annual tax reconciliation or tax return.
Severance pay and unemployment benefit
| Parameter | 2026 (in force) | Government bill from 1 Jan 2027 |
|---|---|---|
| Benefit rates | 80% / 50% / 40%, higher rates for longer over age 52 | 65% / 50% / 45% for all age groups |
| Benefit period | 5 / 8 / 11 months | unchanged |
| Maximum benefit | 80% of average wage (CZK 38,537) | 60% of average wage (CZK 28,903 at 2026 values) |
| Retraining benefit | 80% of earnings | 60% of earnings |
Immediate termination and termination during probation
What to handle when employment ends
- Pay out untaken holiday. Compensation for untaken holiday is due only when employment ends, at average earnings (Section 222). Additional (extra) holiday cannot be paid out.
- Issue a certificate of employment under Section 313. On request, also issue a separate confirmation of average earnings and other details for the labour office.
- Pay severance pay on the next payday unless agreed otherwise.
- Deregister the employee from insurance. Since 2026 sickness insurance is reported through JMHZ; the health insurer must be notified separately.
- Settle wage deductions and state any ongoing garnishments in the certificate of employment.
Summary
- The notice period is at least 2 months (1 month for grounds under Section 52(f) to (h)) and runs from the day of delivery.
- An employer gives notice only on statutory grounds, described precisely, outside the protected period and within the statutory deadlines.
- Severance pay is 1 to 3 times average earnings; no insurance contributions are paid on it, but it is taxed.
- The Labour Code rules are the same in 2026 and 2027. For unemployment benefit the government proposes new rates from 2027; the bill has not been passed yet.
Legal Notice
This article is for informational purposes only and does not replace professional legal or tax advice. Information is processed according to Czech law valid at the date of publication. We always recommend consultation with an expert for specific situations.
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Tým P&T Europe Services
Specialists in payroll accounting, HR and accounting