Labour taxation in the Czech Republic is one of the highest in OECD countries
The employer’s wage bill and the net wage received by the employee differ by tens of percent due to labour taxation. The labour taxation of an employee with an average wage in the Czech Republic is the 7th highest among OECD countries. In which countries is labour taxation highest and in which countries is it highest? The employer’s wage bill is the sum of the gross wage agreed with the employee plus the compulsory levies paid by the employer on behalf of the employee. In total, employers pay 34% in compulsory insurance for employees, of which 25% in social security and 9% in health insurance. The employer’s contributions must be taken into account in the total taxation of the work, as the total amount of the wage bill is the decisive figure for the employer.
Source finance.cz/zdaneni-oecd/