Companies do not want to hire part-time workers. But the market will force them

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Companies are gearing up for the summer season. Many of them have to find part-time employees for seasonal jobs or stand in for employees who are on vacation. It is like this every year, but this year it will be more difficult and expensive because the labor code has been changed and the law on health insurance has also been revised.

From the New Year, temporary workers are entitled to paid leave, and from July they and their employers will be subject to new obligations of the Czech Social Security Administration, as well as new limits on sickness and social security contributions. It’s also useful to track the temporary worker’s income levels with other employers (see the box at the end of the article).

In Olomouc, an average of eight applicants apply for a part-time position in administration, and up to 60 in Prague.

Jitka Kupa, Director of Marketing at Grafton Recruitment

Some companies are discouraged by such management and thus try to avoid hiring part-time workers. Staffing firm Grafton Recruitment, for example, is seeing a decline in interest from these employees. Last year, according to the company’s data, the offer of summer jobs exceeded the demand of applicants, and a similar situation is not expected this summer. When an offer appears, in most cases it is a manual job. However, applicants, on the other hand, mostly prefer part-time jobs in the office.

According to Grafton, the decline in temporary positions offered is noticeable across the entire republic (the company has branches in 13 regions of the Czech Republic). In some regions, for example, in Královéhradecky, it is up to 70 percent. “Companies are increasingly trying to reduce the need for part-time workers and divide work that was previously employed among regular employees,” says Jitka Gauba, director of marketing at Staffing Institute.

According to him, this is due to the overall economic situation, with companies still experiencing the effects of previous high inflation and cooling consumer demand. Increasing administrative burden, high costs per part-time worker and less flexibility in hiring them are making companies less likely to hire part-time workers.

According to Cooba, the most frequently offered temporary position is currently production operator or warehouse assistant. There are minimum management positions that applicants are very interested in. That is why a large number of applicants usually apply for them. For example, in Olomouc, an average of eight applicants apply for a part-time position in administration, and in Prague up to 60 apply. At the same time, employers are generally looking for part-time employees in management for longer periods of time. Co-op doesn’t just stop during summer vacations.

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Brigadier wages this year duplicate last year’s level. For example, part-time workers in reception or administration earn between 150 and 200 CZK per hour, depending on the region, according to Grafton’s data. Warehouse assistants or production operators earn between 160 and 180 CZK per hour.

Job opportunities in the regions
Region/type of work Manual (production/warehousing/cleaning…) in CZK. Administration in CZK
Moravian-Silesian region 130-180 150-170
South Moravian region 180-250 130–200
Olomouc region 130–175 150-250
Prague and the Central Bohemian Region 140-200 150-250
Hradec Kralove area 150-200 N/A
Pilsen area 150-200 150-160
Source: Grafton Recruitment

Petr Douda, spokesperson for staffing firm Randstad CR, feels the current situation similarly. According to him, the new legislative conditions have a significant impact on temporary employment opportunities, especially due to the requirements to register shifts and rights to vacation or its payment.

“Of course, this means a high administrative burden for companies, which is why they use part-time workers only where they are absolutely necessary. Thanks to the warm weather, seasonal work has already started in areas such as construction and tourism. The demand for manual jobs has not yet decreased significantly because they are still needed in the market. However , for administrative regiments, the decline in supply was evident and was about ten to 15 percent lower than in the past,” Dauta says.

Job site StartupJobs also registers less interest. “Although we do not specialize in part-time work, the legislative changes have had an impact on the number of part-time offers. Last year, in the period from January to April, 25 percent of offers offered part-time cooperation, this year it is less than ten percentage points,” says Philip Miksik for the portal. .

Businesses are “left behind,” but they are adapting

However, some HR companies see the current situation a little differently. For example, the Czech Republic acknowledges that it is very challenging to hire people in DPČ, so employers consider whether this is a suitable solution for them. However, they must hire workers for necessary replacements, for example for long periods of illness or vacation, so they are forced to master new, more complex rules.

“If we compare the interest of qualified short-term part-time workers to the pre-pandemic period, it has been decreasing for a long time and, if possible, employers prefer to divide the work among existing employees. However, as summer approaches, interest in them increases, for example in management or marketing,” Martina Lou Baboskova, manager of temporary work at Hazel, estimates.

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According to him, on the contrary, students’ interest in part-time jobs has been decreasing in recent years. “The strong economy and the ‘parents will take care’ mentality do not compel students to seriously ask for part-time jobs. If this happens, they often only want selected weeks or days, which is not very appealing to employers. If they want a part-time employee, long-term and continuous,” Boudný describes. .

Even Jiří Halbrštát, recruitment and marketing manager at ManpowerGroup, isn’t worried about companies’ declining interest. “Interest in them seems to be increasing. Last summer, there were about 1,600 job offers every day on employment websites, and even in early May this number was not high. However, within two weeks, the offer rose to 2,000, and temporary jobs were offered in all sectors,” he said. He describes the current situation.

According to him, if a company is urgently looking for a large number of part-time workers, it should offer them an interesting reward instead of filling those positions. Brigadiers will be paid a so-called “flexible allowance” on top of their basic pay for immediate entry.

“Sometimes it even happens that a part-time worker earns less per hour than a regular employee. Some people prefer to combine different seasonal jobs or part-time jobs because in total they earn more than if they had a permanent job in production, warehouse or selling at a local store. ” Halbrett explains the behavior of the piece. – Time labor market.

Halbratt says that while some companies have cut back on part-time workers’ benefits, they’ve become frustrated with the increased administrative burden and may stop using part-time workers because of the new law. Angry people really do.

“Perhaps part of the companies are looking for more flexibility in the black market and hiring part-time workers without a contract, they will outsource some work, but I believe that after a certain period of ‘freezing’ the companies will really find that there is no other alternative and learn to manage the new management requirements. Must,” says ManpowerGroup’s recruitment and marketing manager.

The recruiting firm itself provides agency staff to dozens of companies and has more than a thousand “contractors” in its portfolio. According to Halbrštát, interviews with these companies show that the number of contractors will not decrease.

Even Grafton Recruitment admits the situation will change in the temp market as the summer approaches, which is currently experiencing a significant drop in interest in Temps. “The question is that this is not just a temporary decline. There are no people in the market and companies may not be able to meet their needs with their own people and will intensify the recruitment of part-time workers in the summer,” says its marketing director Jitka Kupa.

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What changes in regiments from July 2024

How to hire a temporary worker

A foreman can do the job based on that Contracts for performance of work (DPP)Agreements on work activities (DPČ), or even Based on employment contractE.g. Employment contract withE is part time Or for a certain period of time. A brigadier can become an i Businessman.

Changes in taxes and reporting to CSSS

Based on the amendment of the Health Insurance Act, employers must comply with the following obligations from 01.07.2024:

– Register with the CSSS in the register of employers, even if they only employ workers who work in the DPP who do not participate in sickness insurance. Also report the attendance of these employees to the management and keep records about them.

– Assess whether the worker is eligible to participate in health insurance under the new rules. Until June 30, 2026, this limit is the employee’s monthly income of CZK 10,000 from all contracts for work with the same employer. He has been like this since July Income limit of 25% of average wages (rounded up to five hundred crowns), if it is a DPP with the same employer. By 2024 It is an amount 10,500 CZK (25 % z 43 997).

– New to see Limit of 40% of average wages (CZK 17,500 for 2024) work as a “contractor” for several employers. The amount of income from part-time employment with another employer also determines tax liability. So it is useful to track this to get an idea of ​​whether companies have to pay levies to “contractors”.

According to the Labor Code, employees working in DPP and DPČ are entitled to leave from 01.01.2024 if they work for the employer. At least 80 hours in the relevant calendar year. They are entitled to one holiday for every 80 hours. At most However, they can act this way 300 hours For a year, it corresponds to the payment holiday Inside 24 hours.

For the period of leave, the employee is entitled to wage compensation in the amount of his average earnings. If his “contract” is terminated before his vacation is used, the employer must pay for the unused vacation.

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