Mandatory Employer Contributions to Retirement Savings for High Risk Employees

As of 1 January 2026, Czech law introduces a new obligation for employers to make mandatory contributions to retirement savings products for a defined group of employees performing high‑risk work.[1] These new rules form part of the broader pension reform and are intended to partially compensate employees exposed to long‑term adverse working conditions.

Who Is Affected

The obligation applies to employees whose work is classified as risk category III for selected factors, namely exposure to vibrations, heat stress, cold stress, or significant physical workload involving large muscle groups. The decisive factor is not the job title or sector, but the actual working conditions, as assessed in cooperation with the competent regional public health authority.

When Does the Employer’s Obligation Arise

An employer’s duty to contribute does not arise automatically. A mandatory contribution becomes payable only if the employee performs at least three high‑risk shifts in a calendar month and asserts the entitlement by notifying the employer and providing details of their retirement savings arrangement. Where these conditions are met, the employer must pay a contribution equal to 4 % of the employee’s assessment base for the relevant month. The contribution may be paid exclusively to state‑supported pension insurance or supplementary pension savings schemes.

Practical Implications for Employers

In practice, the new regime places increased emphasis on information duties and documentation. Employers should ensure that employees are informed of their right to the mandatory contribution and the way in which it may be exercised – for existing employees shortly after the Act took effect, and for new employees before they commence high risk work. Although no specific form of communication is prescribed, it is generally advisable for the information to be provided in a manner that can be readily evidenced.

The new obligation also highlights the importance of accurate classification of working conditions and reliable recording of high risk shifts worked. Where employers already provide pension contributions on a voluntary basis, these should be clearly distinguished from mandatory contributions, as they are subject to different legal rules.

Once the mandatory contribution is paid, the employer must issue the employee with a confirmation of payment, to be provided by the end of the calendar month in which the contribution is paid for the first time. More generally, employers are expected to maintain appropriate records, as compliance may be reviewed by the competent authorities.

[1] Act No. 324/2025 Coll.

By Mgr. Jitka Sytařová

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