Despite the pandemic and fears of higher turnover of foreign employees, companies are actively seeking and recruiting foreign workers. The number of foreign employees in the corporate, customer and IT services sector increased by more than 6,000 year-on-year. Photo credit: Freepik
Czech Republic, Feb 25 (BD) – After a slowdown in 2020, when many foreigners were wary of relocation and others returned to their home countries, the number of foreign employees in the corporate, customer and IT services sector increased by more than 6,000 year-on-year in 2021. This year, Czech firms plan to add nearly 10,000 more foreign specialists in IT, finance, logistics and data analytics. In order to promote a sense of security and satisfaction among their staff and reduce the turnover of foreign workers, 17% of employers in the industry allow employees to work remotely from their home countries, while another 36% of companies are considering this model. This data was published in this year’s ABSL’s Business Services Market Survey.
Foreign workers are playing an increasingly important role in the Czech labour market, and some industries can no longer function without them. Apart from business services, where experts from abroad account for 44% of the total 145,000 employees, most foreigners work in manufacturing, administration, trade, and construction.
The business services sector currently employs almost one-tenth of all foreign workers in the Czech Republic, the largest Czech employer of foreigners. As firms continue to expand their reach and provide services to a growing number of countries, this trend is set to strengthen. “Currently, our foreign colleagues contribute 2% of Czech GDP and generate about $4 billion a year,” said Jonathan Appleton, director of the ABSL. He said that 31% of Czech businesses employ even more foreigners than Czechs. On average, firms provide services in eight languages, but overall 29 languages are spoken in the industry. A full 39% of Czech businesses provide services worldwide, 91% within Western Europe and 29% of centres also serve Asian countries, which is one of the consequences of the pandemic, as local companies were unable to ensure smooth operations during the restrictions.
Despite the considerable economic benefits of the industry, virtually all business service centres are still facing difficulties employing foreigners. “Everything is still greatly complicated by the bureaucratic burden and conflicting information at various embassies and the Ministry of Interior. We also consider the 2021 amendment to the Act on the Residence of Foreigners in the Czech Republic as a step backwards, which has complicated the processes around the family members of relocating foreigners and thus discouraged many candidates,” says Andrea Tkačuková, CEO of Foreigners.cz.
Simplifying the very complex immigration procedures would help ensure the continued flow of international investors and talent. “We believe that the new government will help support the development of our industry in this regard, which is turning the Czech Republic into a country of innovation and highly skilled labour,” adds Jonathan Appleton.
