The Czech unemployment rate fell to 3.5% in February, down by 0.1 of a percentage point month-on-month. A total of 263,433 job seekers were unemployed, down by more than 3,600 compared to January figures, according to data released by the Czech Labour Office. 

"As far as the outlook for the next few months is concerned, everything will depend on the current pandemic situation and the related security measures taken. The war conflict in Ukraine will most likely have an impact on the development [of unemployment, too]," said Viktor Najmon, Director General of the Labour Office of the Czech Republic. 

The job offers amounted to 363,917 in February, which was a drop of 12,237 m/m. According to Najmon, the office is now approaching companies to submit job offers for the Ukrainian refugees. "At the moment we are registering almost 13,000 such positions," he added.

The highest unemployment rate in February was recorded in the Usti Nad Labem region, where it reached 5.3%, followed by the Moravian-Silesian Region with 5.2% and the Karlovy Vary Region with 4.3%. On the contrary, the lowest unemployment rate remains in the Pardubice Region (2.6%) in February. 

"Czech companies are not dealing with unemployment, but rather with the lack of employees. Companies are competing for manual workers and specialised experts; unemployment is not expected to grow in any way this year," said Andrea Linhartova Palanova, an expert in human resources management at PwC Czech Republic, to the Czech News Agency, adding that companies consider the lack of workers to be the biggest threat this year. 

"It cannot be ruled out that the Czech labour market will paradoxically benefit from the refugee wave. People from Ukraine will want to work, and despite the initial language barrier, they will find work very easily, across sectors," she noted.