The new year is bringing troubling news for workers, as reports reveal that over 4,000 people are set to lose their jobs due to mass layoffs across various sectors in the past two months.
Numerous companies are planning to downsize significantly in 2025, with reasons ranging from organizational restructuring to the complete shutdown of long-standing production facilities. A notable example is Mitas, a tire manufacturer based in Prague, which will halt production by June after 90 years of operation, affecting 270 employees.
In December, 15 companies notified the Czech Employment Bureau of their plans to lay off a total of 3,616 workers. Another 832 layoffs were reported in November.
“Liberec, South Moravia, and Central Bohemia are the hardest-hit regions,” stated the Czech Republic’s Labor Office, highlighting that the most common cuts are in information services, clerical positions, and machine and vehicle operators.
One major development is the planned layoffs at Czech Post, which will lay off 1,000 operational staff and managers starting April 1, marking over six percent of its 20,000 employees. By that time, 250 managers from both Czech Post and its subsidiary Balíkovna will also be let go. Balíkovna is set to be separated from Czech Post and sold later in the year.
The trend of job cuts is not limited to the postal service; high operational costs are driving other companies to scale back as well. Dr. Oetker in Kladno will eliminate 114 jobs out of 188 at its pudding and mix manufacturing plant, ceasing production entirely this year. Meanwhile, workers at Tameh Czech in Ostrava have been informed of upcoming layoffs, with the union considering strike action to protect workers’ rights and interests.
The Czech Republic’s industrial sector has faced difficulties, with industrial production falling 2.7% annually in November. Experts predict that the situation will not improve in the near future, leaving many uncertain about their job security.