How does trust shape the world of work across Europe? Our first country spotlight: 🇨🇿 Czechia

July 23, 2025

Czechia’s industrial relations system is predominantly decentralised, shaped by its post-socialist legacy, with collective bargaining primarily occurring at company level and coverage declining from 47% in 1995 to 33% by 2020 (OECD, 2024).

Sectoral agreements exist but are limited in scope, and strike activity remains rare due to weak union power and restrictive legislation.

The study reveals a fragmented picture of trust across sectors: evidence shows low institutional trust and deterrence-based relations in the metal sector, contrasting with knowledge-based trust and active dialogue in the banking sector.

The study underscores that structural conditions — including employer coordination and sector composition — are key to shaping how trust in collective bargaining develops.

Challenges include rebuilding institutional trust in sectors dominated by vertical supplier chains like automotive.

Opportunities lie in sectors like banking and regional transport, where mutual engagement and strategic dialogue show potential for renewing trust-based industrial relations.

📄 Want to learn more? Read the report, authored by Monika Martišková from Central European Labour Studies Institute (CELSI): https://celsi.sk/media/datasource/TRUE_Europe_Czechia.pdf

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