Czechia

Companies can apply for a grant to cover their training expenses. The eligible education and training activities depend on specific calls published. Occupational courses connected to the present economic activity of the participant are considered eligible types of training to be funded. The public co-funding is 85% of the eligible costs. The contribution compensates for tuition fees/fees for participation (external providers), costs for internal training personnel, and costs of wages during training. ESF funds are deployed for financing the scheme. Preferential treatment is given to companies hiring the low qualified, people within the age range of 55-64.

Employees have the right to time off (official translation of the incentive in the Labour Code) to undertake training for professional development, being understood as the education necessary for the performance of job requirements stipulated by law or necessity. An employee has to receive an employer's permission to enter training leave. Professional development must be in the interest of the employer. The law stipulates minimum requirements, modifications in favour of the employee are subject to negotiation between employee and employer, or to collective agreements. The duration of the paid training leave depends on the objective of training leave (e.g. two days for participating and completing a test, thesis defenses entitle students to ten days' leave). The training leave can be paid or unpaid. Study time conflicting with work hours and examinations are paid, but entrance examinations, resits, and ceremonies are unpaid.

Employer and employee may conclude a qualification agreement that includes the employer's commitment to enable and pay for the employee qualification upgrading and the employee's obligation to remain in employment with this employer for an agreed period, though for no longer than 5 years, or to reimburse the employer for the costs of this qualification upgrading. The payback clause can be applied also in case of improvement of qualification when training costs exceed CZK 75 000 (approx. EUR 2 970). Share paid back is reduced according to the duration of employment as a proportion of the total compelled duration of employment. The national courts would become involved in the event of a dispute.

There are 2 groups that may apply for the grant during the current EU programming period: job applicants and job seekers. The overall condition for eligibility is registration in PES databases. Specific conditions may include a sufficient prior qualification level or positive outcome of skill needs analysis by PES. The eligible education and training activities include vocational courses aimed at deepening or upgrading qualifications, re-training/re-skilling. Retraining may be selected by applicants or it may be assigned to job-seekers by PES. The co-funding rate is 100% of eligible costs. The scheme can be re-used by the same applicant after a break of a particular period.

Tax-paying students (up to 26 years old, or 28 years old in doctoral programmes) (ISCED 3-8 level) can receive a tax credit of up to CZK 4 020 per year (approx. EUR 159 per year) during the tax filling. The eligible costs are not defined, tax credit applies to any taxed income regardless of source. The students must have some taxable income in order to claim the tax credit. The tax incentive can be used in each calendar year.

Adults that paid for an examination of a vocational qualification listed in the Register of Qualifications NSK (but not a training course) and that submit income tax returns, can deduct the costs of validation of their learning from their individual income tax base up to a set maximum limit - CZK 10 000 (approx. EUR 396). The state co-funding - in the form of foregone tax revenues - equals the eligible costs multiplied by the marginal tax rate (between 15 % and 23 %). A higher amount can be deducted for groups with preferential treatment: CZK 13 000 (approx. EUR 515) for adults with disabilities, and CZK 15 000 (approx. EUR 594) for adults with heavy disabilities. The tax incentive can be used once in each calendar year. The incentive has been rarely used in the past years.