The Czech labour market: room for further improvement

Unemployment has fallen considerably during the recent period of record growth in the Czech economy. This has ended a long period of relatively jobless growth during which GDP was driven by advances in productivity and capital deepening rather than rises in employment. This country focus analyses the cyclical and structural factors underlying Czech labour market performance to assess whether unemployment is set to continue falling or whether structural challenges still remain that are likely to hinder long-term employment growth. The Beveridge curve is used as a construct to
examine the performance of the labour market.