Labour8/28/2026

Microsoft Employees in Czechia Sign First Collective Agreement

The first collective agreement will apply to 1,300 Microsoft employees in Czechia, who unionized in July 2024. The document improves pension contributions and severance pay, and also regulates how the trade union engages with employees and management.

Key facts

•Scope of the agreement: 1,300 employees
•Employee unionization: July 2024
•First draft of the agreement: end of 2025
•Announcement of the signing: August 19, 2026
•Publication last updated: August 28, 2026

Who Signed the Agreement

The Czech trade union of information and communication technology employees announced the signing of the agreement on August 19, 2026. The union was established in 2023 within the OS-PPP Federation, which is a member of the UNI international federation. The first draft of the agreement was submitted to Microsoft management at the end of 2025, after which negotiations continued for several months.

Which Terms Will Be Improved

The agreement provides for increased pension contributions and a significant increase in severance pay for employees ending their employment with the company. The source does not specify the exact amounts of the payments and contributions. The agreement also includes certain rights already enshrined in Czech legislation, to preserve them contractually in case the law is weakened in the future.

How Employee Representation Will Be Strengthened

The trade union will receive additional internal channels for communicating with employees and will participate in the onboarding process for new employees. New employees will receive informational materials about unionization, and union representatives will regularly hold introductory meetings for them. Binding response deadlines were set for the union's inquiries to management.

Accessibility of Information About Rights

Employees whose native language is not Czech must be provided with clear and understandable information about the rights to which they are entitled. Labor organizations believe that the agreement has broader significance for organized labor in the technology sector in Czechia and Europe.

What this means for you

The agreement applies in Czechia and, in itself, does not change the rights of Microsoft employees or employees of other companies in Israel. For employees in Israel, it serves as an example from abroad of the types of social guarantees and procedures for engaging with management that can be enshrined in a collective agreement.

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