This year, taxpayers in the Czech Republic will spend 181 days working to pay taxes, which is one day more than last year; after final recalculation, it was 180 days in 2019. According to Deloitte’s calculations, Tax Freedom Day will fall on 30 June 2019. Approximately the same case as in the Czech Republic will apply to the UK and Norway. Taxpayers will have to spend the most days paying taxes to the government in Denmark, while the fewest in Romania and Bulgaria.
The role of system architects and “Emotion AI” will increase significantly in 2020. The ever-growing influence of technology will force companies to prepare themselves for ethical dilemmas stemming from implementation of technological solutions. Those are some of the conclusions of the Deloitte Tech Trends 2020.
The Czech economy will be marked by continued slowdown in 2020, with GDP growing by 2.0%. Despite the slowdown in growth, the unemployment rate should remain at a very low level, at around two percent. The average wage will rise by the lowest percentage in three years, 5.7%. Inflation is expected to be 2.5-3.0% during 2020. These are some of the conclusions of the 2020 analysis of the economic outlook compiled by Deloitte's economic team.
The influx of tourists in Prague increases every year by an average of 300 thousand, while the number of hotel beds remains almost the same. Their number increased by only 1.4% in two years. On the other hand, the capacity offered via accommodation sharing platforms (e.g. Airbnb or HomeAway) increased by 34.1% over the same period. Those are the findings of the Deloitte's Prague Hospitality Report.
Women are still underrepresented on corporate boards. Their share has grown by 1.9 percentage points to 16.9% globally over the last two years, but men hold 94.7% of chair positions. These are the results of the sixth issue of Women in the Boardroom. The study maps the situation in 66 countries of the world including the Czech Republic, whose representation of women on boards (13.8%) lags behind the global as well as the European average (25.8%). However, compared to 2016 (9%), it is an increase of more than a half.
The share of domestic value added in the total exports of the Czech Republic amounts on average to 61%, which is one of the lowest values globally. The countries with the highest share of domestic value added in exports are Saudi Arabia and Brunei (both 95%). On the contrary, the lowest shares are recorded by Luxemburg (31%) and Malta (42%). These are the conclusions of the Deloitte study Made in the World – An Analysis of the Czech Foreign Trade and its Positon in Global Value Chains.
Deloitte launches the global Best Managed Companies (BMC) programme in the Czech Republic to award the best managed privately owned Czech firms. Having received the Best Managed Company certificate, the firms will become part of the global community of best-managed private companies.
With 24th place in the Social Progress Index 2019, the Czech Republic has moved two places up year-on-year. The annual ranking is prepared by the non-profit organisation Social Progress Imperative and Deloitte. It is based on data on social and economic development and the environment.
The 100 top luxury goods companies reported aggregate revenues amounting to USD 247 billion in 2017. It represents year-on-year growth of 10.8%. The growth is attributed to large investments in digital marketing and communication on social networks. These are just a few of the conclusions of Deloitte’s global study on luxury goods (Global Powers of Luxury Goods).
An increase in the share of renewable energy sources in the Czech Republic to more than 23% in 2030 may be achieved without placing an additional burden on public resources. In addition, it can help modernise the energy sector and support the Czech economy. This is the result of Deloitte’s study Development of Renewable Sources until 2030. The basic scenario of the current National Climate and Energy Plan (Národní klimaticko-energetický plan – NKEP) expects only a 20.8% share. A higher share is required from the Czech Republic by the European Commission.
For the second time in a row, the Central Bohemian town of Říčany can boast the highest quality of life. Přelouč in the Pardubice Region recorded the most significant improvement compared to last year – it jumped 88 places up in the ranking. The Moravian-Silesian town of Orlová took last place again. These are the conclusions of the second annual Quality of Life Index. It was prepared by Obce v datech (“Municipalities in Data”) with Deloitte as its primary consulting partner.
Despite the growth of economy, Millennials and Generation Z are increasingly sceptical. The level of pessimism has increased mainly in social and political development. The young generations show strong distrust of social media and they are afraid of climate change. These are the results of the eighth annual Deloitte Global Millennial Survey 2019. The survey included more than 13,000 Millennials from 42 countries and over 3,000 Gen Z respondents from 10 countries.
The level of optimism of Czech CFOs has slightly decreased after peaking last year. According to CFOs’ predictions, GDP will grow by 2.3% on average (0.2 percentage point less than in 2018). The overwhelming majority (98%) believes that employee costs will grow again this year. The majority (73%) of CFOs in the Czech Republic admit that their team has been prepared for the implementation of artificial intelligence only partially or not at all. This is the outcome of the 10th annual Deloitte CFO Survey 2019.
The Czech corporate sector is most at risk of a possible debt crisis. Czech firms’ debt could significantly rise if EU subsidies or investments are reduced. However, Czech firms are not one of the sixteen risky areas that could become the epicentre of the next debt crisis in Europe. These are the conclusions of Deloitte’s “When is the next crisis coming?” analysis assessing the risk of European households, governments and firms running up debt and countries incurring foreign debt.
One of the major topics for Czech businesses in terms of human capital relates to employee experience with a focus on human approach and meaningfulness of work (86%). Nevertheless, only 36% of respondents believe that their business is prepared for that. These are the results of Deloitte 2019 Global Human Capital Trends study. Ten thousand respondents from 119 countries including the Czech Republic took part.
The European football market has exceeded €25bn in revenue for the first time, according to the 27th Annual Review of Football Finance from the Sports Business Group at Deloitte. The 4% increase from 2015/16 was predominantly driven by the ‘big five’ European leagues, which saw combined revenues grow by €1.3bn (9%) to €14.7bn in 2016/17. Growth was not restricted to those biggest leagues, however, with non-big five leagues also seeing revenue increases, but at an inferior rate to that seen in England, France, Germany, Italy and Spain.
Contact details, CVS, photographs and videos from corporate events only constitute a fragment of the data handled by HR specialists on a daily basis. HR departments process a large volume of personal data concerning both existing and previous employees as well as job applicants. However, the new General Data Protection Regulation (GDPR) requires setting new rules and verifying whether consents to personal data processing comply with the GDPR. If not, penalties may apply.
The winner of the ninth annual Act of the Year survey is the initiative for more prudent regulation of business, i.e. the ruling of the Constitutional court on electronic sales records (“EET”). The expert public’s votes ranked the Payment System Act implementing PSD2 second and the amendment to the Construction Act third. In this survey organised by Deloitte Legal, hundreds of entrepreneurs chose from five nominated legislative acts having a positive impact on business.
CFOs in the Czech Republic remain optimistic this year. They are supported by the continuously strong Czech economy, forecasting average GDP growth of 2.5%. However, they are concerned about the situation on the labour market, with 95% of CFOs citing growing workforce costs as a risk factor. In addition, more than half of CFOs (51%) are worried about the personal data protection regulation (GDPR). These are the conclusions of the CFO Survey conducted by Deloitte.
Czech banks are at the forefront of digital banking maturity in the EMEA region (Europe, Middle East and Africa). As a whole, they rank immediately behind the five digital champions and lead a group that is referred to as smart followers, where they are followed by Norwegian, South African, Finnish and French banks. These are the results of Deloitte’s latest Digital Banking Maturity EMEA 2018 survey. According to the survey, the most advanced digital banking market is currently Russia.
Czech firms find employee well-being to be of the greatest importance (92%). Nevertheless, only 57% of respondents believe that their firm is ready for it. These are the conclusions of Deloitte’s latest Global Human Capital Trends report. The survey included over 11,000 respondents across 124 countries worldwide, including the Czech Republic.
While almost half (47%) of students and graduates in Central Europe aspire to become experts in their respective fields in the future, Czechs want to be managers (44%). 38% of Czech students and graduates want to become experts in their respective fields and the others would like to develop in a more horizontal fashion, gaining diverse experience. 75% of Czechs and 77% of Central Europeans would be willing to move abroad for work.
A hackathon for talented programmers, a debate about the future with 8-year-olds and participation of promising students from the region – these are just some of Deloitte’s activities as part of the global Singularity University (SU) summit. The event will take place on 5 and 6 March 2018 and will be hosted in Prague for the first time. Since 2013, Deloitte has been a global platinum partner of Singularity University.
The vote for the Act of the Year has started. For the ninth consecutive year, entrepreneurs will decide about the best legal regulation with a positive impact on business. In addition to voting on the best act, this year’s edition of the project will open up a discussion among leading authorities about the development of the Czech legislation governing the business environment. The project is organised by Deloitte, a professional services firm, and its legal office, Ambruz & Dark Deloitte Legal. This year’s edition will be taking place under the auspices of the Czech Chamber of Commerce and the Czech Bar Association.