Our view is that the strict containment measures adopted by the Czech Republic are necessary not only to contain the spread of disease in order to prevent a breakdown in the healthcare system and consequent greater loss of life, but also to avoid the longterm economic damage a significant outbreak could cause. Therefore, we propose the government pursue immediate economic measures that will mitigate the damage of virus and its containment and then prepare regulatory changes that can make recovery swifter and more sustainable.

1) Pass some form of the Ministry of Social Affairs proposal by March 20.

2) Consider introducing renewable time limits and a salary cap for government contributions.

3) Consider moving from a kurzarbeit-style program to direct company payments if the containment period lasts more than a month.

Further to the emergency status to be applied by the Government in the Czech Republic, we wanted to provide an update on immigration measures the Czech Republic applies in relation to the COVID-19 disease outbreak. Besides the general measures related to traveling to and from the affected countries:

While quarantining and social distancing is the right prescription to combat COVID-19’s public health impact, the exact opposite is needed when it comes to securing the global economy.

Constant contact and close coordination are the best medicine to ensure that the economic pain inflicted by the virus is relatively short-lived.

The Czech borders were closed on 16 March 2020 in response to the coronavirus (COVID-19) crisis.