Ongoing changes to travel allowances this year

For a long time, we may have been used to travel allowance rates being announced on a regular basis with effect from 1 January, whether or not there has been a change in rates. These rates then generally remained unchanged throughout the calendar year. However, the situation has changed in the last two years, and to date there have already been two changes to the travel allowance rates for 2022. 

First, in March, the Ministry of Labour and Social Affairs responded to the rise in energy prices by increasing the price of one kilowatt hour of electricity for electric vehicles from CZK 4.10 to CZK 6.00. This was followed in May by an increase in the price per litre of 95-octane petrol from CZK 37.10 to CZK 44.50 and diesel from CZK 36.10 to CZK 47.10. It is worth recalling here that fuel can  be also reimbursed at the price actually paid by the employee, provided that he has proof of purchase and can therefore provide reliable evidence of the cost of the fuel.

According to the Labour Code, the rates of travel allowances are changed on an exceptional basis whenever the price of an item increases or decreases by at least 20 % since the date of the last legal amendment, according to data from the Czech Statistical Office. Although the price increases due to inflation and other factors are reflected in the legislation with some delay, it is quite likely that at least the rates of meal allowances will increase further during the year. In conclusion, we can only recommend that employers and employees monitor the rates on an ongoing basis.