In business news this week, high-ranking government officials face jail for accepting illegal perks from energy giant CEZ. The Czech Republic's budget deficit for 2006 is far higher than expected. The governor of the Czech central bank criticises the euro adoption criteria, and an increasing number of foreigners are being recruited to work in the Czech Republic.
State officials face jail for illegal CEZ perks
Budget deficit higher than expected
Governor of Czech central bank attacks euro entry targets
Meanwhile, the governor of the Czech central Bank, Zdenek Tuma has criticised the EU's euro adoption criteria, saying that they are obsolete and need to be changed. Writing in London's Financial Times, Mr Tuma said that the old benchmarks for inflation and public deficits were appropriate when the European Union was smaller, but were now outdated and counterproductive in an enlarged EU.
Large increase in Czech recruitment agencies and foreign workers
The Czech Republic's booming labour market has contributed to a massive rise in the number of Czech recruitment agencies Hospodarske noviny reports. The Czech daily says that the number of agencies almost doubled last year from 800 to 1500. The paper also says that agencies are making up for labour shortages on the Czech market by recruiting an increasing number of foreign workers
Taiwanese electronics firm to build plant in Brno
Finally, the Taiwanese electronics firm BenQ is to build a new plant to make LCD screens and monitors in the Czech Republic. The plant will be located on a 50,000 square meter site at the Cernovicka terasa industrial park in Brno and it will employ 700 workers. BenQ wants to make the screens and monitors for markets in Central and Eastern Europe and says it may subsequently expand the plant to cater for the entire continent. The plant should make around 500,000 LCD monitors a year, and production is scheduled to start in the autumn.