The last two decades Czech Republic has done a significant amount of progress in several economical and social domains, namely in the areas of governance, health care, and education. In the aforementioned domains the country is approaching incumbent EU levels. Furthermore, poverty is not widespread, and the country has created and benefited from a combination of a well-educated, disciplined work force, and relatively low wages. Of course, there are certain domains that need to be further developed. For instance, unemployment rate remains high especially amongst low-skilled workers despite the National Employment Plan, which the Czech Republic is implementing. 

    An important and useful indicator that measures the social and economical developments of a country is the Human Development Index (HDI) that the United Nations Development Program is publishing yearly. HDI is a summary of composite index that measures a country's average achievements in three basic aspects of human development: health, knowledge, and a decent standard of living. Health is measured by life expectancy at birth; knowledge is measured by a combination of the adult literacy rate and the combined primary, secondary, and tertiary gross enrolment ratio; and standard of living by GDP per capita (PPP US$). The prices of the index fluctuate form 0 to 1. Countries with index below 0.5 are characterized as underdeveloped; countries with index between 0.5-0.8 are characterized as medium developed; and countries with indexes more than 0.8 are characterized as highly developed.
Czech Republic is having one of the highest human development indicators in Central and Eastern Europe. With a HDI of 0.903 the country can be fairly characterized as a high developed country. Additionally, it is important to state that the country has made significant steps throughout the past two decades as it has developed from 0.847in 1990 to 0.903 in 2007. Czech Republic is ranged 36st between 182 countries. 

    A good educational system is undoubtedly a prerequisite for the creation of a viable and sustainable economic environment. In Czech Republic there has been created a system of free public higher education. The educational institutions that operate in this system are divided into universities and colleges. Universities that prevail in the public higher education system have to also perform activities in the area of research, science and development. The Public expenditure on education as a percentage of total government expenditure was, for the period 2000-2007, only 9.5%, due to the United Nations Development Program (UNDP) a relatively low percentage for a developed country.
The last two decades the Czech labor market has been performing strongly. The Czech Republic created a skilled and educated labor force with a literacy rate over 98%. Additionally, strong labor demand created by high rates of development has driven down unemployment to historical low levels; below 5 percent in early 2008. Unfortunately, the global economic crisis reversed this phenomenon and currently unemployment is a relatively serious problem in the country. In the first quarter of 2008 unemployment was 6%. The majority of the unemployed, counting for 71.6 percent, are people with lower education; basic or secondary school with no graduation degree. Unemployment has been further decreased in 2009 and according to EUROSTAT Harmonized unemployment rates was 6.9 % in September 2009.
 
    After the fall of the communist regime, Czech Republic managed to create a relatively wealthy and stable socio-economical system depending on economical growth. Unemployment diachronically had been reduced and a new improved structural economical and political system resulted in the fact that Czech Republic is currently having one of the highest human development indicators in Central and Eastern Europe. Unfortunately, the global economic crisis put an end to this development and in an extend reverted the positive developments of the past. Thus, the positive socio-economical developments of the past create the belief that this could only be an impermanent situation.