Eurofound Working life report for Hungary 2018

Eurofound has published its 2018 working life report for Hungary, with the contribution of Kopint-Tárki. The report describes the main developments in industrial relations and the regulations affecting working conditions in Hungary.

2018 was the year of parliamentary elections in Hungary, prior to which neither the government nor social partners initiated significant transformations in the legal framework affecting working life. However, due to a pressing labour shortage and the election campaign, the minimum wage was increased considerably. In April the governing right wing Fidesz-KDNP won the election, which put the Fidesz party in its third four-year term with Viktor Orbán as prime minister since 2010. As the election resulted in an empowering two-thirds supermajority for the new government, it was able to initiate further significant legal decisions that impacted heavily on democratic institutions, the freedom of the press and the autonomy of various other institutions. Impacts on working life included the minimum wage increase, a cut in employers’ taxes on labour and the elimination of the ‘cafeteria package’  – non-wage subsidies for employees. An amendment of the Labour Code and the Act on the Legal Status of Public Servants regarding working time and overtime regulations followed, which was largely detrimental for employees.

The report’s main author was Ágnes Hárs and it is published in the form of a working paper, available for reading here.