Major changes unveiled: a light in the tunnel for Hungarian workforce?

The Hungarian government has been working towards reducing unemployment rates in Hungary, achieving a historic low with almost 5 million people currently employed in the country. With recent major changes, the government aims to further bolster employment numbers while actively supporting and aiding Hungarians in their work endeavours.

Boosting employment rates

As reported by Index, there’s been a notable increase of one million employed individuals in Hungary compared to the 2010 employment rates. Since the Gyurcsány era, the employed populace has surpassed 4.7 million, resulting in a historic low in the unemployment rate. The government‘s aim is to use the labour reserve to further boost the number of employment. A total of HUF 20 billion (EUR 52.7 million) could be allocated for building 25-30 new workforce housing units in the next four years. This act could have a substantial impact on tackling labour shortages.

Supporting Hungarian workforce

A commitment to prioritising the Hungarian workforce is evident, with foreign workers accommodated in new facilities only when no demand arises from local workers. As we have reported HERE, there are many foreign workers in Hungary. However, there will be stringent requirements on investors to ensure optimal facility utilisation as well as meeting workers’ comfort needs, sustainability standards and environmental criteria. The Ministry of Economic Development stated:

Aligned with the recently enacted immigration laws, the criteria for subsidies dedicated to the construction of worker housing are set to undergo additional tightening. Notably, a new stipulation mandates that a minimum of 50% of the workers’ accommodation must be filled by Hungarian workers.