Employers, unions could reach wage agreement ‘in weeks’ in Hungary
An agreement on wages between employers and unions could be reached “within a few weeks”, Sándor Czomba, the state secretary for employment policy, told public media on Tuesday.
New minimum wage in Hungary
Czomba said talks on Monday had done much to bring the sides closer to an agreement. He noted that employers backed minimum wage rises of 8pc in 2025, 10pc in 2026 and 12pc in 2027, while unions wanted increases of 10pc in 2025, 12pc in 2026 and 14pc in 2027.
He said the sides wanted to see the minimum wage reach 50pc of the average wage by January 1, 2027, a goal that could be achieved with a minimum wage rise of either 8pc or 10pc in 2025. If the minimum wage is to reach the equivalent of EUR 1,000/month, while the gross average salary climbs to HUF 1m/month, the minimum wage needs to rise by an annual 12pc, on average, or 10pc in 2025, 12pc in 2026 and 14pc in 2027, he added.
Although just 210,000-220,000 people earn the minimum wage, the impact on higher earners can be “very big”, he said.
Czomba said the agreement on the minimum wage rises was a matter for employers and unions to hash out, but acknowledged the effect on state-owned companies such as railway company MÁV and postal company Magyar Posta.
Photo: facebook.com/szijjarto.peter.official
Read also:
- Chamber head launches consultations on minimum wage rise in Hungary 🔄
- Hungary’s 2025 economic action plan unveiled: €9.8 billion to counter economic downturn 🔄
Featured image: depositphotos.com
please make a donation here
Hot news
Airbnb pens open letter to Hungarian economy minister
OLAF and Hungary’s Integrity Authority pedge stronger EU-wide anti-corruption efforts
Free Christmas for all? Hungary approves referendum proposal for 24 December holiday
Hungary’s push for Erasmus, Horizon access: Minister accuses Brussels of blocking youth and researchers
Will Marco Rubio clash with Hungary’s Orbán? Trump’s bold Secretary of State choice
New study names Budapest the 4th best city for a work-and-travel Christmas
1 Comment
The Real Person!
The Real Person!
I can’t understand how minimum wage and union bargaining works in Hungary by reading these articles. In the rest of the Western world minimum wage is set either by the national government or individual state or provincial governments and it is not subject to any kind of bargaining by unions and employers though they may offer governments comment or advice. Union contracts are not something that are bargained at the same time for all industry nationwide in consultation with government as this article describes. That is totally inflexible. Collective bargaining units have contracts that expire at different ponts in time with no relation to what is going on in other industries. I will have to get an education on how this works when I get back to Hungary.