Parragh: Emigration slowed down in first half of 2016

Budapest, October 3 (MTI) – Wage increases and improved competitiveness could help resolve the labour shortage in Hungary, daily Magyar Idők said on Monday, adding that statistics show that emigration slowed down in the first half of this year.

Head of the Hungarian Chamber of Commerce and Industry László Parragh told the paper that the labour shortage resulting from emigration affects not only Hungary but the entire region and in the long term, it could hinder foreign capital investment.

The first task to resolve the situation is to reform the educational system, including vocational training, he said. More emphasis needs to be placed on adult training because it could also help fostered workers find jobs in the labour market, Parragh said. He added that Hungarian workers are well-trained and competitive.

He cited statistics showing that emigration has slowed down, with 31,000 people moving abroad but 30,000 people moving back to Hungary in the first half of this year.

Parragh said real wages increased by 6.5 percent last year and 7.5 percent in the first half of 2016.

Business daily Világgazdaság said on Monday that Hungarians working abroad transferred home more than 1,000 billion forints (EUR 3.25bn) last year, a record high, and a 100 billion forint increase from 2014. The remittances represented 3 percent of gross domestic product (GDP), the paper added.

Source: MTI