Employment contracts

Full- and part-time contracts in Hungary

Employment conditions should be specified in a written employment contract. Find out about the types of contracts in Hungary and what should be included in them.

Compulsory elements of employment contract are the following:

• Employer and employee names, addresses and other data
• Specification of payment
• Employee’s responsibilities and activities
• Working hours and holidays
• Job title

Different types of contracts and statuses

There are two main types of employment contracts: for fixed term or for an indefinite period of time. They usually only differ from each other in the duration of employment). Other contracts include the following:

• Assignment contracts used to be a popular way to employ people. However the conditions have tightened due to abuse. Now people who work 8 hours a day are no longer eligible for an assignment contract; they will be given the status of an employee.
• Outsourcing contracts mean that the Outsourcing Company acts and is responsible as the employer, but the Employer Company has the right to direct the employee’s work.

Workers’ rights in Hungary

In Hungary, employees’ rights are strongly protected by the Labour Code and employment legislation. In case of employment termination, illness or maternity benefit, employers have to follow legally specified rules and procedures. If they do not proceed according to these and in the best interests of the employee, they can be fined and sanctioned. If you believe that you are being unfairly treated and the company will not give you an acceptable explanation, you should consult a workers’ representative and/or a legal expert immediately.

In many workplaces, you may find there is a ‘collective agreement’. This is established and negotiated on a group level and defines how pay will be bargained for and the rights of employees to strike or take other industrial action. It is recommended to read it before signing, but in most cases it will probably be a sensible idea to sign up.