Monday, 16 January 2023

New rights, obligations and opportunities in the world of labour: the Hungarian Labour Code has changed

 

On the 1st of January 2023 numerous rules of the Labour Code has amended: new charges have been laid on employers, rights of employees have altered. Among the others the rules of the liability of information have changed, paternity leave has been extended, parental leave has been introduced, and the availability and work obligations of employees have been clarified.

dolgozók



Expanded information obligation

The employer is obliged to inform the employee on the most important circumstances of the employment within 7 days (instead of the previous 15 days) from the beginning of the employment relationship. Furthermore, the employer must review and – if it is necessary – complete the already used guidance samples establishing a new employment relationship.

Paternity leave

In case of childbirth, the father is entitled to 10 days of extra leave, which can also be requested in case of adoption. The employee is entitled for 100% of the absence fee for the days 1-5 of the paternity leave, while only the 40% of the fee for days 6-10. The fathers are eligible to request the extra leave after the children were born or adopted between 2nd of August and 31st December in two months from the time of the modification coming into force, namely in January and February of 2023.

Parental leave

The employee is entitled to extra 44 days of vacation until 3rd year age of the child. The parental leave must be allocated in time according to the request of the parent. Such parental leave is conditioned to the at least 1 yearlong existence of the employment relationship before the birth or adoption of the child, and it must be notified 15 days before the request. It is an important detail that the employee is entitled only to the 10% of the absence fee in case parental leave, from which the amount of social security benefits related to the care of the child (child-care fee/child-care assistance fee) shall be deducted.

The employer does not have to redeem / pay neither the paternity nor the parental leave at the termination of the employment relationship, but a certificate about the used days must be issued.

Care leave

The employee shall be excused from work for 5 days a year maximum in two parts according to his request in order to care a needed – because of serious health reasons – relative or a person living in the same household. During this care leave, the employee is not entitled to wages.

Working time, rest time

The starting and ending dates of the working time frame, as well as the duration of the working time to be fulfilled, must be determined in writing, and published. The rules of the working time frame (work schedule) are established by the employer, but the employee must officially be informed of this.

The daily rest time does not have to be determined if the employer does not order working time for the following day after the work, or does not order extraordinary working time.

Instead of 48 hours of rest time per week, in case of unequal working hours e. g. uninterrupted work time or working in shifts or seasonal activities it must be scheduled at least 40 hours weekly rest time per a month which includes a calendar day.

Downtime

From the modified Labour Code, the expression of „scheduled working hours” is missing. Related to the downtime, it says that the employee is entitled for basic wage if the employer fails in his duty of employment (downtime), except shutdown occurred from unavertable external cause. The employee is entitled also for wage supplement if he was exempted from working based on the consent of the employer, and if he was entitled for the wage supplement by his schedule.

For questions in labour law and assistance in payroll, please do not hesitate to contact LeitnerLeitner. We are one of the most influential tax consulting, auditing, accounting and payroll companies in Central Europe, with a worldwide coverage through the Taxand network.