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The revocation of the Act on the Employment of Guest Workers

On 5 October 2023, the Government adopted a new decision according to which it will review the current regulation on the entry, residence and employment of third-country nationals in Hungary with the aim of tightening the statutory provisions in this respect.

Earlier this year, the Parliament adopted an act on the employment of guest workers which would have allowed the employment of third-country nationals by temporary work agencies in a simplified procedure and was scheduled to come into force on 1 November 2023. However, the Government revoked this act and set itself the objective to elaborate a new stricter regulation.

The Government said that to protect the Hungarian workers, it is necessary to establish new grounds for the regulation on the employment of third-country nationals. According to the Government’s decision, the new bill will make it clear that in Hungary temporary residence and employment are only permitted for specific purposes, under specific statutory conditions with the approval of the state. The Government justified its decision by stating that in order to protect Hungarian families, vacant positions should be filled with Hungarian job seekers and foreign third-country workers can only be employed if Hungarian workers are no longer available for the position. Currently, there is no information on when the new legislation will enter into force.