[Beren]

400 hours Overtime Act passed by Hungarian Parliament

FRUZSINA ELŐD
TRANSLATION: ZOLTÁN KOVÁCS
2018.12.12. 14:35

In what amounts to be the biggest scandal of Hungary's Parliament since the regime change, the Parliament passed the Overtime Act, often called the Slavery Act by the opposition, effective as of 1 January 2019.

This new amendment to the Labour Act raises the possible overtime hours from 250/year to 400/year based on individual agreements with employees, which agreement overrides even the collective agreements made with trade unions. This is called "voluntary overtime", and critics of the new law say that it makes employees vulnerable to the whims of employers, as they are not necessarily in the position to say no to a request of some "voluntary overtime".

The new legislation leaves the 48 hours/week work limit unchanged but raises the overtime banking period to 3 years from 1 year. In practice, it will be possible for an employer to pay the employee for overtimes in one sum after 3 years.

According to Lajos Kósa, this is not problematic as employees are in a good position to bargain, and the new legislation does not make the 3 year overtime banking period mandatory, it only opens up its possibility, as there are some industries where "competitiveness specifically requires this".

Viktor Orbán said the new legislation serves the interests of the employees, and he is "paying attention to the trade unions, and respecting them, but they are wrong."

Policy Agenda's survey concluded that 83% of workers are against the amendment to the Labour Act.

You can find more on today's chaotic events in Parliament in our earlier English coverage.

Today was not without precedent though; Last week, opposition MPs were silenced by the Speaker one after the other during the late night debate, and on Monday, opposition MPs tried to obstruct the continued parliamentary debate, but their motions were swept off the table.

There was a spontaneous protest too at night, nothing serious though. Orbán doesn't give a shit about trade unions, of course, the law was written by German car manufacturers allegedly. Former mayor of Debrecen Lajos Kósa, one of the founders of Orbán's Fidesz party, is a notorious piece of shit and a permanent laughing stock with several scandals.

If there's a race to the bottom, Hungary's going to win it.

[JohnRawls]

There was a spontaneous protest too at night, nothing serious though. Orbán doesn't give a shit about trade unions, of course, the law was written by German car manufacturers allegedly. Former mayor of Debrecen Lajos Kósa, one of the founders of Orbán's Fidesz party, is a notorious piece of shit and a permanent laughing stock with several scandals.

If there's a race to the bottom, Hungary's going to win it.

Labour unions will always be against relaxing labor laws. There is no limit to overtime in Estonia for example but you can freely deny it. I am pretty sure the companies in Hungary can't force you to do overtime.

I do not understand the overtime payment after 3 years though.

[One Degree]

400 hours is 8 hours per week. This does not seem extraordinary by current Western Standards. Many in the US are required to work this much by labeling them managers. As long as the overtime is voluntary, then I don’t see a problem.
I assume the 3 year thing is to give companies time to invest to expand the economy? Similar to paying with stock in the company?

[Beren]

Labour unions will always be against relaxing labor laws. There is no limit to overtime in Estonia for example but you can freely deny it. I am pretty sure the companies in Hungary can't force you to do overtime.

I do not understand the overtime payment after 3 years though.

Many companies force their employees to do overtime without paying extra money or even employ them illegally in Hungary. This is Western Asia, must be a lot worse than Estonia.

[JohnRawls]

Many companies force their employees to do overtime without paying extra money or even employ them illegally in Hungary. This is Western Asia, must be a lot worse than Estonia.

But isn't this a question of rule of law and enforcement of law instead of change of labor law. Change of labor law would not matter one way or the other regarding the situation that you are describing.

[Citizen J]

I'm aware of a lot of small companies in the U.S. that "bank" overtime. The practice is illegal in the U.S. but this does not stop some small companies. The incentive is high because companies hold banked hours over employee's heads to reduce turnover and save money. Employees lose those "banked" hours if they quit, or get fired. This practice is never allowed by any union in America, so all of these companies are non-union.

Of course, the accounting is entirely "off the books", so an employee has to carefully document banked hours or be 'cheated' by the company. And many of these companies will save money by simply allowing employees to bank as many hours as they desire - then fire a few with the most banked hours. Former employees who have lodged complaints have to prove they were banking hours - while all official records show otherwise. And they have to explain to the labor board why they conspired with the company to break federal labor laws. So the employee could face criminal charges if he wins his case with the national labor board. Most former employees just take the loss and move on.

I happen to live in an area with a lot of second and third tier suppliers for the automotive industry. It seems the plastics plants around here share managers, or at least share management ideas, because a whole group of local plastics plants (all of which are under 100 employees) consistently share these unscrupulous management practices.

On the other hand, of the people I've met who work at these plants, I'd have to say they're not hiring the best workers, or the brightest. So, they're exploiting a below average work force in terms of intelligence and motivation. And I don't believe any of these company test for drugs - they would lose far too many employees.

I would never work for any company that wanted to "bank" my labor; legally or otherwise. If they want my labor, they must pay me for it in a timely manner. Waiting up to 3 years is insane. It's basically an interest free loan to the company.

[Beren]

But isn't this a question of rule of law and enforcement of law instead of change of labor law. Change of labor law would not matter one way or the other regarding the situation that you are describing.

I just meant to clarify how Hungary really is. Changing the law won't affect the whole economy, of course.

[Potemkin]

I just meant to clarify how Hungary really is. Changing the law won't affect the whole economy, of course.

Welcome to capitalism, bitches.

[Beren]

Welcome to capitalism, bitches.

If you want to beat Hungary in the Neoliberal-Globalist race to the bottom, you better have a corporate income tax rate lower than 9%. Only Romania, Isle of Man, and Monaco are more competitive than that in Europe!

[Potemkin]

If you want to beat Hungary in the Neoliberal-Globalist race to the bottom, you better have a corporate income tax rate lower than 9%. Only Romania, Isle of Man, and Monaco are more competitive than that in Europe!

Goulash capitalism!

[Rich]

If you want to beat Hungary in the Neoliberal-Globalist race to the bottom, you better have a corporate income tax rate lower than 9%. Only Romania, Isle of Man, and Monaco are more competitive than that in Europe!

Send the gun boats and tanks in!

Isle Of Man should have its autonomy revoked. Monaco should be wiped off the map, along with Luxembourg. I thought that the EU had started to talk about minimum tax rates, hence the big impetus towards Brexit 7 years back. Corporation, Capital gains and Inheritance tax should all be at least 40%. Property taxes should be proportional. The extra money raised to give minimum income to every EU citizen whose Grandparents were all citizens of an EU country.

[Beren]

thought that the EU had started to talk about minimum tax rates, hence the big impetus towards Brexit 7 years back.

The Hungarian government opposes tax harmonisation as much as migrants perhaps, not so spectacularly though. Maybe it's another issue they agreed on with the British government. They seem really sad about Britain leaving the EU.

Hungary complains Brexit will leave it outnumbered in EU

[Potemkin]

The Hungarian government opposes tax harmonisation as much as migrants perhaps, not so spectacularly though. Maybe it's another issue they agreed on with the British government. They seem really sad about Britain leaving the EU.

Hungary complains Brexit will leave it outnumbered in EU

Even nations which did not explicitly support Britain's positions in the EU were glad we were there, so we could argue the position they would have liked to have argued in the EU, but didn't dare. We were the 'bad boy' in the EU, who would say what others were thinking but didn't dare say out loud. What will they do, now that we're leaving? Lol.

[Beren]

What will they do, now that we're leaving? Lol.

Orbán's party can't join the European Conservatives and Reformists in the EP, which I'm sure they were planning to do.

[Beren]

Posted by Government of Hungary 7 hours ago:

They organise demonstrations using George Soros's money to make an immigrant-country out of Hungary too. That is why anti-immigration governments are being attacked across Europe.

Brilliant, isn't it?

[JohnRawls]

Posted by Government of Hungary 7 hours ago:



Brilliant, isn't it?

Da Fuck is an immigrant country?

[Beren]

Da Fuck is an immigrant country?

It doesn't make sense in Hungarian either.

[Potemkin]

Posted by Government of Hungary 7 hours ago:



Brilliant, isn't it?

I always knew getting rid of that 'communism' thing would be a big mistake.

[One Degree]

I had no trouble understanding the comment. The posters pretending they don’t understand it is amusing. Lol.

[Beren]

I always knew getting rid of that 'communism' thing would be a big mistake.

That 'communism' thing collapsed rather spontaneously, like all the other things collapsed spontaneously too, because we always build up an updated version of the same shit doomed to collapse spontaneously in less than a generation. The Hungarian Shit Tower of Babel. There's a Hungarian saying that it's impossible to build a castle out of shit, but we always try anyway.