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Employers, Unions to Continue Minimum Wage Rise Negotiations next Week

MTI-Hungary Today 2021.01.13.

The forum of employers, unions and the government (VKF) failed to move any closer to an agreement on this year’s minimum wage rise at a meeting on Wednesday and will continue talks in the coming week.

Employers continued to offer a 3.1 percent increase, while unions stuck to their demand of 5 percent, representatives of the sides told MTI.

Employers Pushing for Delaying Increase to Minimum Wage
Employers Pushing for Delaying Increase to Minimum Wage

Last week, a group of major employers argued that an agreement on next year’s increase to the minimum wage should be delayed because of uncertainty caused by the pandemic at a meeting of the VKF, a forum of employers, unions, and government representatives. VKF meeting After the meeting, Ferenc Rolek, deputy head of business association […]Continue reading

Ferenc Rolek, the deputy head of employers’ association MGYOSZ, said the possibility of modifying the “cafeteria” voucher system to bridge the gap between the sides was brought up at the meeting, but said that was an option for the government to decide.

László Kordás, who heads unions association MASZSZ, said union leaders were looking to the government to break the deadlock. He added that while unions are standing firm on the 5 percent increase, “other confederations” have signalled they may be willing to yield ground in the interest of sealing a deal.

Kordás stressed the importance of reaching an agreement on the matter by January 20, so the increase can show up in workers’ January paycheks.

At present, the gross monthly minimum wage for skilled workers is 210,600 forints (EUR 587) and the minimum wage for unskilled workers is 161,000 forints (EUR 447).

featured image illustration via János Vajda/MTI