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Hungarian Post Chief: EU Regulations Hinder Wage Hike

MTI-Hungary Today 2020.07.20.

European Union regulations prevent the Hungarian state from funding a wage raise for Hungarian Post employees, CEO György Schamschula said.

An article published in pro-govt Magyar Nemzet‘s Monday edition noted that trade unions demonstrated over the weekend, calling for a ten-percent wage hike.

Schamschula said EU regulations limited state bid to state-owned companies incurring “unfair additional costs” in 15 million euros, which “effectively ties the hands” of the state and the company.

Magyar Posta agrees with the trade unions that a wage hike would be necessary, Schamschula said, but falling revenues and protection expenditures to the tune of one billion forints (EUR 2.8m) due to the coronavirus epidemic left the company without the necessary means. Magyar Posta has turned to the state for aid, and is now “waiting for the mercy of Brussels”, he added.

Meanwhile, Magyar Posta has allocated 8.5 billion forints to a comprehensive one-off salary supplement payable to all employees, bar leadership, he said.

Featured photo illustration via Sándor Ujvári/MTI.