European Foundation
for the Improvement of
Living and Working Conditions

The tripartite EU agency providing knowledge to assist
in the development of better social, employment and
work-related policies

EU PolicyWatch

Database of national-level policy measures

Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for measure HU-2010-32/2653 Updated – measures in Hungary

Simplified employment

Egyszerűsített foglalkoztatás

Country Hungary , applies nationwide
Time period Open ended, started on 01 August 2010
Context COVID-19, Restructuring Support Instruments
Type Legislations or other statutory regulations
Category Ensuring business continuity and support for essential services
– Mobilisation of a larger workforce
Author Nóra Krokovay (KOPINT-Tárki) and Eurofound
Measure added 23 June 2022 (updated 10 November 2022)

Background information

Set up in 2010 by Act LXXV as an improvement to the casual employee’s booklet (alkalmi munkavállalói könyv), the 'simplified employment' system aimed at maintaining the flexibility of work while preventing undeclared work. Simplified employment is never compulsory and the parties are free to choose the conventional employment relationship even if the contract is stipulated only for a few days and a worker can have a simplified employment relationship simultaneously with more than one employer. The 'simplified employment' system covers two types of temporary work: casual work (in all sectors) and seasonal work in agriculture and tourism. Seasonal work means that the work can be performed only during a certain part or period of the year, and such seasonality is based on objective reasons and is thus not a question of how the work is organised.

Content of measure

The 'simplified employment' system is prohibited if there is already an employment relationship between the parties. Similarly, an already concluded employment contract cannot be replaced with simplified employment. The employer cannot employ the same worker using simplified employment for over 120 days in a given year.

Generally, any employer (natural or legal person) can make use of the 'simplified employment' system, but if in the public sector, only outside the core activities (for example, a public hospital can employ casual workers as janitors, but not as nurses). Employers with HUF 300,000 (approximately €900) or more unpaid and overdue taxes are excluded from simplified employment.

The distinguishing features of the simplified employment system include the fact that a written employment contract is never a requirement. But if the employer wishes, or the employee insists on a written contract, they can use the contract template provided as an appendix to the law.

Moreover, working time can be scheduled unequally – for example, three hours on one day and five hours on another. Also, working time can be scheduled on Sundays and public holidays according to the wishes of the employer, without having to pay the (otherwise statutory) Sunday wage supplement (the public holiday wage supplement, however, does apply). This way, the simplified employment rules permit flexibility in terms of seasonal and agricultural work, while still protecting employees and preventing undeclared work. An important feature of simplified employment is that registered jobseekers do not need to notify the employment services about the simplified employment relationship. This means that they can retain their jobseeker status, without interruption, for the duration of the simplified employment relationship.

From the employer’s point of view, simplified employment is flexible, with low administrative costs. Savings include no sick leave, lower tax obligation (flat-tax is paid per day). For non-qualified employees, the minimum wage is 85% of the generic minimum wage. In the case of qualified workers, the minimum amount is 87% of the ’guaranteed wage minimum’ – which is the official name of the minimum wage for qualified workers.

For the employee, simplified employment is a concrete and attractive alternative to undeclared work, especially for workers on the periphery of the labour market, as it earns pension and unemployment eligibility. Lower taxes mean a higher net income for the worker and casual work can sometimes lead to permanent contracts. It is useful for people re-entering the labour market after a prolonged leave or long-term unemployment.

Due to the low level of tax, however, employees in simplified employment are not covered by full social security. They are eligible only for pensions, accident-related health services and unemployment benefits (SE Art. 10).

The employer faces strict working time limits, work duration and headcount limits (for casual workers), such as how many casual workers can be employed simultaneously and for how long. Casual and seasonal workers are not considered as employees in most state tenders, which means a company may be excluded when a high number of employees is required. Most employers use the template contract annexed to the law, but this does not contain any reference to a probation period or special rules on responsibility for damages, even though these could be used in simplified employment. However, most employers are not familiar with the possibilities beyond the template.

Tax rules encourage the employer to keep wages low, around the minimum wage, and while working time rules are more flexible, sick leave and other unpaid leave are not guaranteed


The following updates to this measure have been made after it came into effect.

17 April 2020

In April 2020 a new regulation was adopted that temporarily extended the maximum number of days in simplified employment to 180 within a year and from 15 to 20 days in a month for seasonal agricultural work. The new rules (Regulated by govt decree 122/2020, Section 5. - Apr 16 and Act 58/2020, Section 169) are part of the package to support economic recovery from the coronavirus crisis and are in effect until the end of 2020. The Ministry for Agriculture has also set up the website for matching offers of seasonal work with people seeking it

Use of measure

According to a 2021 ministry report, the average number of persons involved in simplified employment decreased by 5.9% to 301,486 in a monthly average in 2020, after years of growth. The number of days worked in simplified employment rose by 0.7% to 14,474,491 in 2020. While the decrease in the number of seasonal workers in agriculture is a continuation of a long-term trend, the decrease in the number of seasonal workers in tourism and the number of casual workers is a disruption of the previous growing trend, probably a consequence of the pandemic. (The report covers the evolution of simplified employment only for the six months from May to October, the busiest period regarding seasonal work.)

Target groups

Workers Businesses Citizens
Employees in standard employment
Applies to all businesses Does not apply to citizens

Actors and funding

Actors Funding
National government
No special funding required

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role No involvement No involvement
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • No involvement
  • Main level of involvement: Unknown


No involvement has been reported.

Views and reactions

The employment service’s department head observed that employers might use simplified employment to replace fixed-term contracts under the Labour Code and save social security contributions


  • 01 August 2010: Act LXXV of 2010 on simplified employment (
  • 08 February 2017: Halmos, Szilvia (2017): Az idénymunka munkajogi szabályai. (The rules of seasonal work) (
  • 20 January 2020: Ministry of Interior: Jelentés a 2020-ban egyszerűsített foglalkoztatás keretében tervezett foglalkoztatottak számáról (Report on the envisaged number of persons to be employed in 2020 under simplified employment contract) (
  • 16 April 2020: Govt decree 122/2020 (Apr 16) on some exceptional agricultural regulations during the 'state of danger' (
  • 17 April 2020: National Tax and Customs Adminimstration (2020): Emelkedett az egyszerűsített foglalkoztatás lehetséges időtartama (Maximum duration of simplified employment raised)
  • 16 June 2020: Act LVIII 58/2020 on the state of pandemic emergency (


Eurofound (2022), Simplified employment, measure HU-2010-32/2653 (measures in Hungary), EU PolicyWatch, Dublin,


Eurofound publications based on EU PolicyWatch

30 January 2023


Measures to lessen the impact of the inflation and energy crisis on citizens

Governments across the EU continue to implement policies to support citizens and businesses in the face of rising food and energy prices caused by the COVID-19 crisis and intensified by the war in Ukraine. This article summarises the policy responses as reported in Eurofound's EU PolicyWatch database from January to September 2022.


12 September 2022


First responses to cushion the impact of inflation on citizens

Although the worldwide pandemic situation had already disrupted supply chains and triggered increases in energy and food prices in 2021, the situation deteriorated in 2022 with the Russian invasion of Ukraine.


12 September 2022


Policies to support EU companies affected by the war in Ukraine

This article summarises the first policy responses that governments across the EU have started to implement to support companies affected by the rising prices, and those with commercial ties to Ukraine, Russia or Belarus.


5 July 2022


Policies to support refugees from Ukraine

This article summarises the first policy responses of EU Member States, including those of the social partners and other civil society actors, enabling refugees to exercise their rights under the Temporary Protection Directive.


Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.