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Factsheet for measure HU-2012-27/2474 – measures in Hungary

Ad hoc cooperation agreement

Egyedi együttműködési megállapodások

Country Hungary , applies nationwide
Time period Open ended, started on 01 July 2012
Context Restructuring Support Instruments
Type Legislations or other statutory regulations
Category Reorientation of business activities
– Transfer or redeployment of workers
Author Nóra Krokovay (KOPINT-Tárki) and Eurofound
Measure added 23 June 2022 (updated 26 October 2022)

Background information

Ad hoc cooperation agreements are available to companies undergoing large-scale collective redundancy or economic difficulties with negative consequences on employment. ‘Collective redundancy’ is defined as the termination of employment for at least 10 to 30 people, depending on staff size (at least 20). These agreements exist only in companies (typically the larger ones) where social dialogue and collective bargaining is working well. 

Content of measure

An ad hoc agreement is traditionally concluded between trade unions and the employer in case the company would have to dismiss a large number of employers either due to financial constraints or because of technological developments. While representation through a trade union is optional for an employee, electing a works council is mandatory for each organisation employing over 15 people. The labour code specifies the works council as a mandatory negotiation partner for an organisation that is considering collective redundancy, whereas the negotiation must cover – among others – some means of mitigating the consequences. The aim of these ad hoc agreements is to reduce the negative consequences of mass dismissal on the labour market. This measure can be set up by companies that wish to go beyond the statutory agreements between employees and employers. There are a number of possible tools which companies can use to help employees' transition, particularly in cases of collective redundancies. These include:

  • Establishing an intranet that effectively works as a career portal;

  • Facilitating employees' transition to new employment by offering other jobs within the organisation or by facilitating contact with other similar companies;

  • Granting training/education subsidies;

  • Subsidising retirement schemes

Use of measure

The ad hoc cooperation agreements were in most cases successful in restructuring jobs and retraining of employees. In the cases examined (Hungarian Railways MÁV, Rail Cargo Hungaria Zrt (RCH)) it was seen that mass layoffs have not been the trend in the past years, companies are faced with labour shortages rather than a need to shred workers. As an alternative to layoffs, they try to retrain and restructure employment to raise standards in human resources. In light of this, the number of employees involved in programmes outlined in the ad hoc cooperation agreements is quite low (See table below for number of persons engaged in the RCH employment programme.) At RCH, the number of people enrolled in the company's employment programmes outlined in the ad hoc cooperation agreement fell to zero since 2006 because of the labour market situation.

This instrument encourages employers to try to do the utmost for employees during a period of economic difficulty with negative consequences on employment. The partners cooperate and can solve the disputes at the company level.

Such agreements are concluded only in companies where the social dialogue and collective bargaining is working well.

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
Trade unions
Public employment service
National funds

Social partners

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

Trade unions Employers' organisations
Role Consulted Consulted
Form Unknown Unknown

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

  • Unknown
  • Main level of involvement: Unknown



Views and reactions



  • 01 July 2012: Act I/2012 on the labour code, Section 40 (par 71-76) (
  • 13 March 2017: Együttműködési megállapodás (cooperation agreement of the MÁV Group) (


Eurofound (2022), Ad hoc cooperation agreement, measure HU-2012-27/2474 (measures in Hungary), EU PolicyWatch, Dublin,


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