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Factsheet for measure HU-2021-24/1969 – measures in Hungary

Compensation for self-employed

Önfoglalkoztatók kompenzációs támogatás

Country Hungary , applies nationwide
Time period Temporary, 08 June 2021 – 18 December 2021
Context COVID-19
Type Legislations or other statutory regulations
Category Income protection beyond short-time work
– Extensions of income support to workers not covered by any kind of protection scheme
Author Nóra Krokovay (KOPINT-Tárki) and Eurofound
Measure added 15 July 2021 (updated 08 June 2022)

Background information

Under Govt decree 310/2021 (VI. 7.), the solo self-employed with their main activity falling into one of the selected 56 sectors will receive a one-off grant equal to the among of the monthly minimum wage for skilled workers. The amount of the compensation is HUF 219,000 (in 2021) or €608. Only those entrepreneurs are eligible who have no employees and therefore were not eligible for Wage support for sectors - catering and recreation , as specified under government decree 485/2020.

Content of measure

The list of eligible sectors includes 56 different sectors with the following NACE codes: 4719, 4743, 4751, 4754, 4759, 4761, 4763, 4764, 4765, 4771, 4772, 4777, 4778, 4779, 476203, 477601, 4939, 5510, 5520, 5530, 5590, 5610, 5621, 5629, 5630, 5914, 7722, 7729, 7911, 7912, 7990, 8230, 8551, 8553, 8559, 8560, 9001, 9002, 9004, 9102, 9104, 9200, 9311, 9312, 9313, 9319, 9321, 9329, 9521, 9523, 9524, 9525, 9529, 9602, 9604, 9609.

The aim of the measure is to help workers who could not work at all during COVID-19 lockdowns (personal services like hairdressers, or artists, for example, who were not targeted so far in any measures).

Use of measure

Within a week of opening applications on 8 June 2021 the ministry received requests for over HUF 1.5 billion (€4.17 million) worth of grants (about 7,000 applicants). By July 8, the first month, 50,000 applications were received, of which 40,000 have already been approved in a value of nearly HUF 8 billion (€22.2 million). The government expected 100,000-120,000 people to benefit from the measure altogether. The total number of self-employed persons supported was 76,800 and the total amount of support allocated HUF 16.8 billion (€46.7 million).

Target groups

Workers Businesses Citizens
Self-employed
Sector specific set of companies
One person or microenterprises
Does not apply to citizens

Actors and funding

Actors Funding
National government
National funds

Social partners

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

Trade unions Employers' organisations
Role Informed No involvement as case not in social partner domain
Form Not applicable Not applicable

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

  • No involvement
  • Main level of involvement: Unknown

Involvement

There are no social partners dedicated to the needs of self-employed, but trade unions, such as those for artists (SZIDOSZ for actors, MZTSZ-Alaphang for music) were informed of the measure from the media and disseminate the information to their members/self-employed.

Views and reactions

No specific views were put forward.

Sectors and occupations

    • Economic area Sector (NACE level 2)
      G - Wholesale And Retail Trade; Repair Of Motor Vehicles And Motorcycles G47 Retail trade, except of motor vehicles and motorcycles
      H - Transportation And Storage H49 Land transport and transport via pipelines
      I - Accommodation And Food Service Activities I55 Accommodation
      I56 Food and beverage service activities
      J - Information And Communication J59 Motion picture, video and television programme production, sound recording and music publishing activities
      N - Administrative And Support Service Activities N77 Rental and leasing activities
      N79 Travel agency, tour operator and other reservation service and related activities
      N82 Office administrative, office support and other business support activities
      P - Education P85 Education
      R - Arts, Entertainment And Recreation R90 Creative, arts and entertainment activities
      R91 Libraries, archives, museums and other cultural activities
      R92 Gambling and betting activities
      R93 Sports activities and amusement and recreation activities
      S - Other Service Activities S95 Repair of computers and personal and household goods
      S96 Other personal service activities

This case is not occupation-specific.

Sources

  • 10 November 2020: Government decree 485/2020 (English)
  • 07 June 2021: Govt decree 310/2021.
  • 16 June 2021: 7000 applicants for self-employed compensation in a week (koronavirus.gov.hu)
  • 08 July 2021: More than 50000 applied for self-employed compensation in a month (www.hrportal.hu)

Citation

Eurofound (2021), Compensation for self-employed, measure HU-2021-24/1969 (measures in Hungary), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/HU-2021-24_1969.html

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