Background information

The HUF 70 billion (€194.4 million) government programme was launched in order to support training programmes at workplaces, to increase resilience and productivity at companies. The programme’s details are outlined in the statutory instrument 1300/2021. The upper limit of the subsidy per employee is HUF 200,000 (about €555), or HUF 300,000 for targeted vulnerable groups. The scheme is meant to provide an incentive for employers to keep on employees and to raise their wages, as these are conditions upon which the assistance can become a grant (without a repayment obligation). The ministry also outlined as a goal "in light of experiences gained in the pandemic" the need for employees to be flexible in their work skills.

Content of measure

The government subsidy goes towards training costs as well as the cost of wages for downtime due to training – if requested by the employer. The subsidy is different according to company size: for micro- and SMEs - 70%, medium-sized firms - 60%, large corporations - 50%. The grant is non-repayable based on conditions of implementation, which, if not met, create a repayment responsibility. The conditions determine repayment to different degrees, a maximum of 140 points can be earned for effectiveness in meeting the following criteria:

• employment of the trained employee continues for 12 months after training (80 points maximum).
• the trainee’s wages are raised by at least the rate of the minimum wage rise in the year the training is taken (60 points max.).

When earning 100 points or more, the support becomes a 100% non-repayable grant. Fewer points earned means that a proportional amount of the support must be repayed. (For example, if 80 points are earned, 20% of the support amount must be repayed.)

Training can be internal or external and it can involve improving professional skills, soft skills, ITC skills or language skills.

Use of measure

The Ministry of Innovation and Technology estimated at the launch that 70,000-100,000 employees could benefit from the programme.

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 Company / Companies	European Funds National funds

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: N/A

Involvement

No known involvement of social partners.

Views and reactions

Social partners have not express any views on this measure.

Sources

• 01 September 2021: HUF70bn employee training scheme launched (www.vg.hu)