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Remote Working vs. Home Office in Hungary

Remote Working vs. Home Office in Hungary

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Legislation concerning remote work is once again in the spotlight, as Government Decree 487/2020. (XI. 11.) on the application of teleworking rules during the state of emergency modified the provisions of telework as of 3 July 2021. According to the Decree, home office should be considered as remote work during the state of emergency and the provisions of the Decree are applicable instead of the provisions of the Labour Code on remote work.

As a change, the Decree broadens the scope of remote work to jobs by non-computer means as well. Accordingly, unless it is otherwise agreed by the parties, telework means that the employee shall work at the workplace for up to one third of his/her working days, and remotely on the other working days. Hybrid solutions of companies, allowing employees to work from home office partially or full time during the epidemic situation, may result in the application of the provisions of the Decree (i.e. application of the provisions of remote work) if the conditions are met.

The application of permanent home office requires the consensus of the employer and the employee and it must be regulated in the employment agreement. Therefore, in the absence of the parties’ mutual agreement, the employer can only order unilaterally to the employee to work from home office for 44 scheduled working days.

Contrary to the provisions of the Labour Code, unless it is otherwise agreed by the parties, the employee is obliged to work according to his/her original working time schedule (therefore, flexible working hours are not applicable automatically during remote work). Provisions on work safety and the employee’s right for the reimbursement of his/her expenses for the period of remote work are also covered (either itemised costs or a flat rate of 10% of the applicable monthly minimum wage, i.e. HUF 16,740/month).

The new provisions are applicable during the state of emergency, which means that the general rules, including the Labour Code, will be applicable once the state of emergency ceases to exist.

By Levente Csengery, Partner, KCG Partners Law Firm

Hungary Knowledge Partner

Nagy és Trócsányi was founded in 1991, turned into limited professional partnership (in Hungarian: ügyvédi iroda) in 1992, with the aim of offering sophisticated legal services. The firm continues to seek excellence in a comprehensive and modern practice, which spans international commercial and business law. 

The firm’s lawyers provide clients with advice and representation in an active, thoughtful and ethical manner, with a real understanding of clients‘ business needs and the markets in which they operate.

The firm is one of the largest home-grown independent law firms in Hungary. Currently Nagy és Trócsányi has 26 lawyers out of which there are 8 active partners. All partners are equity partners.

Nagy és Trócsányi is a legal entity and registered with the Budapest Bar Association. All lawyers of the Budapest office are either members of, or registered as clerks with, the Budapest Bar Association. Several of the firm’s lawyers are admitted attorneys or registered as legal consultants in New York.

The firm advises a broad range of clients, including numerous multinational corporations. 

Our activity focuses on the following practice areas: M&A, company law, litigation and dispute resolution, real estate law, banking and finance, project financing, insolvency and restructuring, venture capital investment, taxation, competition, utilities, energy, media and telecommunication.

Nagy és Trócsányi is the exclusive member firm in Hungary for Lex Mundi – the world’s leading network of independent law firms with in-depth experience in 100+countries worldwide.

The firm advises a broad range of clients, including numerous multinational corporations. Among our key clients are: OTP Bank, Sberbank, Erste Bank, Scania, KS ORKA, Mannvit, DAF Trucks, Booking.com, Museum of Fine Arts of Budapest, Hungarian Post Pte Ltd, Hiventures, Strabag, CPI Hungary, Givaudan, Marks & Spencer, CBA.

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