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New Special Rules for the Domestic Employment of Third-country Nationals

New Special Rules for the Domestic Employment of Third-country Nationals

Hungary
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On 18 August 2022, a government decree on special rules for the employment of third-country nationals in Hungary during the emergency was published. According to the new rules, the list of cases in which the government office is not involved in the consolidated application procedure as a special authority, has been extended. This means that starting from 19 August 2022, government offices do not participate in the consolidated application procedure if the third-country national is employed by the general contractor or its subcontractor as defined under Act VII of 2015 on the investment related to the maintenance of the capacity of the Paks Nuclear Power Plant and on the amendment of certain related acts, including employment through a temporary agency, too.

In addition, the government decree declares that the main contractor and its subcontractors working on the Paks Nuclear Power Plant shoul also be considered a VIP employer for the purposes of employment in connection with the project. Finally, the employment (including employment through a temporary agency) of a third-country national in the territory of Hungary by the main contractor and its subcontractors working on the Paks Nuclear Power Plant does not require a permit for employment.

Put simply, by not requiring the inclusion of the government offices in the consolidated application procedure, by granting shorter processing times which apply to VIP employers only, and finally by not requiring a work permit (only a residence permit will be enough) for these third-country nationals, the government simplified the employment of third-country nationals related to the Paks Nuclear Power Plant.

It is safe to say that, as labor shortages increase, more and more guest workers arrive in Hungary, mainly from neighboring countries. However, since a nuclear power plant is a very specialized field, workers from Russia are also expected to arrive in Hungary once Paks 2 receives green light and construction can fully start.

By Gabriella Galik, Partner, KCG Partners Law Firm

KCG Partners at a Glance

KCG Partners is a Hungarian business law firm providing a comprehensive range of legal services to international and local clients seeking local knowledge and global perspective. The firm comprises business-minded lawyers with sector-specific expertise, creating value for clients by applying a problem-solving approach and delivering innovative solutions.

The firm has a wealth of knowledge in corporate law, M&A, projects and construction, energy, real estate, tax, employment, litigation, privacy and forensics, securitization, estate planning and capital markets.

To address clients’ regional and international concerns, the firm maintains active working relationships with other outstanding independent law firms in Central and Eastern Europe, whilst senior counsel Mr. Blaise Pásztory brings over 40 years’ of US capital market and fund management experience.

KCG Partners Law Firm is the result of the teamwork of passionate and talented lawyers guided by the same principles and sharing the same values: 

  • Our most valuable asset is our people. They are the engine of our business and the key to our success.
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Firm's website: http://www.kcgpartners.com