HOW TO EMPLOY NON-EEA NATIONALS IN HUNGARY? PART II – THE EMPLOYMENT OF ORDINARY WORKERS

28 March 2024

After introducing the types of residence permits for employment purposes in our previous article, this time we will examine in detail the forms of employing “ordinary workers” in Hungary based on the new legal environment. By “ordinary workers” we mean workers who do not belong to the category of highly competent employees, which will be discussed in the next part of this series.

See the I. part of the article here, the III. part of the article here

 

1. The basic residence permit for work purposes

As the basic title to employ third-county nationals, a residence permit for work purposes may be granted to a guest worker who

- is actually carrying out work for his employer for renumeration or

- is employed in Hungary by an employer established in a third country in order to fulfil an agreement with a domestic employer.

A residence permit for work purposes may be valid for a maximum period of 2 years and may be extended for a period not exceeding 1 year.

It shall be mentioned that the number of residence permits for work purposes and guest worker residence permits that can be issued annually in Hungary is limited by the minister for economic affairs.

2. Employment for investment purposes

One of the specific forms of employing third-country nationals is the employment on the basis of the residence permit issued for carrying out an investment. Such permit may be granted to a guest worker

1. whose purpose is to carry out work based on an employment relationship to carry out a project,
2. whose employer concluded an agreement with the Government to carry out an investment,
3. whose employer possesses a prior group employment permit which is an official promise to employ a specified number of guest workers for a specified period of time in order to carry out an investment.

A residence permit issued for carrying out an investment may be valid until the investment is realised but no longer than 3 years.

3. Guest worker residence permit

A preferential form of the employment of third-country nationals in Hungary is the guest worker residence permit which may be provided to a guest worker

1. whose purpose is to carry out actual work in Hungary based on an employment relationship in an occupation which is not excluded by the Minister responsible for employment policy,
2. whose employer is a registered preferential employer or a registered qualified lender,
3. who is the national of a third country listed by the relevant ministerial decree.

A guest worker residence permit may be valid for a maximum period of 2 years and may be extended for a period not exceeding 1 year.

a. Preferential employer and qualified lender

Guest worker residence permit may only be granted to third-country nationals whose employer is either

1. a preferential employer or
2. a qualified lender.

Preferential employer

The below employer may qualify as preferential employers:

1. an employer who concluded a strategic partnership agreement with the Hungarian Government,
2. an employer who is implementing an investment of major importance for the national economy,
3. an employer with a partnership agreement under the Priority Exporter Partnership Programme.

Qualified lender

In order to be registered as a qualified lender the applicant shall: