The IVSZ urges the modernization of labor law rules
November 24, 2022

The IVSZ urges the modernization of labor law rules


According to the organization, the labor law regulations must also be modernized in line with the new forms of employment that are gaining ground.

While in the three months before the end of May 2019, only 85,000 people worked remotely or in a home office, this year in the same period, 355,000 people used this opportunity according to the 2022 data of the KSH, they write in the official announcement.

All this means that in three years, the number of domestic employees who occasionally or regularly work in the above-mentioned two flexible forms of employment has more than quadrupled, and after the pandemic subsides, 65% of domestic ICT companies plan to to continue to maintain the possibility of working from home.

According to the experience of English ICT companies, home office work is especially typical in frontend, backend, full-stack developer and tester, and IT security positions. Personal presence remained dominant in consulting positions, such as product managers and product owners, for the sake of customer-centricity.

The largest proportion of home office workers are people aged 25-44 living in cities, women are overrepresented among them, and 77 percent of them have a higher education.

The gray areas of telecommuting and home office

According to the English legislation in force since December 2021, home office and remote work have become synonymous with each other in a legal sense. However, the end of the century Labor market trends of digital nomadism According to the conceptual interpretation and delimitation carried out in the research entitled, remote work and home office are not completely identical, not equivalent atypical forms of employment. While the work in remote work does not always take place during the traditional work schedule, those working in the home office work in the traditional work schedule and are subject to the administrative obligations of labor law. Therefore, according to the IVSZ, it is necessary for the legislator to treat these two forms of employment separately.

The Labor Code (Mt.) does not currently stipulate, for example, whether the employer can reassign the employee to telework/home office if the employee’s living conditions change or there is a change in the tasks related to the job, or the employee abuses this opportunity. It can be a problem for both employers and employees that, according to the current regulations, if the parties agree on home office work, neither party can change it unilaterally, flexibly adapting to the current tasks. Within the appropriate framework, it is necessary to ensure the ability to plan for the employees, and for the employer the right to invite colleagues who otherwise work in the home office to office work in justified cases.

Transformative work requires more modern regulation

The IVSZ recommends transferring the regulation on the place of work to the Mt., by allowing the parties to reach a mutual agreement. It would also be important for the Mt. to provide a way for the employer to have the opportunity to provide employees with an occasional home office based on a unique agreement, without having to amend the employment contract each time. It is also recommended to record that the employer has the right to withdraw the home office or remote work agreement for compelling reasons.

According to the organization, the regulation should also make it clear that, when working from home, it is basically the responsibility of the employee to create and maintain the physical working conditions, and to comply with the data protection and safety regulations ordered by the employer for each job. However, in this matter, according to the IVSZ, it is absolutely necessary that the employer provides the employee with the appropriate support. In connection with this, it should also be included in the law that the employee is obliged to notify his employer if the location of his home office work changes. This would be necessary so that the employer can consider whether compliance with data protection and security regulations is still sustainable.

In response to real cases, according to the IVSZ, it would be crucial to make it unmistakable in the interest of both employees and employers that if an employee does not inform his employer of his work abroad beyond the legally permitted time frame, then the legal and tax implications of this, based on previous legal practice, will affect him and they are not charged to the business.

The benefits that can be given are not clear

It is not clear how to calculate the HUF 20,000 tax-free monthly allowance for home office and telecommuting employees. The IVSZ recommends clarifying whether the legislator means the days actually spent in the home office under the right to payment, or the period in which the employee already has a telework contract according to Mt., so the payment and justification of settlement. In the first case, the payment would have to be separately proportional to the number of days spent in the home office each month, and an employee who works 50 percent from home would only be able to pay half of the amount tax- and contribution-free, so the application of the second interpretation would be practical.

“Clarification of the regulation is also important so that there are no uncertainties on the part of employers and employees regarding the exact framework of atypical forms of employment. In light of the current labor market situation, we cannot allow anyone to choose to work abroad or to work abroad from home due to circumstances that are not fully clarified. In our manifesto “Unification for digital US”, we also draw attention to the need for every single digital specialist in order to improve the competitiveness of the economy,” added Krisztina Tajthy, Secretary General of the IVSZ.

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