Hungary's government will stop issuing worker visas to employees from the Philippines, Georgia, and Armenia from Friday, a government spokeswoman announced, calling the move a first step towards regulating the inflow of guest workers. Prime Minister Peter Magyar's Tisza party, which ended right-wing leader Viktor Orban's 16-year rule in an April 12 election landslide, has said it would stop issuing visas to workers from outside the European Union from June.
Government Tightens Employment Opportunities
The government aims to tighten employment opportunities for guest workers over concerns that they are pushing down local salaries, spokeswoman Vanda Szondi told a media briefing. Foreign workers account for just 2% of Hungary's workforce based on official statistics, but some sectors, like services and manufacturing, are heavily reliant on foreign workers.
Changes to Decree
The government will change a decree that allowed manpower companies to import workers in a simplified procedure from the Philippines, Georgia, and Armenia as of Friday. Employees already present can still apply for an extension, while requests already submitted would be assessed. The government calls these reforms a first step in a planned long-term solution.
Some of Hungary's largest foreign investors have said a complete halt to the inflow of guest workers would hit companies and the wider economy. The move comes as part of broader efforts to address labor market concerns.
