Comparative Guides

Welcome to Mondaq Comparative Guides - your comparative global Q&A guide.

Our Comparative Guides provide an overview of some of the key points of law and practice and allow you to compare regulatory environments and laws across multiple jurisdictions.

Start by selecting your Topic of interest below. Then choose your Regions and finally refine the exact Subjects you are seeking clarity on to view detailed analysis provided by our carefully selected internationally recognised experts.

4. Results: Answers
Talent acquisition
What is the applicable employment regime in your jurisdiction and what specific implications does this have for fintech companies?

Answer ... Employment relationships are regulated under Act I of 2012 on the Labour Code. The applicable regime regulates issues such as:

  • the minimum wage;
  • the minimum number of holidays;
  • the maximum of working hours; and
  • payments that must be reimbursed in case of absence or sickness.

Special rules apply with regard to part-time work and teleworking. The basic approach of the rules under the Labour Code is to protect the interests of employees; as such, they are often mandatory (ie, the parties may not derogate therefrom).

Depending on the duties, working hours and scope of instructions of an employee, self-employment may be less cumbersome than an employment relationship. Self-employed specialists are frequently engaged to work at fintech companies on a project basis, whereby the parties can more freely regulate their cooperation. These solutions may also be cheaper and less complicated in terms of administration.

For more information about this answer please contact: Veronika Bakonyi from Gardos Mosonyi Tomori Law Office
How can fintech companies attract specialist talent from overseas where necessary?

Answer ... EU citizens may stay and work in Hungary without any special permit or administrative conditions. Employees from third countries must obtain a residence permit to work in Hungary. This allows the employee to stay and work in Hungary for a period exceeding three months. The upper limit of the permit is determined on a case-by-case basis by the Employment Office, but cannot exceed two years.

In Hungary, the level of knowledge and expertise of professionals in the IT sector is particularly high and English is widely spoken. As mentioned in question 1.5, platforms for the exchange of information and research programmes in cooperation with universities provide an innovative environment for fintech players.

For more information about this answer please contact: Veronika Bakonyi from Gardos Mosonyi Tomori Law Office