The wage support programme is now protecting the jobs of as many as 137,000 persons, the Minister of State for Employment Policy at the Ministry for Innovation and Technology said at the online press conference of the Operational Group responsible for the containment of the coronavirus epidemic held on Friday.

Sándor Bodó said applications may be submitted for the job protection wage support scheme until 31 August, and they have now relaxed further terms of the programme.

In addition to the job protection wage support scheme, a job creation wage support scheme has also been launched, he added.

In just a few days, applications to the value of HUF 4 billion have been submitted for job creation wage support in relation to 3,200 jobs, Mr Bodó said.

He stressed that the coronavirus had put the Hungarian economy into a difficult position. The government is seeking to minimise the ensuing harmful effects with complex measures; in addition to tax and contribution benefits and grants serving to improve efficiency and competitiveness, they are also protecting the results of the past 10 years with labour market measures.

The Minister of State highlighted that so far, as part of the job protection wage support programme, 10,500 businesses have submitted applications in relation to more than 137,000 workers. In consequence of the relaxed terms, applicants can now submit applications for different worker groups and for different periods, he added. In the job protection wage support programme, so far applications in relation to more than 90,000 workers have been granted; the processing of applications in ongoing. To date, 98 per cent of processed applications have been granted, and in the case of the majority of those refused, there are administrative errors which can be corrected and the applications can be submitted again.

“I can tell you that we are able to provide some help for everyone, almost without exception, who comes to us for assistance,” Mr Bodó said.

The Minister of State pointed out that research, development and innovation were essential for the recovery of the Hungarian economy, highlighting that so far 750 businesses have submitted requests for research and development wage support in relation to more than 12,000 employees.

Mr Bodó said an allocation of HUF 84 billion is available for the recently launched job creation wage support programme; this is enough for funding 70,000 new jobs. The essence of this support scheme is that for 6 months the government provides wage support, following which the employer employs the worker for 3 months, and as a result, employment is guaranteed for 9 months. During the subsidised period, the monthly maximum amount of the wage support is HUF 200,000 per person which includes the job-seekers’ pre-tax wages and the attached employer contributions. This is the equivalent of a net amount of HUF 112,000 per worker, meaning that over a period of 9 months its total amount can reach HUF 1 million.

So far businesses have submitted applications to the value of almost HUF 4 billion for job creation wage support in relation to 3,200 workers. More than 90 per cent of the applications received have been submitted by micro- and small businesses; most of the applications came from Hajdú-Bihar County, Békés County and Szabolcs-Szatmár-Bereg County, primarily from the hospitality industry, catering, trade and the construction industry, Mr Bodó listed.

The Minister of State also mentioned that the Ministry has authorised the issuance of driving licences obtained during the state of danger also without the presentation of a certificate regarding first aid skills.

(Ministry of Finance/MTI)