Breaking News: Hungary Immigration and Employment Law Changes 2025
We would like to inform our clients that important legislative changes have come into effect as of 1st January 2025, which affect immigration and employment matters in several ways.
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Hungary Immigration Changes 2025: Key Legislative Updates
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Guest Worker Residence Permit in Hungary: New Eligibility Criteria
New Regulations for Guest Worker Permits (Effective January 1, 2025)
In the Hungarian Official Journal No. 135 of 2024, published on 23rd December 2024, the Government Decree 450/2024 (XII. 23.) on the employment of guest workers in Hungary (hereinafter: Government Decree) was published. The Government Decree will come into force on 1 January 2025.
Eligible Countries for Guest Worker Residence Permits
From 1st January 2025, taking into account the exceptions listed in point II, citizens of the following countries can be employed in Hungary with a residence permit for the purpose of employment and a residence permit for guest workers, as listed in Appendix 1 of the Government Decree:
- Georgia
- Armenia
Exceptions and Special Provisions for Certain Third-Country Nationals
According to the Government Decree, citizens of other third countries can also be employed in Hungary with a residence permit for the purpose of employment and a guest worker residence permit if their home country has an organization or office in Hungary officially recognized by their government. This organization must ensure compliance with Hungarian and EU legislation and guarantee that any non-compliant worker will leave Hungary.
The Minister responsible for foreign policy will publish the list of eligible third countries in a Communication annexed to the Hungarian Official Journal.
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Employment Residence Permit in Hungary 2025: What You Need to Know
Regulations for Applications Submitted Before January 1, 2025
For residence permits for guest workers, Appendix 1 of Government Decree 180/2024 (VII. 8.), in force until 31st December 2024, shall apply. This regulation covers citizens from the following countries:
- The Philippines
- The Republic of Indonesia
- The Republic of Kazakhstan
- Mongolia
- The Socialist Republic of Vietnam
- The Federative Republic of Brazil
- Georgia
- The Kyrgyz Republic
- The Bolivarian Republic of Venezuela
- The Republic of Colombia
Changes for New Applications After January 1, 2025
For applications submitted after 1st January 2025, Government Decree 450/2024 (XII. 23.) shall not apply to:
- New applications for a residence permit for employment purposes from third-country nationals holding a valid residence permit for employment issued under Act II of 2007 before 31st December 2024.
- Extensions of residence permits for employment purposes if the permit was valid as of 31st December 2024.
- Ongoing applications submitted before 31st December 2024.
Processing Immigration Cases via EnterHungary Platform
An application submitted via the EnterHungary platform will be considered ongoing if the procedural fee is paid by 31st December 2024 at the latest. Additionally, applications received by a consular officer before 31st December 2024 will also be considered ongoing.
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TEÁOR 2025 Classification Changes and Business Obligations
Transition from TEÁOR’08 to TEÁOR’25: What’s Changing?
As of 1st January 2025, the Unified Sectoral Classification System of Economic Activities (TEÁOR) will change. The TEÁOR’08 classification, in effect since 2008, will be replaced by TEÁOR’25, reflecting economic developments such as drone and smart device manufacturing.
How Businesses Can Check and Update Their TEÁOR Codes
Businesses can use the TEÁOR’25 code search program and the TEÁOR’08–TEÁOR’25 transcoding program available on the Central Statistical Office (KSH) website.
- TEÁOR’25 Search Program: Click here
- TEÁOR’08–TEÁOR’25 Conversion Support: Available on the KSH website.
Deadlines and Reporting Obligations for Companies
Organizations will receive their new main activity code automatically. If no automatic conversion is possible, they must update their classification by 1st July 2025.
What Happens If TEÁOR Codes Are Not Updated?
If an organization does not modify its old TEÁOR codes by 1st July 2025, the old codes will be closed ex officio as of 31st August 2025, effective 31st December 2024.
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NEAK Notification Letters: What They Mean for Employers and Employees
Who Will Receive NEAK Notifications and Why?
The National Health Insurance Fund Manager (NEAK) will send notification letters via Ügyfélkapu (Customer Gate) if an employer or state organization reports a change in an employee’s legal relationship.
Employer and Employee Responsibilities for NEAK Notifications
Employers must report changes in:
- New employment relationships
- Suspensions
- Terminations
- FEOR code changes
- Working hour adjustments
- Insurance status updates
Steps to Verify and Respond to NEAK Notifications
Clients should verify their notification letters on the Ügyfélkapu platform. If the information is correct, no action is needed. If discrepancies are found, they should visit the county government office or contact their employer for correction.
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Summary: Key Takeaways for Businesses and Foreign Workers in Hungary
How These Changes Affect Employers and Foreign Nationals
As of 1st January 2025, only Armenian and Georgian citizens can apply for a guest worker residence permit or a residence permit for employment purposes, due to valid readmission agreements.
Future Expectations: Will More Countries Be Added to the Eligible List?
The Hungarian government may expand the list of eligible countries in the future, depending on bilateral agreements.
6th January 2025, Budapest
INTER RELOCATION Kft.