Hungary to Halt Worker Visas for Philippines, Georgia, Armenia from Friday
Hungary’s New Visa Policy and Its Implications
Government Announcement and Rationale
BUDAPEST, June 5 (Reuters) - Hungary's government will stop issuing worker visas to employees from the Philippines, Georgia and Armenia from Friday, a government spokeswoman said, calling the move a first step towards regulating the inflow of guest workers.
Political Context
• 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.
Concerns Over Local Salaries
• Government to tighten employment opportunities for guest workers over what it says are concerns they are pushing down local salaries, spokeswoman Vanda Szondi told a media briefing.
Impact on Workforce and Sectors
Current Role of Foreign Workers
• 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 Manpower Import Procedures
• Government to change decree allowing manpower companies to import workers in a simplified procedure from the Philippines, Georgia and Armenia as of Friday.
Provisions for Existing Employees
• Employees already present can still apply for an extension, while requests already submitted would be assessed.
Long-Term Plans and Economic Concerns
Planned Reforms and Future Steps
• Government calls reforms a first step in a planned long-term solution.
Reactions from Foreign Investors
• 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.
(Reporting by Gergely Szakacs, Editing by William Maclean)
