The minimum wage in Hungary is the minimum sum you are required by law to pay your employees. It is adjusted yearly to keep up with inflation, so if you have employees on minimum wage, you must regularly give them a raise to meet new requirements. The minimum wage is defined monthly for a full-time job, and it is always a gross sum (more on these below).
In Hungary, there are in fact two types of minimum wage:
- Minimum wage: Relevant to those doing work that does not require at least a secondary education. Skilled work and work in a factory often belong here.
- Guaranteed minimum salary: relevant to those doing work that requires at least secondary education and a high school diploma.
These two types of minimum wage are defined based on the requirements of the position, not the qualifications of the employee. Someone with a PhD is allowed to work in a minimum wage position, making minimum wage (even if it does not happen often).
While these are two separate concepts, we usually mean both when we say “minimum wage” in Hungary. This is because they work similarly, legislation pertaining to both is normally changed at the same time, and both employers and employees know which is relevant to them.