Modification of the Law on Labor Safety is in the pipeline – an AmCham advocacy success

  • October 27, 2017
In line with AmCham’s main goal to promote a clear and up-to-date regulatory environment for flexible employment schemes, during 2017 AmCham has been engaged in several discussions with the Ministry for National Economy about the regulatory environment for remote work. The Ministry plans to modify the law regulating labor safety (Act XCIII of 1993 on Labor Safety), impacting this regulatory framework, and AmCham was requested to review and comment related legislation. As a result of consultations, we can proudly inform our members that AmCham recommendations and comments on planned modifications of the Law on Labor Safety have been taken into account, and the revised legislation reflects AmCham’s input.

Companies and employees see the need for expanding new, flexible employment schemes in the coming years, which is partly induced by the wide-scale spread of digitalization that is rapidly transforming workplaces, ways of communication and work processes.

AmCham is dedicated to presenting its related recommendations to decision-makers, and took the opportunity of the 6th AmCham-Ministry for National Economy (“NGM”) working group meeting held in early June with István Lepsényi, State Secretary for Economic Regulation and other high-level representatives of the Ministry to present regulatory concerns of AmCham member companies who consider to introduce or have introduced schemes of remote work for their employees. As a follow-up, the department of the Deputy State Secretary for the Labor Market worked out modifications to the Act XCIII of 1993 on Labor Safety and have asked AmCham for its position.

AmCham’s Competitive Workforce Policy Task Force and Regulatory Committee have jointly reviewed the planned modification, comments have been sent to NGM on 8th of September. The Ministry was very open and have accepted several of our arguments, therefore the new version of the planned legislations reflects AmCham’s input. The new law would provide a more clear guideline on the scope of responsibility with special regards to the obligation of the employer for preliminary evaluation of suitability of home office working conditions. The revised legislation provides the exemption of responsibilty for the employer in a situation where the employer has no influence over certain circumstances.

This consultation is a policy success for the Competitive Workforce PTF and Regulatory Committee, and AmCham hopes that a more favorable regulatory framework will be provided for the employers in the future.