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The Hungarian Labour Market 2014

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The Hungarian Labour Market 2014 x!7HB7I5-iagcei! ,l.o.K.K.m THE HUNGARIAN T IN FOCUS: HE HUNGARIAN LABOUR MARKET 2014 L ABOUR EDITORS M ARKE L KÁROLY FAZEKAS ABOUR LÁSZLÓ NEUMANN T OF T HE PUB M ARKE L IC SEC T , 2014 , T OR Centre for EconomiC and regional StudieS, Hungarian Academy of SCienCeS & national employment non-profit publiC Company ltd budapeSt, 2014 The hungarian Labour MarkeT 2014 The Hungarian Labour Market Editorial board of the yearbook series Károly Fazekas – general director, CERS HAS • Jenő Koltay – senior research fellow, CERS HAS • János Köllő – scientific advi- sor, CERS HAS • Judit Lakatos – senior advisor, Hungarian Central Statistical Office (ksh) • György Lázár † • Gyula Nagy – associate professor, Department of Human Resources, Corvinus University of Budapest Series editor Károly Fazekas THE HUNGARIAN LABOUR MARKET 2014 EDITORS KÁROLY FAZEKAS LÁSZLÓ NEUMANN CenTre for EconoMiC and regionaL STudieS, hungarian AcadeMy of SCienCeS & naTionaL EmpLoyMenT non-profiT pubLiC CoMpany LTd. budapest, 2014 The publication of this volume has been financially supported by the National Employment Non-profit Public Company Ltd. Copies of the book can be ordered from the Centre for Economic and Regional Studies, Hungarian Academy of Sciences. Mailing address: H-1112 Budapest, Budaörsi út 45. Phone: (+36-1) 309 26 49 Fax: (+36-1) 319 31 36 E-mail: [email protected] Web site: http://www.krtk.mta.hu Edition and production: Centre for Economic and Regional Studies, Hungarian Academy of Sciences & National Employment Non-profit Public Company Ltd. Translated by: Patricia Austin (114–137, 200–215); Attila Balog (217–246); Márk Edelényi (146–157); Imre Gergely Szabó (193–197); Álmos Telegdy (70– 78); Ágnes Viktória Turnpenny (9–34, 43–54, 57–69, 79–113, 198–199); Júlia Vajda (37–42, 55–56, 158–179); László Váradi (138–145); Júlia Varga (180–192) Revised by: Stuart Oldham Copyright © Centre for Economic and Regional Studies, Hungarian Academy of Sciences & National Employment Non-profit Public Company Ltd., 2014 Cover photo © Diána Náton, 2014 ISSN 1785-8062 Publisher: Károly Fazekas Copy editor: Anna Patkós Design, page layout: font.hu Typography: Garamond, Franklin Gothic Printing: Oliton Kft. CONTENTS Introduction ................................................................................................................ 9 The Hungarian labour market in 2012–2013 Tamás( Bakó) ......................... 17 Economic environment and employment ....................................................... 19 Labour demand and wages ................................................................................. 25 Labour supply ...................................................................................................... 30 Unemployment ..................................................................................................... 32 In Focus: Labour market of the public sector .................................................... 35 Introduction (László Neumann) ...................................................................... 37 1. What do we know about public sector employment? (János Köllő) ..... 43 1.1 Number of employees and average wages in government and municipality owned businesses (László Neumann & Kitti Varadovics) ..................................................................................................... 55 1.2 The size and cost of public works employment (Ágota Scharle) ....... 57 2. Wage level and selection in the public sector ............................................. 59 2.1 Wage differential between the public and private sector in Hungary between 2002 and 2008 – the long term effect of wage increase (Szilvia Altwicker-Hámori & Anna Lovász) .............................................. 59 2.1.1 Do women have better opportunities in the public sector? An analysis of the gender pay gap and occupational segregation in the public and private sector (Anna Lovász) ................................................. 67 2.2 Wage spillovers between the public and corporate sectors (Álmos Telegdy) .............................................................................................................. 70 2.3 Pay level and selection to the public sector (János Köllő) ..................... 79 2.4 Labour outflow from the public sector in Hungary Péter( Elek & Péter András Szabó) ......................................................................................... 91 2.5 Why do people choose to work in the public sector? The role of subjective factors (György Molnár & Zsuzsa Kapitány) ....................... 102 2.5.1 The satisfaction of public sector workers György( Molnár & Zsuzsa Kapitány) ................................................................................... 112 3. The institutional environment of the public sector labour market .... 114 3.1 Trends in labour law – the dismantling of job security in the public sector (Beáta Nacsa) ...................................................................................... 114 3.2 The specifics of setting salaries and interest reconciliation in the public sector (Erzsébet Berki) ..................................................................... 124 3.2.1 Collective bargaining in businesses owned by central and local governments (Erzsébet Berki) ................................................................. 136 3.3 Crises and waves – changes in the system of public employment in Europe (László Váradi) ................................................................................ 138 5 3.4 Crisis driven changes in wage setting systems in the EU (Márk Edelényi & László Neumann) ..................................................................... 146 3.5 Privatisation of municipal services, outsourcing and in-sourcing efforts and their employment impacts in the European Union countries and Hungary (László Neumann & Márk Edelényi) ........... 158 3.5.1 Case studies on municipalities’ service provision (László Neumann & Márk Edelényi) .................................................................. 177 4. Occupational labour markets ..................................................................... 180 4.1 Teacher salaries, teachers’ selection and turnover (Júlia Varga) ...... 180 4.1.1 Teacher salaries in the public sector (1986–2013) (Júlia Varga) ... 190 4.2. Labour mobility and employee bargaining power in healthcare – Regional overview (Imre Gergely Szabó) .................................................. 193 4.2.1 Doctors’ pay and gratuities (János Köllő) ...................................... 198 4.3 Nurses and other health care professionals (Erzsébet Berki, Éva Czethoffer & Endre Szabó) .......................................................................... 200 4.4 Law enforcement workers, before and after retirement Erzsébet( Berki, Éva Czethoffer & Endre Szabó) ...................................................... 207 Labour market policy interventions. September 2012 – January 2014 (Zsombor Cseres-Gergely & Kitti Varadovics) ............................................. 217 Services ................................................................................................................ 219 Active labour market policies (almps) ........................................................... 220 Subsidies .............................................................................................................. 230 Comprehensive interventions (comprehensive programmes) ................... 231 Policy tools with an effect on the labour market ........................................ 232 Statistical Data ...................................................................................................... 247 1. Basic economic indicators ........................................................................... 249 2. Population ....................................................................................................... 251 3. Economic activity ......................................................................................... 254 4. Employment ................................................................................................... 262 5. Unemployment .............................................................................................. 272 6. Wages .............................................................................................................. 289 7. Education ........................................................................................................ 296 8. Labour demand indicators ......................................................................... 300 9. Regional inequalities .................................................................................... 302 10. Industrial relations ..................................................................................... 310 11. Welfare provisions ....................................................................................... 315 12. The tax burden on work ............................................................................. 321 13. International comparison ......................................................................... 325 14. Description of the main data sources ..................................................... 327 Index of tables and figures .................................................................................. 333 6 authors • Szilvia Altwicker-Hámori – Zürcher Hochschule für Angewandte Wissenschaften • Tamás Bakó – CERS-HAS • Erzsébet Berki – Ministry for
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