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Lázár promises wage raises at MÁV, Magyar Posta

Salaries will be gradually raised at state-owned companies until 2019, Hungary’s Cabinet Chief János Lázár announced on Thursday, according to reports. This comes after Lázár announced layoffs in the sector last year in an attempt to reduce bureaucracy.

Speaking at his regular weekly press conference yesterday, the minister said that workers at state railway company MÁV will see raises of 13% this year, 12% in 2018, and 5% in 2019, while postal company Magyar Posta will follow suit with hikes of 14% this year, 12% in 2018, and 6% in 2019.

Lázár added that 100,000 employees of state-owned companies who currently earn less than the minimum wage will be bumped up to a higher pay grade that brings them to the threshold, Hungarian news agency MTI reported.

Apparently, this comes as another step in the government’s restructuring of the public sector. Last year the minister announced that the sector will see restructuring, with layoffs as well as the termination of some institutions, in order to reduce bureaucracy and improve efficiency.