Everyone in the public sector who has been adversely affected by the new tax system would be compensated, Deputy Prime Minister Tibor Navracsics announced.
He added that people working in the public sector would receive retroactively their salary compensation as soon as possible. The government steps come in the wake of finding out that the revision of personal income tax brackets – introduced as tax breaks – actually meant that an overwhelming number of Hungarians saw their earnings reduced. Apart from the public sector, the government also announced its determination to enforce salary raises that compensate for the resulting gaps in the private sphere.
Navracsics stressed that a HUF 250 billion stability fund recently announced by Prime Minister Viktor Orbán cannot cause dismissals in the public sector. The Deputy Prime Minister highlighted that the stability fund does not mean cutbacks, but putting money that would be spent on unessentials into reserves