About 23% of company managers in Hungary said they would discontinue non-wage compensation, such as vacation and food vouchers, because of amendments to legislation that tax the form of payment at a higher rate, a survey by Publicus Research shows.
The survey showed 37% of managers had not yet made a decision on whether to continue using non-wage compensation, while 16% said they would reduce the type of compensation to an extent to prevent a rise in overall wage-type expenses. Just 10% said they would keep non-wage compensation unchanged and pay the higher tax rate.
A little more than half of Hungarian companies use non-wage compensation as a form of payment for staff. The most popular form of the compensation is food vouchers.
Publicus Research surveyed 500 Hungarian companies on the question of non-wage compensation in July. (MTI – Econews)